Debt Payoff Calculator
Enter your balance, interest rate, and monthly payment to see exactly when you'll be debt-free and how much interest you'll pay in total. Increasing your payment even slightly dramatically cuts both.
Find out exactly how many months it will take to pay off any debt — credit cards, personal loans, medical bills, or any fixed-rate debt — and how much total interest you'll pay. Enter the current balance, interest rate, and your monthly payment to get a clear payoff timeline and total cost.
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Last reviewed: April 2026Report an error
Months to Pay Off
42 months
You'll pay off $8,500.00 in 42 months (3.5 years). Total interest: $3,873.48. Total paid: $12,373.48.
Total Interest
$3,873.48
Total Paid
$12,373.48
Debt-Free Date
Oct 2029
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The Formula
n = −ln(1 − (P × r) / M) / ln(1 + r)
- n = Months to payoff
- P = Balance
- r = Monthly rate (APR ÷ 12 ÷ 100)
- M = Monthly payment
How to Use This Debt Payoff Calculator
- Enter the current debt balance.
- Enter the annual interest rate (APR) from your statement.
- Enter your planned monthly payment.
- Read the months to payoff, total interest, and total paid.
- Try increasing the monthly payment to see how much sooner you'll be debt-free.
Frequently Asked Questions
- The mathematically optimal method is the debt avalanche: pay minimums on all debts, then put every extra dollar toward the highest-interest debt first. This minimizes total interest paid. The debt snowball (smallest balance first) is motivationally effective but costs more in interest. Either method beats paying minimums only.
- It depends on the balance, rate, and payment. A $5,000 balance at 20% APR takes about 32 months and ~$1,300 in interest at $200/month. Paying only the minimum (often 2% of balance) could take 20+ years and cost thousands in interest. This calculator shows exactly what your payment means.
- Credit card minimum payments are designed to keep you in debt longer, maximizing interest revenue for the lender. Minimums are typically 1–3% of the balance or $25, whichever is greater. On a $5,000 balance at 20% APR, paying only minimums could take over 25 years and cost $6,000+ in interest.
- High-interest debt (credit cards, payday loans) should be paid off before aggressive saving — a 20% APR debt costs more than any guaranteed savings return. Exception: always capture your employer's 401(k) match first (that's an instant 50–100% return). For low-interest debt (under 5%), saving and investing simultaneously often makes sense.
- Debt-to-income (DTI) ratio is your monthly debt payments divided by your gross monthly income. Lenders use it to assess creditworthiness. A DTI under 36% is generally considered healthy; over 50% is typically too high for new loan approval. Calculate yours by dividing total monthly debt payments by gross monthly income.
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