Debt Avalanche Calculator
Pay highest APRs first to save interest · Updated 2026
Must cover every minimum payment plus the extra you want to throw at the avalanche.
How the debt avalanche works
The debt avalanche orders your debts from highest APR to lowest. You pay the minimum on everything, then direct your extra monthly budget to the debt with the highest interest rate.
Once the highest rate debt is gone, its payment rolls onto the next highest. This ordering guarantees the lowest total interest of any payoff plan, because every extra dollar kills the most expensive debt first.
The catch is pacing. The highest rate debt is often also a large one, so the first payoff can take many months. People who need quick visible progress sometimes prefer the debt snowball instead.
Why the math favors the avalanche
Interest is the price of carrying a balance, and it scales with the rate. Paying off a $2,000 debt at 25% APR saves more interest per dollar than a $10,000 debt at 6%.
On the same set of debts, the avalanche clears the total faster than the snowball and costs less in interest. Compare these results on $10,000 of debt with a $400 monthly budget.
The avalanche saves about $746 in interest and clears the total two months sooner, but its first payoff lands at month 22 while the snowball's arrives at month 6.
| Strategy | Months to debt-free | Total interest | First debt cleared |
|---|---|---|---|
| Avalanche | 31 months | $2,242 | Month 22 |
| Snowball | 33 months | $2,987 | Month 6 |
Choosing between avalanche and snowball
If your rates are close, both methods cost about the same and the snowball's motivation may matter more. If one debt has a far higher rate, the avalanche is clearly cheaper.
Run both calculators with the same debts and compare the total interest. Pick the plan you can sustain for the whole term, because the cheapest plan in a spreadsheet is worthless if you quit halfway.
Frequently Asked Questions
How is the avalanche order decided?
Debts are sorted from highest APR to lowest. Each month you pay minimums everywhere and put the leftover budget on the first debt in that order.
Why does the avalanche cost less than the snowball?
Every extra dollar is applied to the debt charging the highest interest rate, so the total interest paid over the life of the plan is the lowest possible for your payment amount.
How do the strategies compare when rates are similar?
The savings shrink as the rates converge. When rates are within a couple of points, the two plans cost almost the same and the snowball's faster first payoff may be the better choice.
What happens after the highest rate debt clears?
Its payment rolls onto the next highest rate debt. Your total monthly outlay stays the same while the balance falls faster.
Can the avalanche really save hundreds of dollars?
Yes when one debt carries a much higher rate. On the example in this page, the avalanche saved about $746 in interest versus the snowball on the same debts and budget.