Debt Snowball Calculator

How to calculate Debt Snowball?

The Debt Snowball method is a debt-reduction strategy where you pay off debt in order of smallest to largest balance. This approach focuses on behavioral psychology—by clearing small balances quickly, you gain the "quick wins" and psychological momentum needed to stay motivated until all debts are gone.

Order: Balance(min) to Balance(max)

Using the Debt Snowball: an example

Example: Three credit cards with balances of $500, $1,200, and $5,000.

1. Pay minimums on the $1,200 and $5,000 cards.
2. Put all extra cash toward the $500 card.
3. Once the $500 is gone, roll that payment into the $1,200 card.

Frequently Asked Questions

Why not pay highest interest first?
Snowball focuses on psychological momentum and behavior change over math.

Do I still pay minimums?
Yes, always pay minimums on all debts to protect your credit score.

When will I see results?
Usually after the first small debt is cleared, providing a sense of accomplishment.