Debt Snowball Calculator (2024)

Quickly see when you can become debt-free if you follow the debt snowball payoff method





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Sep 2025

1 year, 6 months

Payoff Summary

Payoff methodDebt snowball

Months in plan$123.45

Minimum payments total$123.45

Extra payment budget$123.45

Monthly payments budget$123.45

Principal paid$13,234.00

Interest paid$1,674.98

Total paid$13,234.00

Debt Payoff Planner App

Enjoying this debt snowball calculator?

Then you'll love the Debt Payoff Planner app

Debt Payoff Planner is the most comprehensive app for planning and tracking your debt payoff and has helped over 1 million people achieve less stress, more motivation, and a faster payoff.

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Payment Plan



2 months




2 months





&nbsp6 minimum payments


JC Penny


Visa 0090


BofA 3342


Student loan #1


Toyota loan


Debt #7




How the Debt Snowball Calculator Works

The Debt Snowball Calculator follows the debt snowball payoff method, which simplifies the process of paying down your debts by focusing on paying off the smallest balances first while maintaining minimum payments on all other debts. As each debt is paid off, the freed-up payment amount is then applied to the next smallest debt, creating a ‘snowball’ effect that accelerates your debt repayment. This debt snowball calculator will tell you how long it will take to become debt-free using the debt snowball method. It will also give you a custom payment plan custom so you can see exactly how to apply the debt snowball method to your situation.

Adding accounts

Using the debt snowball calculator is as simple as entering four basic pieces of information about each one of your debts. Use your latest statement for accurate information and then enter it as follows:

  1. Account Name (Optional): Enter the name of each debt account if you wish. This name will appear in the payment plan generated by the calculator, helping you easily identify each debt.
  2. Balance: Use your latest statement to input the total amount you currently owe for each debt.
  3. Minimum Payment: This is the amount your creditor requires as a monthly payment toward the debt. Ensure this amount exceeds the monthly interest to make progress in paying off the debt. If the creditor’s minimum payment doesn’t cover the interest, the calculator will prompt you to increase this amount.
  4. Interest Rate: Record the rate for each debt as a percentage, according to your latest statement. For example, if your credit card has a 19% interest rate, then enter ’19’ in this field.

The calculator starts with entries for just a single account. You can add new entries for each account using the ‘Add Account’ button. If you need to remove the entries for an account you can use the red trashcan button to delete that account.

Adding an extra payment amount

If you’re able to make additional payments beyond your total minimum monthly requirements, enter this amount in the ‘Extra Payment’ section of the debt snowball calculator.

The debt snowball calculator applies any extra payment you enter to the debt with the lowest balance first, considering it the highest priority. Once that debt is paid off, the extra amount is then applied to the debt with the next lowest balance, and this process continues until you are debt-free. This strategy, inherent to the debt snowball method, focuses on clearing debts with the lowest balances first.

Be sure to use the debt snowball calculator to experiment with extra payment amounts so you can see how much extra payments can affect your debt-free date. In some cases, making even a small extra payment each month can significantly accelerate your debt payoff and save you a considerable amount of money in interest.

Understanding your results

After you have entered your debt details and an extra payment amount, press the “Calculate Payoff” button to generate your results. Your results will give all the relevant information about your payoff process and let you know how long it will take.

Debt-Free Date

The top of your results displays your “Debt-Free Date,” the month and year you are projected to pay off all your debts if you follow the payment plan. Also shown is the number of years and months this is in the future.

Your debt-free date represents your light at the end of the tunnel. Even if this date is farther out than you hoped, at least you know that it is possible to become debt-free. If you have a reasonable plan and you execute it consistently over time, you can become debt-free!

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Payoff Summary

This section provides a summary of the key statistics about your journey to becoming debt-free:

  • Payoff Method: Confirms the strategy used, in this case, “Debt Snowball,” which prioritizes debts with the smallest balances first.
  • Months in Plan: The total number of months your debt payoff will take.
  • Monthly Payments Budget: The total amount that you will allocate to paying toward your debts each month. This amount includes the total of your minimum payments and any extra amount you entered. The breakdown of this amount is also shown as:
    • Minimum Payments Total: The sum of the minimum monthly payments for all your accounts.
    • Extra Payment Budget: Any additional amount you’ve decided to pay towards your debts each month.
  • Total Paid: The total of all the payments you will make over the life of your debt payoff. This includes the amount paid toward your current balances (principal) and the amount you will pay in interest for all your accounts.
    • Principal Paid: The total of all your current balances that you will pay off.
    • Interest Paid: The total amount of interest you will pay to all your accounts over the course of the payoff plan.

