The snowball budget method for beginners and how I'm using it to pay off my debts

Debt can feel like that mountain you just can't get to the top of, especially when you've got a other monthly payments, high interest rates, and constant worry.

For ages, I have felt completely overwhelmed, unsure where to start, or how to keep the motivation going. But about a few months ago, I had my version of an epiphany whilst i was in my evening Tiktok binge. I decided to actually take control of my finances. Enter the debt snowball method—this method has been a game-changer for me.

Why I Chose the Debt Snowball Method for me

If you’ve never heard of the debt snowball method before, here’s the gist of it (the snowball budget method for beginners) You start by paying off your smallest debt first, regardless of the interest rate. Once that debt is done and dusted, you move on to the next smallest. You keep going, rolling through each debt like a snowball gathering speed, until they’re all gone.

When I first heard about it, I thought, “Wait, what? Why not focus on the debts with the highest interest? Surely, that’s how you save money?” But it turns out, the snowball method is not just about paying off debts; it’s about giving your motivation a massive boost. Paying off even the smallest debt gives you a win, and a reason to celebrate.

So, I decided this was the method for me. I started with the smallest debt on my list and used that sense of achievement to keep me going.

How the Debt Snowball Method Works in My Life the snowball budget method for beginners

1. Listing My Debts: First things first, I wrote down all my debts—credit cards, personal loans, overdrafts, the lot. And let me tell you, seeing all those numbers on paper was a bit overwhelming. But once I saw it all laid out, I felt like I could actually do something about it. Clarity.

2. Making Minimum Payments: Now, I know this is the boring part, but hear me out. For all my debts except the smallest one, I just made the minimum payments. I really, really wanted to go straight for the high-interest ones because they scare me most but I stuck with the plan and focused on that first small debt.

3. Focusing on the Smallest Debt: My tiniest debt was a leftover loan balance of £380. Not massive, but it had been hanging over me for ages. I started chipping away at it, cutting back on unnecessary expenses (eating at home, less costa coffees), and in November 2024, I paid it off. This was my first win,

4. Celebrating Small Wins: Honestly, the best part of the whole thing was the feeling after I paid off that first debt. I couldn’t believe how good it felt to see that zero balance. Every time I have knocked one off the list so far, I feel like I’m closer to the finish line. These tiny wins are adding up.

The snowball method isn’t just about paying off debt—it’s about shifting how you feel about your finances. For a long time, I felt stressed and hopeless, but I definitely am more motivated.

Why the Snowball Method Works for Me (And Could Work for You Too)

Until November I had never even heard of the snowball method, id never really dug deep into any kind of debt repayment methods I was just blindly making payments, minimum payments with additional payments when I felt like it and never really getting anywhere but at least i was Paying. I chose this method and the snowball method for beginners specifically because of these reasons:

1. It’s Motivating: Paying off those smaller debts quickly gives me a sense of achievement that I desperately needed. Every time I tick off a debt, it feels like I’m making big changes.

2. It’s Simple: Let’s face it, dealing with debt can be enough to make anyone’s head spin. With the snowball method, there’s no need for complicated math's or juggling interest rates. I just focus on the smaller debts and follow my list up.

3. It Gives Me Focus: By focusing on one debt at a time, I’ve been able to stay organised and not feel totally overwhelmed. I know exactly where to direct my efforts, and having that clear focus has made me accountable for my actions.

4. I’m Actually Seeing Results: I can see my debts shrinking. Like, actually shrinking. With each debt I pay off, I feel closer to freedom.
   

Final Thoughts

The debt snowball method has truly changed my outlook on money. It’s not just about paying off debts—it’s about changing my relationship with money and learning the discipline to stay on track. While I’m far from finished, the progress I’ve made so far feels absolutely amazing.

If you’re feeling overwhelmed by debt, I really encourage you to try different methods, including snowball method and find out what works for you specifically in your situations. Just one step at a time..