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Debt Snowball Calculator 2026

You're paying thousands in unnecessary interest. See snowball vs avalanche side-by-side — with the exact payoff date for each.

Quick add:
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On top of all minimum payments

How to Use This Calculator

Tab "Snowball vs Avalanche"

Enter your debts — name, balance, APR, and minimum payment for each. Add up to 15 debts using the "Add debt" button or quick-start templates. Set your extra monthly payment (on top of all minimums). The calculator runs both strategies side-by-side: Snowball (smallest balance first) and Avalanche (highest APR first). See the exact difference in interest paid, months to debt-free, and which debt disappears first under each method.

Tab "Debt-Free Date"

Set a target date (in months) and pick your strategy. The calculator works backwards to find exactly how much extra you need to pay each month to be debt-free by that date. It also shows what happens if you make only minimum payments — so you can see the cost of waiting.

Tab "Consolidation Check"

Enter a consolidation loan's APR, term, and origination fee. The calculator compares your current debts (paid via avalanche at minimum payments) against a single consolidation loan — side-by-side. It gives a clear verdict: green (save money), yellow (trade-off), or red (costs more).

The Formulas

Monthly Interest Accrual (per debt):
Interest = Balance × (APR / 12)
New Balance = Balance + Interest − Payment

Snowball Sort: debts sorted by balance ascending (smallest first)
Avalanche Sort: debts sorted by APR descending (highest first)

Freed-Payment Cascade:
When a debt is paid off, its minimum payment is added to the extra payment pool.
This "snowball" of freed payments accelerates payoff of remaining debts.

Consolidation Loan (standard amortization):
Loan Principal = Total Balance + Origination Fee
PMT = P × r(1+r)n / ((1+r)n − 1)
where r = APR/12, n = term in months
Total Paid = PMT × n
Total Interest = Total Paid − Original Balance
(Origination fee is baked into the loan principal — not added separately to total cost)

Reverse Solve (Debt-Free Date):
Binary search for the extra payment that achieves target months.
60 iterations, precision within $1.

Example

Sarah — Marketing Manager in Texas

4 debts totaling $38,000. Extra payment: $300/month.

Credit Card$5,200 @ 24.9%
Personal Loan$7,800 @ 11.5%
Car Loan$12,000 @ 6.5%
Student Loan$13,000 @ 5.0%
Snowball: debt-free in33 months
Snowball: total interest$4,890
Avalanche: debt-free in31 months
Avalanche: total interest$4,230
Avalanche saves$660

With snowball, Sarah's credit card is gone in 9 months — a quick win. With avalanche, it's also first (highest rate), but the math saves her $660. If she consolidates at 9.5% over 48 months, she'd pay $4,100 in interest — but her monthly payment drops by $180. Trade-off: lower payment vs. 15 extra months.

Frequently Asked Questions

Snowball pays off your smallest balance first, regardless of interest rate. You get quick wins that build motivation. Avalanche pays off your highest interest rate first, saving you the most money mathematically. Both use the same "freed payment cascade" — when one debt is gone, its minimum payment rolls into the next. The only difference is the order.
Avalanche always saves at least as much as snowball — often $500–$3,000 more for households with $30K–$50K in debt. However, research from Northwestern's Kellogg School shows people using snowball are more likely to actually finish their payoff, because small wins release dopamine and build momentum. A mathematically inferior plan you follow beats a perfect plan you abandon.
It depends on the rate you qualify for. If you can get a consolidation loan at a lower APR than your weighted average rate, and the origination fee doesn't erase the savings, it can be worth it. But watch the term — a longer loan means more interest even at a lower rate. Use the "Consolidation Check" tab to compare your specific numbers. Also consider: consolidation only works if you don't run up new debt on the freed credit cards.
Even $50–$100/month extra makes a significant difference. On $30K of debt at average credit card rates, $200/month extra can save you $5,000+ in interest and get you debt-free 2–3 years sooner. Use the "Debt-Free Date" tab to find the exact amount for your target date. Start with whatever you can afford consistently — a smaller amount you maintain is better than a larger amount you can't sustain.
When all APRs are within 2–3 percentage points, the interest difference between snowball and avalanche is usually under $200. In that case, go with snowball — the psychological benefit of quick wins outweighs the small mathematical advantage of avalanche. The strategy matters most when you have a mix of high-rate credit cards (20%+) and low-rate loans (5–7%).

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