How to Pay Off Debt When You Can Only Work Part-Time
- Paying off debt can be trickier when you work part-time.
- Careful budgeting and spending could free up money to chip away at debt.
- You may be able to take on a side gig or two in addition to your part-time job.
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Carrying debt can be stressful. Not only does a portion of your paycheck have to go toward that debt, but just the idea of having those payments hanging over your head can be stressful.
You may be eager to pay off your debt and get to a happier place financially. But paying off debt can be tricky when you only work part-time, since you may be looking at a smaller paycheck.
You may be limited to part-time wages because you’re still looking for a full-time job, or because your employer cut your hours. Or it may be that you’re in school or have young children and therefore only have so many hours in the week to work.
You can pay off debt even if you’re not working full-time. You just need the right strategy. Here’s how you can do it.
1. Get on a Tight Budget
When you’re limited to a part-time wage, every dollar you earn counts. And if you’re committed to paying off debt while covering your regular expenses, it’s important to understand where every one of your dollars is spent. That’s where budgeting comes in.
You might think of budgeting as a boring, time-consuming process. But setting up a budget can be pretty simple. You don’t even need any fancy tools—a spreadsheet or notebook is enough.
Just list your expenses along with what they cost, then compare them to your take-home pay. That should give you a sense of how much money you can realistically free up every month for paying off debt.
There are also budgeting apps that can track your spending. These apps typically sync up to your bank and credit card accounts so all your spending is accounted for.
2. Trim Expenses Where Possible
It takes money to pay off debt—there’s no arguing that. And you may not have a lot of extra money coming your way if you work part-time. Reducing some of your expenses temporarily could help you get rid of your debt. Once you do, you can go back to spending more.
Take a look at your budget and see where there’s room to cut back. You may need to get creative, or even be open to a different living arrangement. For example, if you spend most of your pay on expenses now and you can’t find cheaper rent, getting a roommate may be something to consider. If your car payments eat up a huge chunk of your salary but there’s public transportation nearby, you may want to consider selling your car and taking the bus to work, even if it makes your commute less convenient.
To be clear, these are not necessarily changes you need to commit to long-term. Spending less for even a year might have a huge impact.
Also, in time, you may end up working more hours. That, too, could give you more leeway to increase your spending.
3. See If You Can Boost Your Income with a Side Hustle or Two
If you’re working part-time because you have limited hours during the week, then picking up a side gig for an income boost may not be feasible. But if you’re open to and available for more working hours and you’re struggling to find them, you may be better off joining the gig economy.
Unlike a job at an office, restaurant, or retail store, places where a hiring manager has to make you an offer, there are side hustles you can snag on your own as long as you’re willing to put in the time. Examples include driving for a ride-hailing company and offering pet-sitting services.
If you mostly need your part-time paycheck to cover your living expenses, your side hustle income could be your ticket to paying off debt. And if your side hustle proves lucrative and is more flexible than your part-time job, you could even consider ditching your part-time role and putting in more hours at that gig.
Debt Relief for Those With a Financial Hardship
It’s not easy to pay off debt when you don’t work a full-time schedule. If you don’t expect your situation to change soon and you feel like your debt is insurmountable, it could pay to explore your options for debt relief. You may be a candidate for debt settlement or consolidation, depending on your situation.
No matter which route you take, if you stick to a budget, limit your spending for a period of time, and boost your income with a side gig or two, you may find that you’re debt-free sooner than expected.
Debt relief by the numbers
We looked at a sample of data from Freedom Debt Relief of people seeking credit card debt relief during December 2025. This data reveals the diversity of individuals seeking help and provides insights into some of their key characteristics.
FICO scores and enrolled debt
Curious about the credit scores of those in debt relief? In December 2025, the average FICO score for people enrolling in a debt settlement program was 593, with an average enrolled debt of $25,843. For different age groups, the FICO scores varied. For instance, those aged 51-65 had an average FICO score of 588 and an enrolled debt of $27,829. The 18-25 age group had an average FICO score of 556 and an enrolled debt of $17,051. No matter your age or debt level, it's reassuring to know you're not alone. Taking the step to seek help can lead you towards a brighter financial future.
Collection accounts balances – average debt by selected states.
Collection debt is one example of consumers struggling to pay their bills. According to 2023, data from the Urban Institute, 26% of people had a debt in collection.
In December 2025, 30% of debt relief seekers had a collection balance. The average amount of open collection account debt was $3,203.
Here is a quick look at the top five states by average collection debt balance.
| State | % with collection balance | Avg. collection balance |
|---|---|---|
| District of Columbia | 23 | $4,899 |
| Montana | 24 | $4,481 |
| Kansas | 32 | $4,468 |
| Nevada | 32 | $4,328 |
| Idaho | 27 | $4,305 |
The statistics are based on all debt relief seekers with a collection account balance over $0.
If you’re facing similar challenges, remember you’re not alone. Seeking help is a good first step to managing your debt.
Tackle Financial Challenges
Don’t let debt overwhelm you. Learn more about debt relief options. They can help you tackle your financial challenges. This is true whether you have high credit card balances or many tradelines. Start your path to recovery with the first step.
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Author Information
Written by
Maurie Backman
Maurie Backman is a personal finance writer with over 10 years of experience. Her coverage areas include retirement, investing, real estate, and credit and debt management.
Reviewed by
Kimberly Rotter
Kimberly Rotter is a financial counselor and consumer credit expert who helps people with average or low incomes discover how to create wealth and opportunities. She’s a veteran writer and editor who has spent more than 30 years creating thousands of hours of educational content in every possible format.
How long does it take to pay off debt?
If you attack your debts aggressively (not including the mortgage) it's possible to pay them off in two to five years. If you are paying an installment loan as agreed, the payoff time depends on the loan's term. A 30-year mortgage takes 30 years to pay off unless you make extra payments.
Should I focus on paying off my debt or building my emergency fund?
Paying off debt is the first priority, but having some money saved for unplanned expenses can help keep you from going further into debt. A good rule of thumb is to save a modest amount, say $1,000 or $1,500, and then focus on paying down your debts. The third step would be to increase your emergency fund.
What’s the fastest way to pay off debt?
If you want to know how to pay off debt fast, you might ask a debt consolidation lender, a credit counselor, a debt consultant, or a bankruptcy attorney. Here are the timeframes for each option:
Debt consolidation does not pay off your debt. But by replacing high-interest debt with low-interest debt, you may clear your balances faster. Pick the debt consolidation loan with the lowest interest rate, then choose the shortest term you can afford.
Debt management from a credit counseling company typically takes four years. Note that debt management plans do not reduce what you owe. Debt management can fail when participants can’t afford the monthly payment over several years.
Debt settlement: According to the American Fair Credit Council, “Clients generally see initial account settlements within 4-6 months.” It typically takes two to four years to graduate from a debt settlement program.
Chapter 13 bankruptcies take three to five years to complete, but most filers have to make payments for five years.
You may be able to get debt-free with a Chapter 7 bankruptcy in four to six months after filing.