Debt Snowball Calculator
The snowball method pays off your smallest balance first for fast, motivating wins — then rolls each freed-up payment into the next debt. List your debts, set a monthly budget, and see your debt-free date.
| # | Debt | APR | Paid off by |
|---|
Estimates are for illustration and education only — not financial advice. Assumes fixed rates, on-time payments and no new borrowing. Minimum-payment rules and fees vary by lender.
Why the snowball works
The debt snowball is about behaviour, not just math. You pay the minimum on every debt, then throw every spare dollar at the smallest balance. When it's gone, its whole payment rolls onto the next-smallest — the "snowball" grows as it goes. Knocking out a full debt early gives you a quick, visible win that keeps you motivated.
Snowball vs avalanche
The snowball targets the smallest balance first; the avalanche targets the highest interest rate first. Avalanche is usually a little cheaper in total interest, but the snowball's early wins help many people actually stick with the plan. The best method is the one you'll finish — try both here and compare.
The roll-over is the engine
The power comes from never reducing your total monthly payment. Each time a debt disappears, its payment doesn't go back into your budget — it piles onto the next target. That's why the last debts fall so quickly compared with paying minimums on everything.
After the last payment
Once you're debt-free, keep making that same monthly payment — to yourself. Point it at our compound interest calculator and the money that once serviced debt starts compounding in your favour instead.
How the snowball is built
Every month you pay the minimum on all debts and pour every spare dollar onto the smallest balance. When it clears, its whole payment rolls onto the next — so the amount attacking your debt only ever grows.
Snowball vs avalanche at a glance
Same debts, same budget — two orders. The snowball optimises for motivation; the avalanche optimises for cost. The best one is the plan you'll actually finish.
| Debt Snowball | Debt Avalanche | |
|---|---|---|
| Pays off first | Smallest balance | Highest APR |
| Optimises for | Motivation & wins | Least interest |
| Total interest | Slightly higher | Lowest possible |
| Best for | Staying the course | Cost-minded planners |
The gap in total interest between the two is often modest. If quick, visible wins keep you going, the snowball's slightly higher cost is a fair price for actually finishing. Try both with your real numbers on the avalanche calculator.