{
  "slug": "debt-snowball",
  "title": "Debt Snowball Calculator",
  "heading": "Debt Snowball Calculator",
  "category": "financial",
  "url": "https://www.revenuelab.fyi/toolbox/debt-snowball",
  "summary": "Compare snowball and avalanche payoff on three debts.",
  "description": "The snowball method pays the smallest balance first for momentum; the avalanche method pays the highest rate first for maths. Avalanche always costs less in interest — this shows by how much, so you can decide whether the motivation is worth the premium.",
  "formula": "Both methods roll each cleared debt's payment into the next debt in the chosen order.",
  "dateModified": "2026-09-30",
  "run_url": "https://www.revenuelab.fyi/api/public/calc?tool=debt-snowball",
  "inputs": [
    {
      "id": "b1",
      "label": "Debt 1 balance",
      "kind": "number",
      "hint": null,
      "default": 1800,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "r1",
      "label": "Debt 1 APR",
      "kind": "number",
      "hint": null,
      "default": 24,
      "unit": "%",
      "min": 0,
      "max": null
    },
    {
      "id": "b2",
      "label": "Debt 2 balance",
      "kind": "number",
      "hint": null,
      "default": 6400,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "r2",
      "label": "Debt 2 APR",
      "kind": "number",
      "hint": null,
      "default": 18,
      "unit": "%",
      "min": 0,
      "max": null
    },
    {
      "id": "b3",
      "label": "Debt 3 balance",
      "kind": "number",
      "hint": null,
      "default": 14000,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "r3",
      "label": "Debt 3 APR",
      "kind": "number",
      "hint": null,
      "default": 9,
      "unit": "%",
      "min": 0,
      "max": null
    },
    {
      "id": "budget",
      "label": "Total monthly budget",
      "kind": "number",
      "hint": null,
      "default": 700,
      "unit": "$",
      "min": 50,
      "max": null
    }
  ],
  "outputs": [
    {
      "id": "savings",
      "label": "Avalanche saves you",
      "format": "currency",
      "hint": null,
      "primary": true
    },
    {
      "id": "snowballMonths",
      "label": "Snowball payoff",
      "format": "duration",
      "hint": null,
      "primary": false
    },
    {
      "id": "snowballInterest",
      "label": "Snowball interest",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "avalancheMonths",
      "label": "Avalanche payoff",
      "format": "duration",
      "hint": null,
      "primary": false
    },
    {
      "id": "avalancheInterest",
      "label": "Avalanche interest",
      "format": "currency",
      "hint": null,
      "primary": false
    }
  ],
  "worked_example": {
    "inputs": [
      "Debt 1 balance: 1800 $",
      "Debt 1 APR: 24 %",
      "Debt 2 balance: 6400 $",
      "Debt 2 APR: 18 %",
      "Debt 3 balance: 14000 $",
      "Debt 3 APR: 9 %",
      "Total monthly budget: 700 $"
    ],
    "outputs": [
      "Avalanche saves you: $0.00",
      "Snowball payoff: 38",
      "Snowball interest: $3,834.10",
      "Avalanche payoff: 38",
      "Avalanche interest: $3,834.10"
    ]
  },
  "how_to": {
    "title": "How to use this",
    "steps": [
      "Enter debt 1 balance ($).",
      "Enter debt 1 apr (%).",
      "Enter debt 2 balance ($).",
      "Enter debt 2 apr (%).",
      "Enter debt 3 balance ($).",
      "Enter debt 3 apr (%).",
      "Enter total monthly budget ($).",
      "Read your avalanche saves you on the right — it updates as you type.",
      "Hit Share to keep the scenario or send it to someone."
    ]
  },
  "scenarios": [
    {
      "name": "Conservative",
      "description": "Lower-end numbers — what if things land soft?",
      "values": {
        "b1": 1100,
        "r1": 14.399999999999999,
        "b2": 3800,
        "r2": 10.799999999999999,
        "b3": 8400,
        "r3": 5.3999999999999995,
        "budget": 425
      }
    },
    {
      "name": "Typical",
      "description": "Defaults — the most common real-world setup.",
      "values": {
        "b1": 1800,
        "r1": 24,
        "b2": 6400,
        "r2": 18,
        "b3": 14000,
        "r3": 9,
        "budget": 700
      }
    },
    {
      "name": "Ambitious",
      "description": "Higher-end numbers — what if things really pop?",
      "values": {
        "b1": 2900,
        "r1": 38.400000000000006,
        "b2": 10200,
        "r2": 28.8,
        "b3": 22400,
        "r3": 14.4,
        "budget": 1125
      }
    }
  ],
  "limitations": [
    "Results are estimates before tax, fees, and inflation unless an input explicitly covers them.",
    "Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.",
    "This is educational maths, not financial advice. Check anything contractual with the lender or your accountant."
  ],
  "faq": [
    {
      "q": "How does the debt snowball calculator work?",
      "a": "The snowball method pays the smallest balance first for momentum; the avalanche method pays the highest rate first for maths. Avalanche always costs less in interest — this shows by how much, so you can decide whether the motivation is worth the premium. The underlying maths is: Both methods roll each cleared debt's payment into the next debt in the chosen order."
    },
    {
      "q": "What do I need to enter?",
      "a": "7 values: debt 1 balance, debt 1 apr, debt 2 balance, debt 2 apr, debt 3 balance, debt 3 apr, and total monthly budget. Each field starts with a sensible default, so you can change one number at a time and watch the result move."
    },
    {
      "q": "What does the avalanche saves you result mean?",
      "a": "It is returned as a money amount in US dollars and updates live as you edit the inputs, so you can compare two or three versions of a scenario in a few seconds."
    },
    {
      "q": "Is this calculator free, and do I need an account?",
      "a": "Yes, it's free, and no account is required. Nothing you type is stored on our servers — the maths runs entirely in your browser."
    },
    {
      "q": "How accurate is the result?",
      "a": "It applies the standard formula exactly, so the arithmetic is precise. Results are estimates before tax, fees, and inflation unless an input explicitly covers them."
    },
    {
      "q": "Who is this tool for?",
      "a": "It's built for anyone comparing money scenarios before committing — budgeting a payment, sanity-checking a quote, or seeing what a change in rate or term actually costs."
    }
  ],
  "related": [
    "https://www.revenuelab.fyi/toolbox/debt-payoff",
    "https://www.revenuelab.fyi/toolbox/credit-card-payoff"
  ],
  "license": "CC-BY-4.0",
  "citation": "RevenueLab — Debt Snowball Calculator (https://www.revenuelab.fyi/toolbox/debt-snowball)"
}