How to use this debt snowball calculator
- List your debts. For each one, enter a name, the current balance, the APR and the minimum monthly payment. You can add up to ten debts or remove any you don't need. Three example debts are filled in to show how it works.
- Add an extra monthly payment: anything you can pay on top of your minimums.
The calculator builds two plans and compares them side by side: when you'll be debt-free, total interest, total paid, how much one method saves, and the order your debts are paid off. Below, a chart shows your remaining balance over time, and a month-by-month schedule lists every payment.
How the two methods work
Both strategies follow the same steps every month; they only differ in which debt gets the extra money.
Because paid-off minimums roll over, your total monthly payment stays the same from the first month to the last.
Worked example
In this example, the avalanche saves $726.23 in interest and finishes one month sooner, because the 24.99% credit card stops growing much earlier. The snowball still has a real advantage: the first debt disappears in just four months.
Snowball or avalanche: which should you choose?
- Choose the avalanche if you want the lowest total cost and you're confident you'll stay on track even if the first payoff takes a while.
- Choose the snowball if quick wins help you stay motivated, or if your debts have similar interest rates, which makes the cost difference small.
- Look at the numbers. If the calculator shows only a small saving for the avalanche, the motivation of the snowball may be worth it. If the saving is large, the avalanche is hard to ignore.
- When the order is the same, as when your smallest debt also has the highest rate, both methods give identical results, so the choice doesn't matter.
Tips to get out of debt faster
- Automate everything. Schedule every minimum payment and the extra payment so nothing is missed.
- Stop adding new debt. A plan only works if balances aren't growing behind it.
- Increase the extra payment over time. When you get a raise or finish paying a bill, add some of it to the plan.
- Use windfalls. A tax refund applied to the target debt can remove months from the timeline.
- Keep a small emergency fund. A modest cash cushion helps you avoid new card debt when something unexpected happens.
- Lower your rates. A cheaper balance transfer or consolidation loan can help; compare offers with our personal loan calculator, including any fees.
What to do once you're debt-free
When your last debt is paid off, you'll have the full monthly amount you were paying, minimums plus extra, free every month. That's the moment to put it to work before it disappears into everyday spending:
- Build or top up an emergency fund so an unexpected bill doesn't send you back to a credit card.
- Save for retirement, especially if your employer offers a match you aren't using.
- Set savings goals for the things you'd otherwise borrow for, such as a car or home repairs. Our savings goal calculator shows how much to put aside each month.
Keep the habits that got you out of debt: a budget, automatic payments and paying card balances in full each month.
Staying motivated
Debt payoff plans take time. A simple chart on the fridge or a note in your phone that you update each month makes progress visible. Celebrate each debt you clear, in a way that doesn't cost much, and rerun the calculator when your balances change so the finish line keeps getting closer.
What this calculator doesn't include
The calculator assumes fixed APRs, no new charges or fees, on-time payments, and minimum payments that stay the same. Credit card minimums usually fall as the balance falls; this plan keeps paying the same amount, which pays debts off faster. Promotional rates, penalty APRs and changing variable rates can change your results. Use the plan as a guide and update it whenever your balances or rates change.