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Debt Avalanche Method Calculator
The debt avalanche method prioritizes paying off debts with the highest interest rates first, saving you the most money over time.
Try the Debt Avalanche Calculator
Calculate your avalanche payoff plan and see how much you can save on interest
Go to Calculator⚠️ Disclaimer: This calculator is for educational purposes only and does not constitute financial advice. Results are estimates and may not reflect all factors affecting your situation. Consult with a qualified financial advisor before making financial decisions.
What is the Debt Avalanche Method?
The debt avalanche method is the mathematically optimal way to pay off debt. Instead of focusing on balance size, you target the debt with the highest interest rate first. This minimizes the total interest you'll pay over time.
How It Works:
- List all debts from highest to lowest interest rate
- Make minimum payments on all debts
- Put any extra money toward the highest-rate debt
- Once paid off, move to the next highest rate
- Continue until all debts are eliminated
Avalanche vs Snowball
The main difference between the avalanche and snowball methods is prioritization:
- Avalanche: Highest interest rate first (saves more money)
- Snowball: Smallest balance first (provides quick wins)
Use our calculator to compare both methods with your actual debts and see which saves you more.