DEBTbusiness
Debt Snowball vs Avalanche Calculator
Month-by-month payoff simulator: enter multiple debts (balance, APR, minimum payment) plus an extra monthly payment — we return both strategies side-by-side. Snowball (Dave Ramsey): smallest balance first for psychological wins. Avalanche: highest rate first for the lowest total interest. We auto-highlight which one saves more and by how much.
Updated: ·See data sources
§ 01
How to use
- List your debts. For each: name, balance, APR, and minimum payment.
- Add extra/month. How much you can throw on top of minimums.
- Pick your strategy. Either lower interest (avalanche) or psychological momentum (snowball).
§ 02
Key features
Accurate simulation
Monthly: accrue interest → pay minimums → throw extra at target.
Snowball roll-up
Cleared minimums auto-fold into the extra payment.
Side-by-side compare
Snowball and Avalanche from one input.
Winner highlighted
Lower-total-interest strategy is marked Best.
Add/remove debts
Manage as many debts as you have.
Multi-currency
Use your local currency.
§ 03
Why Treasury.to?
- Month-by-month simulation
- Rolls cleared minimums into snowball
- Multi-debt support
- Auto-highlights winner
- Multi-currency
- Free
§ 04
Frequently asked questions
01Snowball or avalanche — which is better?
Avalanche always wins on total interest. Snowball usually clears the first debt faster, which helps morale — important if you've struggled to stick with a plan before.
02What's the snowball roll-up?
When a debt clears, its minimum payment automatically rolls into the 'extra' bucket for the next target — that's how the snowball grows.
03Does this handle variable APR?
It assumes a fixed APR. For variable-rate cards (e.g. expiring promo), enter your best estimate of the average rate.
04Should I just pay minimums?
No — interest accrues on the balance, so faster payoff = less interest. The tool always pays minimums first, then applies extra per your strategy.
05What APR threshold means 'pay aggressively'?
Anything above ~7% (typical US auto/personal loan) should be prioritized; credit cards at 20–28% are urgent. Sub-5% mortgages can usually be paid at minimum while you invest the surplus.
06How much extra per month is realistic?
A common target is 10–20% of after-tax income directed at debts with APR > 10%. Even an extra $200/month against a $10K credit card at 22% APR clears it 2× faster and saves ~$2K interest.