The internet is full of debt-tracking templates that can help you log milestones toward your debt-free goals. From coloring pages to spreadsheets, here’s how you can use visual aids to demolish debt.

With an $82,000 pile of debt, buying a house seemed far in the distance for Ehren Sixon and his wife, Florida residents who embarked on a debt-free journey in 2016.

They opted for the debt snowball method, a debt payoff strategy that encourages motivation by quickly attacking the smallest balances first. The couple also tracked every milestone along the way with different visual aids as they paid off car loans, student loans and credit card debt.

“We wanted to be able to track our progress and keep us motivated,” says Sixon, a 32-year-old systems engineer and part-time YouTuber.

The internet is full of debt-tracking templates that can help you log milestones toward your debt-free goals. From coloring pages to spreadsheets, here’s how you can use visual aids to demolish debt.

VISUAL AIDS MOTIVATE

If you have a long journey ahead, a road map that logs your progress can offer support and encouragement.

“You get lots of little dopamine hits from checking off those smaller milestones or those smaller elements along the way, and that really keeps motivation going,” says Katharine Iesiev, owner of She Minds Money, a financial therapy service based in Massachusetts.

Iesiev favors creating something tangible that you can print out and view often at home.

TRACK YOUR PROGRESS IN SEVERAL WAYS

The Sixons turned to the internet to research debt-tracking solutions. As you explore your options, consider what will be most motivating for you.

— Spreadsheets: Sixon started with a spreadsheet to keep track of all lenders, balances and debts paid off. A spreadsheet can be as simple or elaborate as necessary. You can use it to log every payment to each lender or to update balances after making a payment. A key benefit is that it can keep debt and information organized. It also pairs well with other tracking systems.

— Printables for everyday viewing: The Sixons also looked at templates online to facilitate checking off debt goals. They chose a thermometer for their fridge and later moved it to the front door as a daily reminder to stay true to their goal. At every monthly check-in, they would evaluate their progress and color in the thermometer upon paying off each 10% of their debt.

“With the spreadsheet, there were times when we just got so caught up in the outstanding balances instead of celebrating how much we’d paid off so far,” Sixon says. “I …….

Source: https://wtop.com/lifestyle/2021/12/millennial-money-keep-an-eye-on-debt-using-visual-aids/