Calculator
Debt Payoff: Avalanche vs. Snowball
List every debt and one monthly budget, and this calculator runs both classic payoff orders — avalanche (highest rate first) and snowball (smallest balance first) — and shows the time and interest difference, honestly. On the sample debts it loads ($12,700 across three accounts, $490 a month), avalanche is debt-free in 2 years 11 months and saves about $661 in interest; snowball takes one month longer but closes its first account in month 5 instead of month 22.
Your debts
This receipt disappears when you close the tab. FWF Ledger, our companion app, keeps the plan alive: your order runs against real balances, and the debt-free date moves as you pay. This calculator stays free either way.
- No bank link needed — typing in balances is free.
- Free to start, no card. Paid only for bank sync and extras.
- No ads, no ad trackers, and your data is never sold.
How do the avalanche and snowball methods work?
Every month, the simulation charges each debt its share of interest (its APR ÷ 12), pays the minimum on every debt, then puts your entire extra amount at one target debt. Avalanche targets the highest APR first — that's the mathematically optimal order, because expensive interest dies first. Snowball targets the smallest balance first — you clear whole accounts sooner, which is worth real money in motivation even though it usually costs somewhat more in interest. When a debt is paid off, its minimum payment rolls into the attack on the next target — that rollover is where both strategies get their speed.
We run both strategies on your actual numbers and show the difference, because the honest answer to "which is better?" is: it depends on the gap. If avalanche saves you $40, pick whichever keeps you paying. If it saves you $1,400, that's a real argument. Our avalanche vs. snowball article walks through the psychology; this page does the arithmetic.
A worked example
Three debts: a $8,000 card at 24%, a $3,500 card at 18%, and a $1,200 loan at 8%, with $290 in combined minimums and $200 extra. Avalanche clears everything in 35 months with about $4,277 in interest; snowball takes 36 months and about $4,938 — so avalanche saves roughly $661 and a month. But snowball closes the $1,200 loan in month 5, while avalanche makes you wait until month 22 for your first cleared account. Type your own numbers above; the receipt shows both totals and the chart shows both payoff curves.
Common questions
Which strategy should I pick? The one you'll still be following in month eighteen. The receipt shows exactly what avalanche saves on your numbers — if the gap is small, the motivational win of snowball is cheap; if it's large, avalanche earns its keep.
Which debts belong in the list? Every one you're actually paying — cards, personal loans, student loans, and the car. Most people leave a low-rate mortgage out, since a six-figure balance at the front of a snowball would freeze it for years. If you're still shopping for the car, the payment and interest on a car loan are worth pinning down before you type them in here.
What about consolidation or balance transfers? They can lower your average rate, which changes this math — rerun the comparison with the new rate. Watch transfer fees (typically 3–5%) and what the rate becomes after the promo period.
Should I stop saving while paying debt? Keep a small emergency fund first — without one, the next surprise expense goes straight back on the card you just paid down. After that the two do the same job: paying debt shrinks what you owe, saving grows what you own, and your net worth, tracked over time, counts both the same.
Assumes fixed APRs and no new charges — a real card you keep spending on will take longer. General information, not personalized financial advice. Found an error? Tell us and we'll fix it.