Debt Payoff Calculator

Compare avalanche vs snowball strategies and see how extra payments accelerate your debt-free date

Debt-Free In
6y 6m
with $200/mo extra
Total Debt
$48,000
3 accounts
Interest Saved
$5,857
vs minimum payments
Time Saved
2y 10m
faster payoff
Payoff Strategy
$200
Your Debts
Payoff Order
1Credit Card
2Car Loan
3Student Loan
Debt Balance Over Time
Remaining Debt
Total Interest Paid
Strategy Comparison

Total interest paid by strategy (with $200/mo extra)

No Extra
112 months
$14,778 interest
Avalanche
78 months
$8,921 interest
Snowball
78 months
$8,921 interest

How the Debt Payoff Calculator works

This calculator compares the two most popular debt payoff strategies — avalanche and snowball — using your actual balances, interest rates, and monthly budget. It builds a month-by-month payoff plan for each strategy and shows how long you'll be in debt, how much interest you'll pay, and how much an extra monthly payment changes both.

The avalanche method directs every spare dollar at the debt with the highest interest rate first, which minimizes total interest paid. The snowball method attacks the smallest balance first, which produces quick wins that help many people stay motivated. Mathematically the avalanche always wins or ties, but the best strategy is the one you'll actually stick with.

Tips to get the most out of it

  • Always make at least the minimum payment on every debt — both strategies only differ in where the extra money goes.
  • Even $50–$100 extra per month can cut years off a payoff plan when balances carry high interest rates.
  • If two debts have similar rates, paying the smaller one first frees up its minimum payment sooner.
  • Avoid taking on new debt while paying down old debt — new charges undo the plan fastest.

Frequently asked questions

Which is better: avalanche or snowball?

Avalanche (highest interest rate first) always costs the same or less in total interest, so it's the mathematically optimal choice. Snowball (smallest balance first) gives faster early wins, which research suggests helps people stay committed. If the interest difference between the two is small for your debts, pick the one that keeps you motivated.

How much extra should I put toward debt each month?

As much as you can sustain after covering essentials and a small emergency buffer. Consistency matters more than size: a steady $100 extra every month usually beats occasional larger payments, because it reduces the balance that interest accrues on every single month.

Should I pay off debt or build an emergency fund first?

Most planners suggest a starter emergency fund of $1,000–$2,000 first, then attacking high-interest debt aggressively, then building the full 3–6 month fund. Without any cushion, one surprise expense can push you back onto a credit card and undo your progress.

Does paying off a debt early hurt my credit score?

Paying down revolving balances generally helps your score by lowering credit utilization. Closing a paid-off credit card can reduce your available credit and average account age, so many people keep old cards open with a zero balance. Paying off an installment loan can cause a small, temporary dip but is almost always the right financial move.

From the Knowledge Base

Debt Payoff Strategies: Avalanche vs Snowball

Two proven approaches to eliminating debt — one saves more money, the other builds more momentum. Which is right for you?

Read the guide