Debt Snowball Calculator (5)

Payment Plan

This section breaks down your payment strategy into steps, each detailing a specific action to take. Each step is indicated by a step number and represents the specific monthly payment you will make to each account for the period of time specified for the step. Each step has the following information:

  • Step #: This indicates the start of a new step. The steps are numbered in sequence and should be completed in the order indicated.
  • Duration: Next to each step number is an instruction about how many months you will be repeating these payments. For example, the instruction “Pay monthly for 15 months” means that you will make the payment amount indicated to each debt every month and you will repeat that monthly payment scenario for 15 months.
  • Payment detail: Each account that requires a payment during a step will be shown with the following information
    • Account name: The name of the account you provided in your list of accounts.
    • Payment Type Tag: Next to the account name, you will see a tag that indicates what type of payment you will be making for that account as follows:
      • Minimum: Indicates that the minimum required payment should be made for this account.
      • Extra: Indicates that this is the highest priority account during this step according to the debt snowball method. All extra payment amounts available are being applied to this account.
      • Payoff: Indicates that this is the final payment needed in order to have this debt completely paid off. Yes! This will be a time to celebrate!
    • Amount: To the far right of the account name and the payment type tag is the monthly payment amount to make for the associated account during this step.
  • Total: This is the total of all payments you will make within the step. You will see that this amount is the same for most steps. This is because the minimum payments from debts that are eliminated are rolled forward as extra payments in later steps. This is the effect of the debt snowball method in action.

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What's Great About the Debt Snowball Method

The Debt Snowball Method, popularized by financial expert Dave Ramsey, is a debt reduction strategy that has gained considerable acclaim for its psychological and motivational benefits. This method focuses on paying off debts in order of smallest to largest, regardless of interest rates. Here’s why it’s a great choice for many:

1. Psychological Boost

  • Quick Wins: By targeting the smallest debts first, you experience the satisfaction of paying off individual debts more quickly. These quick wins provide a psychological boost and a sense of accomplishment.
  • Motivation: As you see debts disappearing, your motivation to continue paying off larger debts increases. This momentum is a key factor in the success of the snowball method.

2. Simple and Straightforward

  • Ease of Use: The Debt Snowball method is easy to understand and implement. You don’t need to be a financial expert to follow it, making it accessible to a wide range of people.
  • Clear Path: With a straightforward approach, you always know which debt is your next target, reducing the stress and confusion that can come with debt repayment.

3. Behavioral Approach

  • Habit Building: This method helps in building disciplined financial habits. As you allocate extra payments towards the smallest debts, you gradually develop a habit of making regular payments.
  • Emotional Consideration: The method takes into account the emotional aspect of dealing with debt, acknowledging that seeing debts cleared can be more motivating than the mathematical aspect of interest rates.

4. Adaptability

  • Flexibility: While the method has a set rule for the order of debt repayment, it’s flexible in terms of the amount you pay. This adaptability makes it suitable for a variety of financial situations.

While the Debt Snowball method offers these significant advantages, it’s important to recognize that it’s not a one-size-fits-all solution. Depending on your personal financial situation, goals, and motivation, other debt repayment methods might align better with your needs. In the following section, we explore several alternative methods, each with its unique approach to prioritizing debt payments. Whether you’re looking for a method driven by financial efficiency, emotional factors, or a specific financial goal like improving your credit score, there’s a strategy that can suit your journey towards financial freedom.

Other Methods To Consider

Having explored the Debt Snowball method’s unique advantages, such as its psychological benefits and straightforward approach, it’s important to remember that personal finance is just that—personal. What works wonderfully for one individual may not be the best fit for another. Your financial situation, goals, and personal preferences play a crucial role in determining the most effective strategy for you.

In this section, we delve into a variety of alternative debt repayment methods. Each of these strategies offers a different perspective on how to tackle your debts, whether you’re motivated by saving on interest, improving your credit score, or channeling your emotions into a productive payoff plan. By understanding these diverse approaches, you can make an informed decision that aligns with your financial situation and goals.

