Debt Snowball vs Avalanche Calculator
Compare the debt snowball and debt avalanche methods. See how many months it takes to become debt-free and how much interest you'll pay. Free, private, no login.
Not ready? Start with Monthly Budget Planner (free) or this calculator as a free .xlsx. See all templates.
How the calculator works
Each month it adds interest to every balance (APR ÷ 12), pays every minimum, then sends the rest of your monthly budget to one target debt. Your budget stays the same, so when a debt is paid off its minimum payment rolls over to the next target. That rollover is what makes both methods speed up over time.
- Snowball: target the smallest balance first. You clear accounts sooner, which helps many people stay motivated.
- Avalanche: target the highest APR first. This always costs the same or less interest.
If your smallest debt also has the highest APR, both methods pick the same order and give identical results. That is expected, not an error.
Worked example
With the default debts (a $5,000 card at 29%, an $8,000 car loan at 6% and a $1,200 store card at 18%) and $700 a month, the snowball clears the store card first and is debt-free in 24 months with $1,999 in interest. The avalanche attacks the 29% card first and finishes in 23 months with $1,847 in interest, saving about $152.
The gap grows when a small debt has a low rate and a big debt has a high one. A $1,000 medical bill at 0% and a $9,000 card at 27% with $500 a month: snowball costs $3,329 in interest, avalanche $2,863, a saving of about $467.
Not sure what monthly budget you can commit? Work it out with the 50/30/20 budget calculator first.
FAQ
Which method should I choose?
If you will stick with either, avalanche saves the most money. If you need quick wins to stay motivated, snowball is a fine choice. The difference is often small next to the effect of paying more each month.
Does the calculator handle promotional 0% APR?
It uses one fixed APR per debt. For a 0% promo, enter 0 and remember the rate will jump when the promo ends.
Why does it say my debts will never be paid off?
Your monthly budget doesn't cover the interest being added. Increase the budget, or look at lowering the rate with a transfer or consolidation.