📌 TL;DR:
Avoiding your debt doesn’t make it disappear (unfortunately). But knowing the exact number — even if it makes your stomach flip — is your first real step to getting a grip on your finances. In this post, I’ll walk you through how to calculate your debt in a way that feels manageable (no spreadsheets required, but hey — you do you).
How To Calculate Debt
First things first: you’re not alone.
If the idea of sitting down and calculating your total debt sounds like a form of emotional self-harm… welcome. You’re in good company. Most people avoid this step not because they’re lazy or reckless — but because they’re tired, anxious, and trying to get through the week without spiraling.
Debt is emotional. It’s rarely just numbers on a page. It’s shame, overwhelm, missed payments, “how did this even happen,” and the occasional late-night existential crisis. I get it. But here’s the good news:
Knowing your number is the beginning of taking control — not proof that you’ve failed.
So… how do you calculate your debt?
Let’s break it down in plain English, minus the jargon and financial guilt.
Step 1: Make a list of everything you owe.
Yes, everything. Even the “I’ll just pay that off next month” ones. You want to include:
- Credit cards (include the current balance, not your limit)
- Personal loans
- Buy now, pay later services (Afterpay, Klarna, etc.)
- Student loans
- Car loans
- Money borrowed from family or friends
- Medical bills (especially if you’re on a payment plan)
- Any other “you owe someone money” situation
📝 Tip: This doesn’t have to be fancy. Open a Google Doc, grab a notebook, or even use the Notes app on your phone. We’re just getting a rough draft here — not applying for a loan.
Step 2: Write down the key details for each debt.
You’ll want to track three simple things:
- Total balance (how much you owe right now)
- Interest rate (if there is one — this tells you how expensive the debt is)
- Minimum monthly payment
That’s it. No need to go full accountant. Just capture the essentials.
🔍 Why? Because this gives you a full picture of what’s going on. You’ll know what’s urgent, what’s manageable, and what’s quietly draining your bank account with interest.
Step 3: Add it all up.
This is the part you might want to do with snacks, music, or a supportive friend on standby. Add all the balances together to get your total debt.
If the number makes you feel like a deer in headlights: that’s normal. Take a breath. You didn’t create this overnight, and you don’t have to fix it overnight, either.
Why knowing the number is way less scary than guessing
Your imagination will always make the number worse. That’s just how anxiety works. You’ll assume the worst, round everything up, and spiral into “I’m doomed forever” territory.
But when you know your number, you have power. You can:
- Make a realistic plan
- Prioritize what to pay off first
- Catch errors (yes, they happen!)
- Actually see progress over time
Knowing where you stand isn’t scary — being in the dark is.
How to track your personal debt (without hating your life)
There are fancy budgeting apps if you love that kind of thing (hi, nerds 👋), but if not, here are some low-effort ways to keep tabs on your debt:
- A simple spreadsheet (Google Sheets is your friend)
- A notes page on your phone
- A debt tracking printable (search Etsy or Creative Fabrica — lots of cute options)
- A whiteboard where you can wipe off amounts as they drop
Just pick something you’ll actually use. Personal debt tracking only works if you can see what’s happening — not if it lives in a drawer or your mental “to-do eventually” list.
You don’t have to pay it all off right now. You just have to see it.
Repeat after me: I am not my debt.
Your worth doesn’t change based on what you owe. But your sense of power will change once you stop ignoring it.
Debt awareness isn’t about judging yourself. It’s about equipping yourself.
When you know what’s there, you can:
- Stop guessing at your budget
- Say “no” to new debt you don’t need
- Celebrate the smallest wins (paying off $50 is still progress!)
- Sleep better — no, really
Final thoughts: This is the start, not the end
I know this is a big mental lift. But give yourself credit (not the kind with interest). Most people avoid looking at their debt for years. The fact that you’re even here, reading this, means you’re already doing better than you think.
And here’s something to remember: debt is not a moral failing. It’s just a math problem — and one you can solve, even if it takes a while.
Next steps? Bookmark this post. Make your list. Add the numbers. Then go take a walk or a nap or scroll TikTok for 20 minutes. You earned it.