💳 Debt Payoff Calculator
Compare the debt snowball and debt avalanche methods to see how quickly you can pay off your debts and how much interest you'll save.
Your Debts
Your Payoff Comparison
| Strategy | Months to Debt-Free | Total Interest Paid |
|---|---|---|
| Snowball | – | – |
| Avalanche | – | – |
Snowball pays off the smallest balance first for quick psychological wins; avalanche targets the highest interest rate first to minimize total interest paid. Both apply the same total monthly budget (minimums + extra payment).
How the Debt Payoff Calculator Works
This calculator simulates paying off up to three debts month by month. Every month you pay the minimum on each debt, then apply your extra payment (plus any minimum payments freed up from debts you've already paid off) toward one target debt.
Formula
balance = balance + interest − payment
Snowball target = debt with smallest remaining balance
Avalanche target = debt with highest APR
Extra payment + freed-up minimums roll onto the target debt each month
Snowball vs Avalanche
- Snowball — pay off the smallest balance first. Builds momentum with fast wins, though it may cost slightly more in interest.
- Avalanche — pay off the highest interest rate first. Mathematically minimizes total interest paid over time.
Frequently Asked Questions
Which method saves more money?
The avalanche method almost always results in less total interest paid because it targets the highest-rate debt first. The savings compared to snowball depend on how different your interest rates are.
Which method should I choose?
Choose avalanche if you want to minimize cost and are disciplined. Choose snowball if you want quick wins to stay motivated — many people stick with a plan longer when they see debts disappear quickly.
What happens to a debt's minimum payment once it's paid off?
Once a debt is fully paid, its minimum payment is "freed up" and added to the extra payment applied toward your next target debt, accelerating your payoff.