Debt Snowball Calculator

List all debts smallest to largest balance. Pay minimums on all, and throw every extra dollar at the smallest. When it's gone, roll its payment into the next-smallest, growing the "snowball." This rapid early wins build momentum - research published in the Journal of Marketing Research found snowball users are more likely to actually finish than purely-rational debt avalanche users.

Snowball orders by smallest balance first (psychological wins). Avalanche orders by highest interest rate (mathematically optimal). Avalanche typically saves a few hundred to a few thousand dollars in interest, but snowball has stronger evidence of actual completion. Pick whichever you'll stick with - finishing matters more than optimizing.

Always keep contributing at least up to your employer 401(k) match - it's a guaranteed 50%–100% return. Beyond that, pausing other retirement contributions to crush high-interest debt (15%+ APR) can make sense. For lower-interest debt (under 7%), continuing to invest while paying minimum-plus payments usually wins long-term.

Look for ways to add income (side hustle, overtime, selling unused items) or reduce expenses (downsize, cancel subscriptions, lower bills via negotiation). Even $100/month extra dramatically accelerates payoff. If you genuinely can't make minimums, contact creditors about hardship programs before missing payments - most have options that don't involve credit damage.