Debt Payoff Calculator (Snowball vs. Avalanche)

The snowball method pays off debts in order of smallest balance first, regardless of interest rate, to build psychological momentum from quick wins. The avalanche method pays off debts in order of highest interest rate first, which mathematically minimizes total interest paid over time.

The avalanche method (highest interest first) almost always results in less total interest paid, since it targets the debt that's costing you the most per dollar of balance — the snowball method is a behavioral strategy that trades some extra interest cost for motivation from early payoff wins.

Every month, minimum payments are made on all debts, and any extra amount (plus minimum payments freed up from debts you've already paid off) is applied entirely to whichever debt is first in your chosen strategy's order — this is the "snowballing" effect that accelerates payoff over time.

If a debt's interest charge each month exceeds its minimum payment, the balance will grow instead of shrink and the simulation will run until its 100-year safety cap — a clear sign that either the minimum payment or extra payment needs to increase for that debt to ever be paid off.