Debt Payoff Calculator

Calculate how long it takes to pay off debt and total interest paid. See your debt-free date based on balance, interest rate, and monthly payment.

$
%
$
Months to Pay Off
Years to Pay Off
Total Interest Paid
Total Amount Paid
Minimum Payment (Interest Only)

How to Use This Calculator

  1. Enter your Current Balance — the total amount owed.
  2. Enter the Annual Interest Rate (APR) — check your statement or account portal.
  3. Enter your Monthly Payment — must be higher than the interest-only minimum.
  4. See how many Months until you are debt-free and Total Interest Paid.

Formula

Months to Pay Off:

n = −log(1 − (r × P) / M) / log(1 + r)

  • P = Current balance, r = Monthly rate, M = Monthly payment

Total Interest = Total Paid − Original Balance

Example

Example: $15,000 balance, 18% APR, $400/month payment.

  • Months to Pay Off: 50 months (4.2 years)
  • Total Paid: $19,765
  • Total Interest: $4,765
  • Interest-only minimum: $225/month (never pays off!)

Frequently Asked Questions

  • Debt avalanche: pay off highest-interest debt first (saves the most money). Debt snowball: pay off smallest balance first (provides psychological wins). Avalanche is mathematically optimal; snowball works better for motivation.
  • Even small extra payments make a big difference. On a $15,000 debt at 18% APR, paying $400/month vs the minimum ($225) saves thousands in interest and years off repayment time.
  • Debt consolidation makes sense if you can get a lower interest rate. Moving $15,000 from 20% credit card debt to a 10% personal loan cuts the interest cost roughly in half. Check for origination fees.
  • A missed payment can trigger a penalty APR (often 29.99%), damage your credit score, and add late fees. If you miss a payment, make it up as quickly as possible and contact your lender to request fee waivers.
  • Lenders prefer a debt-to-income (DTI) ratio below 36%. Your DTI = total monthly debt payments ÷ gross monthly income. High DTI makes it harder to qualify for loans and signals financial stress.

Related Calculators