Getting out of debt is one of the highest-return things you can do financially. ZhanPlan's Debt Payoff Tracker shows you exactly when you will be debt-free, how much interest you will pay along the way, and how much you can save by putting extra money toward debt each month.
How to Add Your Debts
Click Add Debt on the Debt Payoff page. For each debt, enter:
- Name — what the debt is (e.g., Chase Visa, Student Loan, Car Loan)
- Current Balance — how much you still owe today
- Interest Rate — the APR on this debt
- Minimum Payment — the minimum monthly payment required
Add every debt you have — credit cards, student loans, car loans, personal loans, medical debt, any outstanding balance with a balance and an interest rate.
Find your current balance and APR on each account's online portal or your last statement. The APR is the annual percentage rate — it is what drives how much interest accumulates each month.
Snowball vs Avalanche: Choosing Your Strategy
Once you have added your debts, ZhanPlan shows you two strategies side by side:
Debt Snowball
Pay minimum payments on all debts, then put all extra money toward the smallest balance first. When that debt is paid off, roll its payment to the next smallest balance.
The snowball method gives you quick wins — you eliminate debts faster at the beginning, which builds momentum and motivation. Research shows that motivation matters enormously in debt payoff — the snowball's psychological edge makes it the right choice for many people.
Debt Avalanche
Pay minimum payments on all debts, then put all extra money toward the highest interest rate first. When that debt is paid off, roll its payment to the next highest rate.
The avalanche method minimizes total interest paid. It is mathematically optimal — if you stay disciplined, you pay less money overall.
Neither strategy is universally better. The best one is the one you will actually follow. ZhanPlan shows you the debt-free date and total interest for both — you pick.
Adding an Extra Monthly Payment
At the top of the Debt Payoff page, there is an Extra Monthly Payment field. Enter any amount you can consistently put toward debt above and beyond your minimums.
As you increase this number, your debt-free date moves closer and your total interest savings grows. Even an extra $50 or $100 per month makes a dramatic difference over a 3-5 year payoff period.
The payoff date and interest calculation update in real time as you change the extra payment amount — you can see immediately how an extra $200 a month changes your situation.
Reading Your Payoff Schedule
The Debt Payoff page shows a timeline of when each debt will be eliminated, based on your chosen strategy and extra payment amount. You can see:
- Your debt-free date — the month and year when the last debt hits zero
- Total interest you will pay — across all debts, using your current strategy
- Interest saved compared to minimums only — how much extra interest you avoid by following your payoff plan
- Monthly payment total — what you need to pay each month to stay on track
Keeping Your Debt Data Current
Update your debt balances monthly as you make payments. The faster you reduce balances, the more accurate your debt-free date becomes. Over time, you will see the payoff timeline shrinking — which is one of the most motivating experiences in personal finance.
How Debt Payoff Connects to Net Worth
As your debt balances decrease, your liabilities on the Net Worth page decrease too — your net worth rises even if your asset values stay flat. This is one of the clearest ways to see that paying down debt is building wealth.
What if I have a debt with 0% interest for a promotional period?
Add it with the promotional rate during that period. When the promotion ends and the rate jumps, update it to the real rate. ZhanPlan will recalculate immediately.
Should I include my mortgage in the Debt Payoff Tracker?
You can, but mortgages are usually handled differently — they are part of your long-term financial plan, not a short-term payoff target. Most people add their mortgage to the Net Worth page as a liability and use the Debt Payoff Tracker for higher-interest consumer debts like credit cards, personal loans, and car loans.
How accurate is the debt-free date?
Very accurate if you stick to the plan. The date assumes you make at least your planned payment every month without adding new debt. Life happens — if you miss a payment or add to a balance, update the debt entry and ZhanPlan recalculates automatically.