📉 Free Finance & Money Tool

Debt Payoff Calculator

List your debts, add any extra monthly payment, and compare the snowball and avalanche methods to see exactly when you'll be debt-free.

⚡ Instant results 🔒 No signup required 📱 Works on any device

Avalanche targets the highest interest rate first (saves the most money). Snowball targets the smallest balance first (builds momentum).

Your payoff plan

How to Use the Debt Payoff Calculator

List every debt, and get a full payoff plan.

1

Add each debt

Enter the balance, interest rate (APR), and minimum monthly payment for every debt you're carrying.

2

Add extra payment & pick a strategy

Enter any extra amount you can put toward debt each month, then choose Avalanche or Snowball.

3

See your full plan

Get your debt-free date, total interest paid, and the exact order each debt gets eliminated.

Snowball vs. Avalanche: Which Should You Use?

Both pay off the same debts — they just choose a different order.

🏔️ Avalanche method

Pay minimums on everything, then throw all extra money at your highest interest rate debt first. Mathematically optimal — saves the most money in total interest paid.

⛄ Snowball method

Pay minimums on everything, then throw all extra money at your smallest balance first. Clears individual debts faster, which many people find more motivating to stick with.

AvalancheSaves the most money
SnowballBest for motivation
Either >Minimum payments only

Tips for Paying Off Debt Faster

Small changes that meaningfully shrink your payoff timeline.

✅ Speeding up payoff

  • Put windfalls — tax refunds, bonuses, gifts — straight toward your target debt
  • Avoid taking on new debt while paying down existing balances
  • Automate extra payments so they happen consistently, not just when convenient

⚠️ Common mistakes

  • Spreading extra payments thin across every debt instead of focusing on one
  • Ignoring a 0% promotional rate deadline before it jumps up
  • Ignoring the highest-rate debt because its balance looks intimidating

Frequently Asked Questions

Common questions about the snowball and avalanche methods.

What is the debt snowball method?+

The debt snowball method pays off debts in order from smallest balance to largest, regardless of interest rate. Once the smallest debt is paid off, its payment is added to the next smallest, building momentum and motivation.

What is the debt avalanche method?+

The debt avalanche method pays off debts in order from highest interest rate to lowest, regardless of balance size. This minimizes the total interest paid over time, making it mathematically the most efficient method.

Is snowball or avalanche better?+

Avalanche typically saves more money in total interest, since it targets the most expensive debt first. Snowball can be more motivating for some people since it produces quick wins by clearing small balances early, which can improve follow-through.

Does making extra payments really speed up debt payoff that much?+

Yes, often significantly. Extra payments go straight toward principal, which reduces the balance interest is calculated on going forward, compounding the time and money saved the earlier they're made.