Free · No ads · Snowball vs avalanche
Debt payoff calculator
Add your debts and how much extra you can pay each month. See how fast you'll be debt-free, and how much interest you save, with the snowball and avalanche methods side by side.
Avalanche
Least interestHighest rate first
2 yrs 7 mos
until debt-free
Interest paid: $2,603
Snowball
First win in 1y 5mSmallest balance first
2 yrs 7 mos
until debt-free
Interest paid: $2,603
Both plans cost about the same in interest here, so go with snowball: clearing your smallest debt first (in 1y 5m) is great motivation.
Avalanche payoff order
- 1. Credit cardcleared in 1y 5m
- 2. Car loancleared in 2y 7m
Total balance falling (avalanche)
The hard part is finding the extra each month. Find it in your budget with KeaBudget →
Find the extra. Clear the debt.
The plan is the easy part: the hard part is finding the extra each month. KeaBudget is the free budget tracker built for Kiwis, made to surface exactly that.
Start using KeaBudget →How this is calculated
- A fixed budget
- Each month you pay the minimum on every debt, then put whatever budget is left (your extra, plus the payments freed up by cleared debts) onto the priority debt.
- Priority order
- Avalanche attacks the highest interest rate first (least interest). Snowball attacks the smallest balance first (quickest win).
- Interest
- Accrues monthly at each debt's rate. If your payments don't cover the interest, the calculator tells you, that debt would grow, not shrink.
Frequently asked questions
Snowball or avalanche, what's the difference?
Both throw a fixed amount at your debts each month and roll freed-up payments onto the next one as each clears. The snowball method targets your smallest balance first, so you clear a whole debt quickly for an early motivational win. The avalanche method targets your highest interest rate first, which always costs the least interest overall.
Which one should I pick?
If the numbers are close, pick snowball, the quick win helps you stick with it. If avalanche saves a meaningful amount of interest (the calculator shows you exactly how much), and you're disciplined, avalanche puts more money back in your pocket. The best method is the one you'll actually finish.
What's the 'extra per month'?
Anything you can pay above the combined minimums. It's the single biggest lever: the more you add, the sooner everything clears and the less interest you pay. As each debt is cleared, its payment rolls into the extra, so the snowball/avalanche speeds up over time.
Should I include my mortgage?
Usually no. This is built for consumer debt, credit cards, car loans, personal loans, overdrafts and buy-now-pay-later, where high interest rates make the order matter. A mortgage is a different beast (see our mortgage calculator).
Is my data stored anywhere?
No. It all runs in your browser. The only thing that touches our servers is the URL you create with 'Copy share link', which contains just the numbers you entered.
Is this financial advice?
No, it's a planning tool. For advice on debt consolidation or hardship, talk to a financial mentor (MoneyTalks is free in NZ) or an FMA-registered adviser.