This calculator estimates the amount of time required to pay back one or more debts. It gives you the most cost-efficient payoff sequence using the Debt Avalanche method — considered the most financially efficient payoff strategy. You can also add extra payments (monthly, annual, or one-time) and choose whether to fix your total monthly budget so that after a debt is paid off, its payment rolls into the remaining debts.
| # | Debt Name | Remaining Balance ($) | Monthly / Min. Payment ($) | Interest Rate (%) |
|---|
| Total Balance | $0.00 |
| Total Minimum Monthly Payment | $0.00 |
| Weighted Avg. Interest Rate | 0.00% |
| Extra payment per month | |
| Extra payment per year | |
| One-time extra payment | made during month |
Yes: After a debt is paid off, the money that was going toward that debt is redistributed toward the remaining debts. Your total monthly payment remains fixed until all debts are cleared. This is the classic "debt avalanche" behavior.
No: When a debt is paid off, its payment is removed from your budget. Your total monthly payment decreases over time.
Enter your debts and any extra payments above, then click Calculate.
Loans and debts are basic economic activities in modern society. Companies, individuals, and even governments assume debts to maintain operations. Most people will take on some loans during their lifetime — mortgage loans, student loans, auto loans, credit card debt, or other obligations.
If used responsibly, debt can help people own homes, purchase cars, and keep their life rolling. However, debt can also lead to high levels of stress, causing severe mental, physical, and medical problems over time. Excessive debts — especially credit card debt — can encourage overspending, cost significant interest, interfere with financial planning, reduce credit scores, and eventually damage personal lives.
Most people like the feeling of being debt-free and, when possible, will pay off debts earlier. One common way to pay off loans more quickly is to make extra payments on top of the required minimum monthly payments.
Borrowers can make one-time extra payments or pay additional amounts every month or year. Those extra payments lower the principal amounts owed, move the payoff date forward, and reduce the amount of interest paid over the life of the loan.
Before deciding to pay off a debt early, find out if the loan requires an early payoff penalty and evaluate whether paying off that debt faster is wise financially. While making extra payments towards a loan can help, it is unnecessary in most cases, and the opportunity costs deserve consideration — for example, an emergency fund brings peace of mind, and stocks that perform well can offer a greater benefit than extra payments toward a low-interest debt.
Conventional wisdom says to pay off high-interest debts (like credit cards) as early as possible, then evaluate whether it makes sense to make extra payments on low-interest debts (like a home mortgage).
Once borrowers decide to pay off debts early, achieving the goal often takes firm financial discipline. Finding extra funds usually involves creating a budget, cutting unnecessary spending, selling unwanted items, and changing one's lifestyle. Listed below are the most common payoff strategies.
This method results in the lowest total interest cost. It prioritizes repayment of debts with the highest interest rates while paying the minimum on every other debt. Once the highest-rate debt is cleared, its payment rolls into the next highest-rate debt — like an avalanche tumbling down — until every debt is paid off.
In other words, a credit card at 18% receives priority over a 5% mortgage or a 12% personal loan, regardless of the balance due. The calculator orders debts from highest interest rate (top) to lowest.
In contrast, this method starts with the smallest balance first, regardless of interest rate. As smaller debts get paid off, the borrower directs payments toward the next smallest balance.
This method typically results in more interest paid than the avalanche method, but the confidence boost from quick wins can be a powerful emotional motivator. This calculator does not use the snowball method.
Debt consolidation involves taking out a single, larger loan (home equity loan, personal loan, or balance-transfer credit card) at a lower interest rate to pay off all existing smaller debts. It's most helpful when paying off high-interest debts like credit cards. It can lower your monthly repayment and simplify the process to one payment.
Sometimes individual borrowers simply cannot repay mounting debts due to lack of financial means, serious illness, or mindset. In the U.S., borrowers have alternative methods — but these should be used with great caution because they may leave borrowers worse off. Higher costs, lower credit scores, and additional debt are possible consequences.
Involves consulting a credit counselor from an approved agency. The counselor reviews your financial situation, contacts creditors to negotiate lower interest rates or payments, and consolidates your payments into a single monthly payment to the agency. Debt management can offer relief from constant creditor contact and provides the most benefit to disciplined borrowers who stay on the plan long-term.
Negotiating with creditors to settle an existing debt for less than the amount owed — typically a 45% to 50% reduction, plus a 20% settlement fee. Debt settlement severely damages credit scores and reports, and the IRS treats forgiven debt as taxable income.
Chapter 7 (liquidation) discharges most unsecured debts but may require selling assets, and it cannot discharge tax debt, student loans, child support, or alimony. Chapter 13 (reorganization) puts you on a 3–5 year payment plan, after which remaining debt is discharged, and typically allows you to keep valuable assets. Bankruptcy remains on your credit report for up to a decade and impacts future loans, rentals, and even job applications.
Is this calculator free? — Yes, completely free and runs entirely in your browser. Your financial data never leaves your device.
What is the debt avalanche method? — Pay the minimum on all debts, then throw every extra dollar at the debt with the highest interest rate. Once it's gone, roll its payment into the next-highest-rate debt.
Does the calculator account for fees? — No — this calculator focuses on interest, balances, and payments. Use the Debt Consolidation Calculator if you want to model fees and effective APR.
What does "fixed total amount" mean? — If you choose "Yes," your total monthly outlay stays constant even as individual debts are paid off. The freed-up payment snowballs onto remaining debts, accelerating payoff.