When you’re in debt, it’s hard to know your next step. Many look at their bills and wonder which debt they should focus on first – that high-interest credit card or the smaller store balance that keeps nagging at them.

I know that feeling. Standing at my kitchen table, sorting through statements, trying to figure out which bill to pay and which one could wait. The stress was constant. Every time the phone rang, I wondered if it was another collector. Every trip to the mailbox brought another reminder of how deep in the hole I was.

That’s why I want to share something that actually works to get you out of debt. Not another complicated system. Not another budget spreadsheet that’ll collect dust on your computer. A real solution that helped me break free from debt – and keeps working because it’s built on how your brain actually handles money. It’s called the debt snowball method, and I’m going to show you exactly how to use it.

Also See: 6 Things To Give Up And Get Out Of Debt

Why Your Mind Controls Your Money

Your mind is the key to getting out of debt. Not your calculator. Not your spreadsheet. Your mind.

This might sound weird coming from someone who’s going to teach you about money. But after going through my own debt journey and helping thousands of others, I’ve learned something important: Getting out of debt isn’t about math. It’s about momentum.

Like a snowball rolling downhill, each debt you pay off adds to your momentum, making the next one easier to tackle. Most people try to attack their highest interest rate debt first. On paper, this saves money. But you know what? Most people also fail to get out of debt because they lose motivation before seeing results.

Also See: What $37,000 in Debt Taught Me About Money

What Is the Debt Snowball?

The debt snowball method, created by financial expert Dave Ramsey, works with your psychology, not against it. Instead of focusing on saving money through interest rates, this method focuses on changing your behavior – and that’s what makes it so powerful.

Think about the last time you achieved something difficult. You probably started small, built confidence, and then tackled bigger challenges. The debt snowball works the same way. You start with your smallest debt and work your way up to the larger ones.

This is how it works:

List your debts from smallest to largest (ignore interest rates)
Pay minimum payments on everything except your smallest debt
Put every extra dollar toward that smallest debt
When that debt is gone, roll its payment into the next smallest

That’s it. No complicated math. No fancy strategies. Just a straightforward plan that actually works, whether you’re dealing with small credit card balances or larger loans.

When you pay off that first small debt, something changes in your brain. You see real progress. You feel the weight lift. That success motivates you to tackle the next debt. Each small win builds your confidence until paying off debt becomes a habit, not a struggle.

Sure, you might pay a bit more in interest than if you tackled your highest-interest debt first. But what good is saving a few dollars in interest if you give up before you ever see progress? The debt snowball method keeps you motivated because you see results quickly – and that’s worth more than any interest rate calculation.

How to Start Your Debt Snowball Today

First, gather all your statements. This includes credit cards, store cards, personal loans, student loans – everything except your mortgage. You’ll need:

Current balances
Minimum payments
Due dates

Write down every debt on paper. There’s something powerful about seeing it all in black and white. Order them from smallest to largest balance.

Next, find $20 extra this month. Look at these practical places:

Cancel unused subscriptions
Sell items you haven’t used in six months
Pack lunch twice a week
Skip two coffee runs

Put that extra money toward your smallest debt while paying minimums on everything else. Next month, try to find $30. Then $40. Small steps create big changes.

Your Next Steps to Become Debt Free

Most people take 18-24 months to become debt-free using this method. But here’s what’s different: You’ll see your first win within a few months. That first paid-off debt changes everything. For the first time, you’ll see that getting out of debt isn’t just something other people do. It’s something YOU can do.

The debt snowball works because it puts you in control. Not your interest rates. Not your creditors. You. Each time you cross a debt off your list, you build more than just momentum – you build confidence. That confidence turns into determination, and that determination is what will carry you through to becoming debt-free.

Start today. Pull out a piece of paper. Write down every debt you have, from smallest to largest. Don’t worry about getting everything perfect – just take that first step. Put an extra $20 toward your smallest debt this month. Next month, make it $30. Small steps add up to big changes when you stick with them. Your future self will thank you for starting now.