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Debt Payoff Calculator
Enter your debts and extra monthly payment to compare snowball (smallest balance first) vs avalanche (highest rate first) strategies.
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Payoff Timeline Comparison
Snowball vs Avalanche: Which Is Better?
The two most popular debt payoff strategies are:
| Strategy | How It Works | Best For |
|---|---|---|
| Snowball | Pay off smallest balance first | People who need quick wins for motivation |
| Avalanche | Pay off highest interest rate first | Saving the most money on interest |
The avalanche method is mathematically optimal — you’ll always pay less interest. But the snowball method eliminates individual debts faster, which can keep you motivated.
How the Extra Payment Works
Both strategies make minimum payments on all debts, then apply any extra money to the priority debt. Once that debt is paid off, the freed-up payment “rolls” into the next debt — creating a snowball effect.
Tips for Faster Debt Payoff
- Increase your extra payment — even $50 more per month makes a significant difference
- Use windfalls — tax refunds, bonuses, and side income can accelerate payoff
- Negotiate lower rates — call your credit card company and ask for a rate reduction
- Avoid new debt — pause credit card spending until existing balances are cleared
Want to understand your full financial picture? Use our Budget Planner to find extra money for debt payments.
Planning for after you’re debt-free? Our Compound Interest Calculator shows how redirecting debt payments into investments can build wealth.
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