💡 What is the Debt Snowball — and what does this calculator do?

The Debt Snowball is a simple, motivating way to clear debts faster. Instead of spreading yourself thin, you focus on paying off the smallest balance first, while keeping up the minimums on everything else. When that first debt is gone, you roll its old payment into the next smallest debt — creating a growing “snowball” of cash that speeds you toward debt-free.

This calculator turns that idea into a clear plan. Add each debt (name, balance, APR, and minimum payment), choose Snowball as your strategy, and (optionally) set a monthly budget. The tool shows your payoff order, the months to debt-free, and when each debt will clear — all in one place.

🛠️ How to use it (step by step)

1. List your debts: credit cards, store cards, overdrafts, personal loans, etc.
2. Enter the basics: balance, APR, and minimum payment for each.
3. Pick “Snowball”: smallest balance first (for motivation).
4. Add a budget (optional): if you can pay more than your total minimums, enter it to accelerate results.
5. Calculate: you’ll see your debt-free timeline, the payoff order, and milestone dates.
6. Stick with it: when a debt clears, keep paying the same total — that’s your snowball getting bigger.

🎯 Why the snowball method works

• Quick wins = momentum: Paying off a smaller debt early gives you a psychological boost that helps you stay on track.
• Simplifies choices: You always know which debt to hit next — no overthinking.
• Cash flow compounds: Each cleared debt frees up money that rolls into the next one, speeding up every step after.

Want to optimise purely for interest savings? Try the Avalanche strategy (highest APR first). It’s available in the same tool — but Snowball is often easier to stick with.

Pro tips

• Automate your minimums and the extra snowball amount so you never miss it.
• Pair this with a 50/30/20 budget to find extra room.
• If income varies, set a modest baseline budget and top up in better months.

Disclaimer: The calculator provides estimates for guidance only. Actual timelines can vary with interest accrual, fees, or changes in payments. Always check your statements and adjust as needed.