Debt-to-Income Calculator
Calculate your debt-to-income ratio (DTI).
Lending Insight
Lenders prefer a DTI under 36% to ensure you have enough financial cushion. High ratios indicate you are over-leveraged and pose a higher risk.
Evaluate Your DTI
Enter your monthly income and debt to calculate your debt-to-income ratio and assess lending odds.
Debt-to-Income Calculator
Calculate your debt-to-income ratio (DTI).
Understanding Debt-to-Income Ratio (DTI)
Your DTI ratio is a personal finance measure that compares your monthly debt payments to your monthly gross income (before taxes and deductions).
Impact on Lending
Lenders use DTI to determine your ability to manage monthly payments and repay debts. A lower DTI can sometimes help you secure better interest rates and higher loan amounts.
How to Calculate DTI
DTI Ratio = (Total Monthly Debt / Gross Monthly Income) × 100Include all recurring debt payments: rent/mortgage, minimum credit card payments, auto loans, student loans, and personal loans. Do not include normal expenses like groceries or utilities.
Practical Scenarios
Example Calculation
If you pay $1,500 a month for your mortgage, $200 for an auto loan, and $100 for credit cards, your monthly debt is $1,800. If your gross monthly income is $6,000, your DTI is 30% ($1,800 / $6,000).