Which is better - snowball or avalanche?

Avalanche saves more money mathematically. But snowball's quick wins help many people stay motivated. Choose based on what will keep you committed.

Should I save or pay off debt first?

Build a small emergency fund first ($1,000-2,000), then focus on high-interest debt. Without an emergency fund, unexpected costs push you further into debt.

How do I find extra money for debt payments?

Review your budget for subscriptions, dining out and other discretionary spending. Even redirecting $20/week adds over $1,000/year to debt payments.

Debt Payoff Calculator

See how long it takes to become debt-free with snowball or avalanche and how much interest you pay.

Add your debts (balance, APR, minimum payment). Pay minimums on all, then put extra toward one debt: snowball targets the smallest balance first (quick wins); avalanche targets the highest interest first (saves the most interest). This is for estimation only.

Your Debts

Add each debt with balance, APR and minimum payment. Choose snowball (smallest balance first) or avalanche (highest interest first).

Debt 1

Name

Balance ($)

APR (%)

Minimum payment ($/month)

Debt 2

Name

Balance ($)

APR (%)

Minimum payment ($/month)

Extra payment per month ($)

Extra amount to put toward one debt each month (on top of minimums). Applied to the chosen debt under your strategy.

Strategy

Refinance option (compare)

Refinance highest-APR debt to compare. Leave blank to skip.

New rate (%)

Fees ($)

Strategy comparison

avalanche

Interest: $2,848

Months: 35

snowball

Interest: $2,848

Months: 35

Payoff Summary

Avalanche strategy

Time to debt-free

2 years and 11 months

35 months

Total interest

$2,848

Total amount paid

$17,848

Per-debt summary

Credit card

Interest: $670Paid off in month 17

Personal loan

Interest: $2,178Paid off in month 35

Estimate only. Assumes minimums on all debts and extra toward one debt per month. For personalised debt advice, consider a financial counsellor.

Debt Payoff Trajectory

Watch your total debt balance decrease over time

How to Use This Calculator

1Add each debt with its balance, interest rate (APR) and minimum payment
2Enter any extra amount you can pay each month beyond minimums
3Choose your payoff strategy - snowball or avalanche
4See the payoff order, total interest paid and months to debt-free

How Do Debt Payoff Strategies Work?

Both strategies pay minimums on all debts and direct extra payments to one debt at a time. The difference is which debt gets the extra money.

Snowball targets the smallest balance first for quick wins and motivation. Avalanche targets the highest interest rate first to minimise total interest paid.

Snowball vs Avalanche

Snowball method: Pay off smallest balance first. Satisfying quick wins keep you motivated.
Avalanche method: Pay off highest interest first. Mathematically saves the most money.
Extra payments: Even $50/month extra can shorten payoff by years and save thousands in interest.
Minimum payments: Always pay at least the minimum on every debt to avoid fees and credit damage.

Paying Off Debt Faster