Why would anyone use snowball if it costs more?

Behavioral, not mathematical: paying off a small debt entirely, quickly, is a visible win that keeps many people motivated to continue. The CFPB's own guidance notes that a plan you actually stick with beats a mathematically optimal one you abandon.

What if I have more than 3 debts?

This calculator handles up to 3. For more, the same logic still applies by hand: pay every minimum, then route all extra funds to whichever debt your chosen strategy prioritizes, and re-evaluate once one is paid off.

Does 'debt-free in' include the minimum payments too?

Yes — the payoff time reflects your total monthly outlay (all minimums plus the extra budget), not just the extra amount alone.

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Finance

Debt Payoff Calculator

Compare the snowball and avalanche methods across up to 3 debts.

🔒 Runs entirely in your browser — nothing here is ever uploaded

Last reviewed 2026-08-25

About the Debt Payoff Calculator

Compares two strategies for paying off multiple debts faster than the minimums alone — the avalanche method (highest interest rate first) and the snowball method (smallest balance first) — showing how long each takes and how much interest each costs.

How to use it

Enter the Balance, APR, and Minimum payment for each debt you're carrying (up to 3 — leave any unused one at a 0 balance).
Enter any Extra monthly payment you can put toward debt beyond the minimums.
Read the debt-free timeline and total interest for both the avalanche and snowball strategies.

Formula

Every debt's minimum payment is made each month; any extra budget is routed entirely to one priority debt at a time — the highest-APR debt under the avalanche method, or the smallest-balance debt under the snowball method — until that debt is paid off, at which point its former payment amount (minimum plus any leftover extra) rolls onto the next priority debt. This is the standard mechanic behind both named strategies, as described by the CFPB's own debt-reduction guidance.

Worked example

Three debts — $4,000 at 24% APR, $8,000 at 12% APR, and $2,000 at 18% APR, each with typical minimum payments, plus $200/month extra — pay off faster and cheaper under avalanche (extra goes to the 24% APR debt first) than under snowball (extra goes to the $2,000 balance first), though the exact gap depends on your own numbers.

Recommendations

• Avalanche always minimizes total interest paid — it's the mathematically optimal strategy when you'll stick with it.
• Snowball usually costs a bit more in total interest, but clearing a small debt entirely, fast, is a real motivational win for a lot of people — the CFPB notes a plan you actually stick with beats a technically-optimal one you abandon.
• If your extra budget can't clear at least one debt within a reasonable time, consider whether a lower-rate consolidation loan or balance transfer is worth exploring alongside either strategy.

Frequently asked questions

Avalanche (highest APR first) always minimizes total interest paid, mathematically — that's true regardless of your specific numbers, since it prioritizes the debt costing you the most first.