Debt-to-Income (DTI) Calculator

What is Debt-to-Income (DTI)?

Your Debt-to-Income (DTI) ratio is a percentage that shows how much of your monthly gross income goes towards paying your monthly debt obligations. Lenders use it to assess your ability to manage monthly payments and repay debts.

How to Use

1. Enter Gross Monthly Income: Input your total income before any taxes or deductions are taken out.
2. Enter Total Monthly Debt: Add up all your required monthly debt payments, such as rent, mortgage, car loans, student loans, and minimum credit card payments.
3. Calculate: Click the button to see your DTI ratio.

The DTI ratio is calculated with a simple formula:

DTI = (Total Monthly Debt / Gross Monthly Income) * 100

For example, if your total monthly debts are $2,000 and your gross monthly income is $6,000, your DTI is 33.3%.

• 36% or less: Ideal. You likely have a good balance between debt and income and are in a strong position to get a loan.
• 37% to 43%: Manageable. You may still qualify for loans, but lenders might see you as a higher risk.
• 44% to 50%: High. You may have difficulty qualifying for new credit. It's a good idea to focus on paying down debt.
• Over 50%: Very High. This ratio indicates significant financial stress and makes it very difficult to get approved for new loans.

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• Loan EMI Calculator - Compare different loan scenarios.