How much of your income goes to debt? This free debt-to-income ratio calculator adds up your monthly debt payments and divides them by your gross monthly income, showing where you land against the DTI bands lenders use.
Include minimum required payments only, not groceries, utilities or other living expenses.
This is a general estimate, not a lending decision. Actual mortgage qualification also depends on credit score, assets and the specific lender’s guidelines.
How Debt-to-Income Ratio Calculator Works
A debt-to-income ratio calculator measures how much of your gross monthly income is already committed to debt payments, which is one of the main figures lenders check when deciding how much more you can borrow. It adds up your recurring minimum debt payments and divides that total by your gross monthly income.
Formula: Debt-to-Income Ratio = Total Monthly Debt Payments ÷ Gross Monthly Income × 100, where Total Monthly Debt Payments = Rent/Mortgage + Car Payment + Student Loans + Credit Card Minimums + Other Debt Payments. Income After Debt = Gross Monthly Income − Total Monthly Debt Payments.
- Gross monthly income — your total income before taxes and other deductions, entered monthly
- Rent / mortgage — your monthly housing payment
- Car payment — your monthly auto loan or lease payment
- Student loans — your required monthly student loan payment
- Credit cards (min.) — the minimum required monthly payment across your credit cards
- Other debt payments — any other recurring minimum debt obligation, such as a personal loan
Example Scenarios
| Gross Monthly Income | Total Monthly Debt | Debt-to-Income Ratio |
|---|---|---|
| $6,000 | $2,150 | ≈35.8% |
| $5,000 | $1,750 | 35.0% |
| $8,000 | $3,250 | ≈40.6% |
| $4,500 | $1,950 | ≈43.3% |
| $10,000 | $3,400 | 34.0% |
Debt-to-Income Ratio Calculator FAQ
What counts as debt for a DTI calculation?
Include only fixed, recurring debt obligations with a minimum required payment — mortgage or rent, car loans, student loans, credit card minimums, and personal loans. Everyday living expenses like groceries, utilities, insurance, and subscriptions are not counted as debt for this purpose.What debt-to-income ratio do lenders look for on a mortgage?
Requirements vary by lender and loan program, but lower ratios are generally viewed more favorably and give you access to more loan options. Check with your specific lender for the exact maximum they’ll accept, since guidelines differ across conventional, FHA, and other loan types.Should I use gross income or take-home pay?
This calculator uses gross monthly income — your earnings before taxes and other deductions — because that’s the figure lenders typically use when calculating debt-to-income ratio for loan qualification purposes, not your net take-home pay.Does rent count toward my DTI if I don’t have a mortgage?
Yes, enter your monthly rent in the Rent/mortgage field even if you don’t currently own a home. Housing costs are part of your recurring obligations regardless of whether you rent or own, and lenders typically factor in your current housing payment.How can I lower my debt-to-income ratio?
You can lower it by paying down or paying off existing debts to reduce your total monthly payments, or by increasing your gross income. Avoiding new debt before a major loan application, like a mortgage, also helps keep the ratio from rising.Is debt-to-income ratio the same as credit utilization?
No. DTI compares your monthly debt payments to your monthly income, while credit utilization compares your credit card balances to your credit limits. They’re both used in lending and credit decisions, but they measure different things and are calculated separately.Related Calculators
Once you know your ratio, see how it translates into buying power with the mortgage affordability calculator to estimate how much home you can qualify for, or work on the debt side directly with the credit card payoff calculator to plan down your balances and the debt consolidation loan calculator to compare combining multiple payments into one.