Here’s a comprehensive comparison of these methods, highlighting their debt prioritization criteria, underlying motivation, and the specific circ*mstances for which they are best suited:

MethodDebt PrioritizationWhy Choose This Method
Debt SnowballSmallest balance debts firstProvides quick wins, boosting morale and motivation to tackle larger debts.
Debt AvalancheHighest interest rate debts firstSaves money by reducing total interest paid, efficient for long-term debt reduction.
Credit Score FocusNewest debts firstImproves credit score faster, as newer debts have a greater impact on credit ratings.
Anger MethodMost frustrating debts firstUses negative emotions as motivation to eliminate frustrating debts.
Cash FlowHighest minimum payment debts firstFrees up cash flow sooner, allowing for more flexibility in budget and further debt payments.
Interest Rate SensitivityHighest likelihood of interest rate change debts firstTargets debts likely to become more expensive, avoiding risk of higher payments in a fluctuating interest rate environment.
Loan Term MethodShortest remaining loan term debts firstSimplifies debt management by reducing the number of debts, focusing on short-term loans first.
Credit Utilization MethodHighest credit utilization ratio debts firstLowers credit utilization to improve credit scores, beneficial for credit health and future borrowing.

As you consider these alternatives, reflect on what you value most in a debt repayment plan. Whether it’s the simplicity and psychological wins of the Debt Snowball method or the financial efficiency of the Debt Avalanche, the right method for you is one that resonates with your financial habits, emotional needs, and long-term goals.

What to do Next

Step 1: Explore the Debt Snowball Calculator

Begin your journey toward financial freedom by using the debt snowball calculator on this page. This intuitive tool allows you to input your specific debt information and see a personalized projection of how the Debt Snowball method can work for you. It offers a clear visualization of your potential debt-free timeline and a breakdown of payments over time. This step is crucial for understanding the method’s impact on your individual financial situation.

Step 2: Dive into the Debt Payoff Planner App

After getting a sense of what the Debt Snowball method can do for you by using the debt snowball calculator, it’s time to unlock the full potential of your debt-free journey with the Debt Payoff Planner app. This comprehensive app offers an array of features that go beyond basic calculations, providing you with everything you need to achieve less stress, more motivation, and a faster payoff.

  • Versatile Debt Payoff Strategies: Whether it’s the Debt Snowball, Avalanche, or any other method, the app supports various strategies, allowing you to compare and choose the best fit for your financial goals.
  • Complex debt support: The app caters to a range of complex financial situations, including varying payment frequencies, promotional rates, and scenarios involving one-time extra payments such as tax returns or bonuses.
  • Optimization Tools: Make the most of your financial resources with tools designed to optimize your debt payoff strategy, ensuring efficient and effective use of your payments.
  • Progress Tracking: Visual trackers and detailed progress reports keep you motivated by showing you exactly how each payment is bringing you closer to your goal of being debt-free.
  • Detailed Plan Breakdown and Visualization: Get a comprehensive view of your debt repayment journey with detailed breakdowns and visualizations of your payment plan. This feature helps you understand the nuances of your plan and stay on top of your progress.
  • Multiple Device Access: Manage your debt payoff plan on your terms, with the ability to access your account from multiple devices. Whether at home, work, or on the go, you have the flexibility to keep track of your plan wherever you are.
  • Educational Resources: The app provides valuable information and resources to enhance your understanding of debt management and financial health.

The Debt Payoff Planner app is more than just a planning tool; it’s a comprehensive solution that adapts to your unique financial circ*mstances, equipping you with everything you need to navigate your debt payoff journey effectively. Start with the calculator for an initial overview, and then take full control of your financial future with the app’s extensive features and capabilities. Embrace these tools as your allies on the path to financial independence.

As a seasoned financial expert and enthusiast with a deep understanding of debt repayment strategies, let's delve into the concepts outlined in the article about the Debt Snowball Calculator and the Debt Snowball Method.

