Debt Snowball vs Avalanche Spreadsheet: Compare Plans

Picture someone with four debts: a store card, two credit cards and a car loan. Each month they pay a bit more than the minimums, but they are never sure where the extra money should go. Should they clear the smallest balance for a quick win, or attack the highest interest rate first? A debt snowball vs avalanche spreadsheet answers that with your own numbers, showing each plan side by side with a month-by-month schedule and an estimated debt-free date.

This guide explains both methods, shows how to set up a payoff plan yourself, and then walks through the Debt Snowball and Avalanche Calculator from Create Digital Tools.

Get the Debt Snowball & Avalanche Calculator →

This is an organising tool, not financial advice. Estimates use APR divided by 12 each month, so lender figures may differ slightly.

Snowball or avalanche: what is the difference?

Both methods follow the same basic rule: pay the minimum on every debt, then put every extra pound or dollar toward one target debt. When that debt is cleared, its payment rolls over to the next target. The difference is the order.

• Debt snowball: target the smallest balance first. You clear individual debts sooner, which many people find motivating.
• Debt avalanche: target the highest interest rate first. This usually means less interest paid overall.
• Your own order: some people mix the two, for example clearing one small card first and then switching to the highest rate.

The right choice depends on your balances, rates and what keeps you going. Seeing the numbers for each order makes the decision much easier.

Why a quick calculation is not enough

An online calculator gives you an answer once. Paying off debt takes months or years, and things change along the way:

• Balances move as you pay and as new interest is charged.
• You need to know what to pay on each debt this month, not just a final date.
• Minimum payments sometimes do not cover the interest, and that is easy to miss.
• Progress is easier to keep up when you can see it.

A spreadsheet you update each month keeps the plan current.

How to build a debt payoff plan yourself

1. List every debt

Write down each debt with its current balance, APR and minimum payment. Use your latest statements so the numbers are accurate.

2. Decide your monthly total

Choose the total you can put toward debt each month. It must at least cover all the minimums; anything above that is your extra payment.

3. Check minimums against interest

For each debt, divide the APR by 12 and multiply by the balance. If the minimum is lower than that monthly interest, the balance will grow. Flag those debts.

4. Sort two ways

Sort your list by balance (snowball) and by APR (avalanche). Note which debt each method would target first.

5. Build the month-by-month schedule

For each month, add interest, subtract the payment, and move a cleared debt’s payment to the next target. This roll-over is what makes both methods work, and it is the fiddliest part to build by hand.

6. Log real payments

Record what you actually pay each month. Comparing actual payments with the plan shows whether you are on track.

Inside this debt snowball vs avalanche spreadsheet

The calculator is an .xlsx workbook that works in Excel and Google Sheets, using formulas only. It handles up to 15 debts and compares three payoff plans. A Setup Guide PDF is included.

START HERE

Setup steps and an explanation of how each method works.

DASHBOARD

Total debt, monthly total, debt-free date, months to go, amount paid so far, progress and interest. It compares snowball, avalanche and your own order, shows what to pay this month, and includes a chart.

SETUP

Enter your monthly total, start month and the plan you want to follow. A minimums check is built in.

DEBTS

Up to 15 debts with balance, APR, minimum, your order, amount paid so far, progress, payoff month and status.

SNOWBALL, AVALANCHE and YOUR PLAN

Each plan has a 360-month schedule. Snowball targets the smallest balance first, avalanche targets the highest interest first, and Your Plan follows your own order. Snowball and avalanche roll a cleared debt’s payment over to the next debt.

PAYMENT LOG

1,000 rows for recording payments, which feed the progress bars.

Helpful extras

The calculator shows interest saved compared with paying minimums only, and warns you when a minimum payment does not cover the interest.

Watch the setup guide and full tour

This video walks through setup and every tab:

Tips to keep your payoff plan on track

• Update balances monthly. Use your latest statements so the schedule matches reality.
• Log every payment. Seeing payments add up is part of what keeps people going.
• Do not ignore a minimum warning. If a minimum does not cover the interest, that debt needs attention first, whichever method you choose.
• Keep a small buffer. An unexpected bill can push you back onto a card. A modest emergency fund helps protect the plan.
• Revisit your method if life changes. If your income or rates change, compare the plans again. Switching from snowball to avalanche, or to your own order, is fine.
• Put extra money to work. When you have a one-off amount, add it to the current target debt and let the roll-over carry the effect forward.
• Celebrate cleared debts. Mark each payoff month. It is a real milestone.

If debts feel unmanageable, a free, independent debt advice service in your country can help you look at all your options.

Getting started in your first session

Download the .xlsx file and the Setup Guide PDF, then open the file in Excel or import it into Google Sheets. Read the START HERE tab, then go to SETUP and enter your monthly total and start month. On the DEBTS tab, enter each debt’s balance, APR and minimum from your latest statements. Check the minimums warning, then open the DASHBOARD to compare snowball, avalanche and your own order. Choose the plan you want to follow in SETUP, note what to pay on each debt this month, and record each payment in the PAYMENT LOG as you make it.

Who it is for (and who it is not for)

A good fit if you:

• Have several debts and want to compare snowball, avalanche and your own order with real numbers.
• Want to know what to pay on each debt this month.
• Like tracking progress in a spreadsheet built with formulas only.

Probably not the right fit if you:

• Want an app that connects to your bank. All figures are entered by you.
• Need personal advice on consolidation, insolvency or credit. Speak to a qualified adviser.
• Have more than 15 debts to track.

To plan the rest of your money, see our Annual Budget Spreadsheet, or browse all Excel and Google Sheets spreadsheets.

FAQ

Excel or Google Sheets?

Both. Open the .xlsx in Excel. For Google Sheets, create a blank sheet and use File > Import > Upload > Replace spreadsheet.

Can I use it on my phone?

A computer is recommended for setup. The Google Sheets app works for quick updates.

Will the numbers match my lender exactly?

Not always. Estimates use APR divided by 12 each month, so lender figures may differ slightly.

Is it an instant download?

Yes. You receive the .xlsx file and the Setup Guide PDF; nothing is shipped.

Can I change the payoff order?

Yes. Set your own order on the DEBTS tab and follow the YOUR PLAN schedule.

Get the Debt Snowball & Avalanche Calculator →

Microsoft Excel is a trademark of Microsoft Corporation, and Google Sheets is a trademark of Google LLC. This is an independent spreadsheet, not affiliated with or endorsed by Microsoft or Google.