Debt Payoff Calculator
Compare snowball vs. avalanche methods, see months to debt-free, and total interest paid.
Add Your Debts
Your Plan
Your Payoff Plan
Debt Payoff Schedule
| Debt | Original Balance | Interest Paid | Months to Payoff |
|---|
Financial Planning Resources
- Debt Snowball vs Avalanche: Which Method is Better?
- Debt Consolidation Calculator: Compare Your Options
- Financial Health Score Calculator: See How Your Debt Fits Into the Full Picture
- ROI Calculator: Should You Pay Off Debt or Invest Instead?
- Debt-to-Income Ratio Calculator: Know Your Numbers Before You Borrow
- Moving Cost Calculator: Budget for Relocation While Paying Down Debt
- Retirement Savings Calculator: Pay Off Debt While Building Your Nest Egg
- The Total Money Makeover by Dave Ramsey (Book)
- Debt-Free Degree by Anthony O'Neill (Book)
How to Use This Calculator
- Enter your debts: Add each debt with its name, current balance, minimum monthly payment, and interest rate.
- Set your extra payment: Enter how much extra you can pay toward your debts each month beyond the minimums.
- Choose a method: Select either the snowball method (pay off smallest debts first) or avalanche method (pay off highest-interest debts first).
- Calculate: Click the "Calculate Payoff Plan" button to see your personalized debt payoff strategy.
The calculator will show you how long it will take to become debt-free, how much interest you'll pay, and the payoff schedule for each debt.
FAQ
What is the debt snowball method?
The debt snowball method, popularized by Dave Ramsey, pays off debts in order of smallest balance to largest. You make minimum payments on all debts and put any extra money toward the smallest balance. Once paid off, you roll that payment into the next-smallest debt. The psychological wins keep you motivated.
What is the debt avalanche method?
The debt avalanche method pays off debts in order of highest interest rate to lowest. You make minimum payments on all debts and put extra money toward the highest-rate debt. This saves the most money in interest but takes longer to see a debt fully paid off, which can hurt motivation.
Which method is better?
The avalanche method saves more money in interest. The snowball method is more motivating because you see debts paid off faster. Mathematically, avalanche wins. Psychologically, snowball often wins. Most financial advisors recommend the one you'll stick with.
How much extra should I pay each month?
Even an extra $100/month per debt can cut years off your payoff timeline. The more you can put toward debt, the faster you'll be debt-free. A common rule: put 20% of your take-home pay toward debt (after minimums are met) until all non-mortgage debt is paid off.
Should I consolidate my debt first?
Debt consolidation makes sense if you can lower your interest rate and you have the discipline not to run up new balances. If your credit score qualifies you for a 0% balance transfer card or a lower-rate personal loan, consolidation can save significant interest. But if you can't resist using your newly available credit, consolidation can make your debt situation worse. Calculate whether the savings outweigh any balance transfer fees before deciding. If you're considering consolidation, try our Debt Consolidation Calculator to compare your current debts with a potential consolidation loan.