Debt Snowball Method:

The Debt Snowball method, popularized by financial expert Dave Ramsey, is a debt reduction strategy that prioritizes paying off the smallest balances first, regardless of interest rates. The article emphasizes several key aspects of this method:

  1. Psychological Boost:

    • Quick Wins: By tackling the smallest debts first, individuals experience the satisfaction of paying off individual debts more quickly, providing a psychological boost.
    • Motivation: Seeing debts disappear creates momentum, motivating individuals to continue paying off larger debts.
  2. Simple and Straightforward:

    • Ease of Use: The Debt Snowball method is simple to understand and implement, making it accessible to a wide range of people.
    • Clear Path: With a straightforward approach, individuals always know which debt is their next target, reducing stress and confusion.
  3. Behavioral Approach:

    • Habit Building: The method helps in building disciplined financial habits by allocating extra payments towards the smallest debts.
    • Emotional Consideration: It acknowledges the emotional aspect of dealing with debt, recognizing that seeing debts cleared can be more motivating than focusing solely on interest rates.
  4. Adaptability:

    • Flexibility: While the method has a set rule for the order of debt repayment, it allows flexibility in terms of the amount paid, making it suitable for various financial situations.

Debt Snowball Calculator:

The Debt Snowball Calculator is a tool designed to simplify the debt repayment process and provide individuals with a clear plan. It follows a step-by-step approach:

  1. Adding Accounts:

    • Account Information: Users enter four basic pieces of information for each debt: Account Name (optional), Balance, Minimum Payment, and Interest Rate.
    • Adding Accounts: The calculator allows users to add multiple accounts, creating a comprehensive overview of their debt situation.
  2. Extra Payment:

    • Additional Payments: Users can input extra payment amounts beyond the total minimum monthly requirements.
    • Priority: The calculator applies extra payments to the debt with the lowest balance first, following the debt snowball method.
  3. Understanding Results:

    • Debt-Free Date: The top of the results displays the projected "Debt-Free Date," providing a timeline for becoming debt-free.
    • Payoff Summary: This section offers key statistics about the debt repayment journey, including the method used, total months, monthly payments budget, and more.
  4. Payment Plan:

    • Step-by-Step Plan: The payment plan section breaks down the strategy into steps, indicating specific actions for each month.
    • Account Details: Each step includes details about the account name, payment type tag (minimum, extra, payoff), and the monthly payment amount.

Debt Payoff Planner App:

The article introduces the Debt Payoff Planner app as a comprehensive tool for planning and tracking debt repayment. It highlights several features:

  1. Versatile Debt Payoff Strategies:

    • Support for Various Methods: The app supports multiple debt repayment strategies, including the Debt Snowball and Debt Avalanche methods, allowing users to choose the best fit for their financial goals.
  2. Complex Debt Support:

    • Catering to Varied Situations: The app caters to complex financial situations, considering factors such as varying payment frequencies, promotional rates, and one-time extra payments.
  3. Optimization Tools:

    • Efficient Use of Payments: The app provides tools to optimize debt payoff strategies, ensuring efficient and effective use of payments.
  4. Progress Tracking:

    • Visual Trackers: Visual trackers and progress reports keep users motivated by showing how each payment contributes to becoming debt-free.
  5. Educational Resources:

    • Financial Knowledge: The app offers valuable information and resources to enhance users' understanding of debt management and financial health.

In conclusion, the Debt Snowball Calculator and the accompanying Debt Payoff Planner app provide individuals with practical tools and strategies to navigate their journey towards financial independence. The Debt Snowball method's psychological benefits and the flexibility of the calculator and app make them valuable assets for those seeking effective debt repayment solutions.

Debt Snowball Calculator (2024)


What is the debt snowball formula? ›

Here's how the debt snowball works: Step 1: List your debts from smallest to largest (regardless of interest rate). Step 2: Make minimum payments on all your debts except the smallest debt. Step 3: Throw as much extra money as you can on your smallest debt until it's gone.

How long will it take to pay off $30,000 in debt? ›

It will take 41 months to pay off $30,000 with payments of $1,000 per month, assuming the average credit card APR of around 18%. The time it takes to repay a balance depends on how often you make payments, how big your payments are and what the interest rate charged by the lender is.

Does the debt snowball really work? ›

With the debt snowball method, you start with your smallest debts and work your way up to the largest ones. While it may not save you as much in interest as other repayment methods, the debt snowball method can keep you motivated to continue paring down your debt.

Which is better to pay off debt avalanche or snowball? ›

If you're motivated by saving as much money as possible down to the last penny, you'll probably prefer the “avalanche” method. On the other hand, if getting a quick win right off the bat encourages you to keep moving forward, then the “snowball” method will likely motivate you the most.

