Debt-to-income (DTI) ratio calculator
Your debt-to-income ratio compares what you owe each month with what you earn before tax. Enter your gross monthly income and the monthly payments on each kind of debt to see the ratio and the share that goes to housing.
Runs in your browser: nothing you enter is sent anywhere.
How to use it
- Enter your gross monthly income.
- Enter the monthly payment for each kind of debt. Leave a box empty or 0 if you have none.
- Read the ratio, the housing share and what remains.
How it works
DTI = total monthly debt payments ÷ gross monthly income × 100. The housing share is the rent or mortgage payment divided by the same income. Nothing is estimated: every figure comes from what you type.
Worked example
Income 6,000. Housing 1,500, car 400, student loan 300, cards 100. The payments add up to 2,300, so DTI = 2,300 ÷ 6,000 = 38.33%. Housing alone is 1,500 ÷ 6,000 = 25%.
Tips
- To lower the ratio, either pay down the debts or raise income; the first usually works faster.
- Lenders may count different items, so the number you get here can differ from theirs.
- To plan a payoff, try the debt payoff calculator or the loan calculator.
Frequently asked questions
How do I calculate debt-to-income ratio?
Add up your monthly debt payments and divide by your gross monthly income, then multiply by 100. With 2,300 in payments and 6,000 of income the ratio is 2,300 ÷ 6,000 = 38.33%.
What is a good DTI ratio?
There is no single line. Each lender sets its own limits and they depend on the type of loan. Figures in the region of 36% and 43% are often quoted as rules of thumb, but treat them as examples and ask your lender.
Which debts count toward DTI?
Usually recurring payments on loans and cards: housing, car, student and other instalment loans and the minimum card payments. Everyday costs such as food, utilities and insurance are normally not counted, though lenders differ.
Is gross or net income used?
This calculator uses gross income, before tax, which is the usual way DTI is quoted. The last line shows what is left of that gross figure, not take-home pay.