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MoneyMath

Debt Snowball vs Avalanche Calculator

Compare Dave Ramsey's snowball (smallest balance first) vs avalanche (highest APR first). See which pays off faster, saves more interest, and whether the psychology is worth the cost.

🟢 Updated April 2026👤 Reviewed by MoneyMath Editorial⚡ Runs in your browser · inputs never leave your device
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Tied / Snowball
$0
Avalanche saves ≈$0 in interest · finishes 0 months slower
Snowball payoff time45 months (3.8 yrs)
Snowball total interest$6,625
Avalanche payoff time45 months (3.8 yrs)
Avalanche total interest$6,625
Show the formula
Each month: interest = balance × APR/12
Snowball: extra → smallest balance first
Avalanche: extra → highest APR first
Both pay minimums on all debts

Snowball vs Avalanche — what's the difference?

Snowball (Dave Ramsey): Pay minimums on everything, throw extra at the smallest balance. When it's gone, roll that payment into the next-smallest. Psychologically motivating — quick wins. Mathematically suboptimal.

Avalanche: Pay minimums on everything, throw extra at the highest APR. Saves more interest and usually finishes faster. Requires more patience — big high-APR balances can take months before they're gone.

When to choose snowball

  • You've failed at debt payoff before and need momentum.
  • Your smallest balance is under $1,000 — it\'ll be gone in 2–3 months.
  • You respond to visible progress more than spreadsheet math.

When to choose avalanche

  • Your debts differ significantly in APR (15%+ spread).
  • You\'re mathematically wired and will stick with the plan.
  • Total debt is large enough that 5–15% interest savings is meaningful ($500+).

Hybrid: the best of both

Pay off any debt under $500 first (quick wins) using snowball logic. Then switch to avalanche for the rest. Most debt-payoff coaches now recommend this hybrid approach.

Frequently Asked Questions

Should I consolidate my debts into a personal loan first?

Maybe. Consolidation works if you can get a rate lower than your weighted-average APR AND you don't add new debt to the paid-off cards. Run the math: balance × (old avg APR − new rate) vs. origination fee. If savings > fee by 2x+, consolidate.

What about balance transfer cards?

0% intro balance transfer cards (usually 12–21 months) can be powerful — IF you'll realistically pay off the full balance before the intro ends. Account for the 3–5% transfer fee. If you'll carry a balance past intro, the post-intro APR (often 25%+) wipes out the savings.

Should I save while paying off debt?

Keep a $1,000–$2,000 starter emergency fund first (so an unplanned expense doesn't send you back to credit cards). Beyond that, prioritize high-interest debt payoff over savings — no savings account pays more than 5% APY, while credit card APRs are 20–30%.

What if I miss a month?

Don't panic. Pay what you can, even if under the minimum. Contact creditors BEFORE due date if you'll be late — many waive one late fee and can pause for 1 month. Missing silently hurts your credit score far more than communicating.