What are the 3 biggest strategies for paying down debt? ›

What's the best way to pay off debt?
  • The snowball method. Pay the smallest debt as fast as possible. Pay minimums on all other debt. Then pay that extra toward the next largest debt. ...
  • Debt avalanche. Pay the largest or highest interest rate debt as fast as possible. Pay minimums on all other debt. ...
  • Debt consolidation.
Aug 8, 2023

Which debt payoff method is best? ›

In terms of saving money, a debt avalanche is better because it saves you money in interest by targeting your highest interest debt first. However, some people find the debt snowball method better because it can be more motivating to see a smaller debt paid off more quickly.

How to pay off $9,000 in debt fast? ›

7 ways to pay off debt fast
  1. Pay more than the minimum payment every month. ...
  2. Tackle high-interest debts with the avalanche method. ...
  3. Set up a payment plan. ...
  4. Put extra money toward paying off your debts. ...
  5. Start a side hustle. ...
  6. Limit unnecessary spending. ...
  7. Don't let your debt hit collections.
May 9, 2023

How can I pay off $30000 in debt in 2 years? ›

To pay off $30,000 in credit card debt within 36 months, you will need to pay $1,087 per month, assuming an APR of 18%. You would incur $9,116 in interest charges during that time, but you could avoid much of this extra cost and pay off your debt faster by using a 0% APR balance transfer credit card.

How to pay off $15,000 in credit card debt? ›

Here are four ways you can pay off $15,000 in credit card debt quickly.
  1. Take advantage of debt relief programs.
  2. Use a home equity loan to cut the cost of interest.
  3. Use a 401k loan.
  4. Take advantage of balance transfer credit cards with promotional interest rates.
Nov 1, 2023

What are the cons of debt snowball? ›

Each time you pay a debt off, you reallocate the money you spent on that bill to pay off the next-smallest debt.
  • How the debt snowball method works. ...
  • Pro: Quick wins. ...
  • Pro: Helps build momentum. ...
  • Pro: Improve money-management skills. ...
  • Con: Ignores interest costs. ...
  • Con: Wipes out cash reserves. ...
  • Con: Extended repayment period:
Dec 6, 2023

Is stacking debt the same as snowball? ›

The stacking method works the same way as the snowball method, but you prioritize your debts differently in this method. Rather than listing them from smallest to largest, list them from highest interest rate to lowest interest rate regardless of the dollar amount. You then pay each as described in the snowball method.

What is the debt stacking method? ›

With debt stacking, you line up your debt, most effectively from highest interest rate to lowest, then target one account to pay off, while still making payments on the others. Once the targeted account's balance is zero, you target the next one. Repeat the process until you are debt free.

How can I pay off my credit card debt if I have no money? ›

  1. Using a balance transfer credit card. ...
  2. Consolidating debt with a personal loan. ...
  3. Borrowing money from family or friends. ...
  4. Paying off high-interest debt first. ...
  5. Paying off the smallest balance first. ...
  6. Bottom line.
Feb 9, 2024

What is the fastest way to pay off credit card debt? ›

The avalanche method has you focus first on repaying your highest-interest debt until it's completely gone. You then move on to the debt with the next-highest interest rate and so on. Paying more money toward your highest-interest debts may help you save money in interest payments in the long run.

What is the snowball payoff strategy? ›

Once a balance is paid off, you take the funds you had previously allocated to your smallest debt and put them toward the next-smallest balance, essentially building, or “snowballing,” your repayment toward the next balance. This cycle repeats until all of your debt is repaid. Each balance payoff is a win.

What is the formula for debt funding? ›

One metric used to measure and compare how much of a company's capital is being financed with debt financing is the debt-to-equity ratio (D/E). For example, if total debt is $2 billion, and total stockholders' equity is $10 billion, the D/E ratio is $2 billion / $10 billion = 1/5, or 20%.

What is the formula for debt repayment? ›

So, to get your monthly loan payment, you must divide your interest rate by 12. Whatever figure you get, multiply it by your principal. A simpler way to look at it is monthly payment = principal x (interest rate / 12). The formula might seem complex, but it doesn't have to be.

How do you calculate debt formula? ›

You collect all your long-term debts and add their balances together. You then collect all your short-term debts and add them together too. Finally, you add together the total long-term and short-term debts to get your total debt. So, the total debt formula is: Long-term debts + short-term debts.


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