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Debt Snowball vs. Debt Avalanche

Build a payoff plan across all your debts and compare the avalanche and snowball methods.

Debt-free in2 yr 6 mo

Understanding this calculator

Both classic payoff methods work the same way mechanically — pay minimums on everything, aim every spare dollar at one target debt, and roll each freed-up minimum into the next target. They differ only in the order. Avalanche targets the highest APR first and always wins on total interest. Snowball targets the smallest balance first and wins on momentum: quick early payoffs keep people going.

The honest advice: the best method is the one you'll stick with, and the gap between them is usually smaller than the gain from adding even $50 more per month. Run both here and look at the difference before choosing.

Assumptions and methodology

  • Monthly simulation: interest accrues at each debt's APR ÷ 12, minimums are paid, then the extra payment (plus freed-up minimums) goes to the target debt in the chosen order.
  • Assumes fixed APRs and no new charges; a plan that can't cover accruing interest is flagged rather than shown as payable.

Last reviewed August 30, 2026. Year-specific figures show their tax or data year in the tool; data is reviewed when the IRS, SSA, and CMS publish annual updates.

Common questions

Avalanche or snowball?

Avalanche if you're motivated by math, snowball if you're motivated by wins. The calculator shows the exact interest difference for your debts so you can decide with real numbers.

Should I pay off debt before saving for retirement?

Common ground: always capture an employer match first, attack high-APR debt (credit cards) aggressively, and treat low-rate debt as a judgment call alongside investing.