Sunday, June 3, 2012

Debt Snowball Visual

I know I already did my debt update for the turn of the month, but I pulled up a debt overview visual on (free 7-day trial).  I started this particular version of the snowball in January 2011, and I just want you to notice the orange line and what a dive it has taken in the last two years!  As of right now, our payoff date is July 2016, but look at how fast that orange is dropping!  We'll have this paid off by the time Elsie is in kindergarten!

Anyway, I write about our Dave Ramsey-inspired journey, but for some people (me), a visual is very powerful (which is why I have debt thermometers).  I hope that it is inspiring to you, too.


Edited to add:  I've been asked, so I want you to know that you can click on the picture to make it larger.  We have two separate loans outstanding and they are coded in blue and orange.  When we finished paying everything else off, they had about the same amount owed (hence they start in the same area), so we started tackling the one with the highest (3 times higher, actually) interest rate first--the orange one.  When we are done with the orange, we will start putting the same amount of time and energy into the blue.  Notice how the blue line changes slope right where the orange line drops off the graph--that's the snowball effect.  The payments we are making on the orange loans will be rolled over into the blue loans, paying it off faster.  Anyway, sorry I didn't explain it better to begin with.  :)

1 comment:

Motorcycle grandma said...

Live like no one else so you can live like no one else!!!!