Debt Snowball Calculator — Payoff Order & Timeline
Payoff Order
--
Total Months to Debt-Free
--
Total Interest Paid
--
How the Debt Snowball Method Works
The debt snowball method, popularized by Dave Ramsey, pays off debts from smallest balance to largest, regardless of interest rate. You make minimum payments on all debts except the smallest, which gets all extra payments. When the smallest is paid off, its payment rolls into the next smallest.
The psychological benefit is powerful: quick wins from eliminating small debts build momentum and motivation. Research shows people who use the snowball method are more likely to become debt-free because of this behavioral advantage.
The mathematical downside: you may pay more total interest compared to the avalanche method (highest interest first). However, the difference is often smaller than expected, and the motivational benefit of quick wins outweighs the interest cost for many people.
Frequently Asked Questions
Snowball vs avalanche - which is better?
The avalanche method (highest interest first) saves more money mathematically. The snowball method (smallest balance first) provides faster psychological wins. Studies show snowball users are more likely to follow through. Choose the method you will actually stick with.
Should I save or pay off debt first?
Build a $1,000 emergency fund first, then attack debt aggressively. Without an emergency fund, unexpected expenses force you back into debt, undoing your progress.
How much extra should I pay toward debt?
As much as possible while maintaining your emergency fund and essential expenses. Even $100-200 extra per month can shave years off your debt payoff timeline and save thousands in interest.