Debt-to-Income Ratio Calculator

Monthly Debt Payments

Monthly Income

Calculating...

How the Calculator Works

DTI = (Total Monthly Debt Payments ÷ Gross Monthly Income) × 100

Enter your total monthly debts — like mortgage, car loan, credit cards, and student loans — and your gross monthly income. The calculator displays your front-end (housing) and back-end (total debt) ratios.

Formula & Explanation

  • Front-End DTI: (Mortgage / Income) × 100
  • Back-End DTI: (All Debts / Income) × 100

Most lenders prefer:

  • Front-end ≤ 28%
  • Back-end ≤ 43%

Example Calculation

Monthly debts: $2,000
Monthly income: $5,000
→ DTI = (2,000 ÷ 5,000) × 100 = 40%
You're within acceptable limits for most lenders.

How to Use This Tool

  1. Add all monthly debt payments.
  2. Enter your gross monthly income (before taxes).
  3. Click Calculate to see your DTI ratio.
  4. Compare against typical mortgage qualification thresholds.

Features & Benefits

  • Quick, accurate DTI calculation
  • Distinguishes front- and back-end ratios
  • Helps prepare for mortgage pre-approval
  • Useful for budgeting or refinancing
  • 100% free and privacy-safe

FAQs

Q1: What's a good DTI ratio?

A1: Below 36% is excellent; under 43% usually qualifies for most loans.

Q2: Does this include utilities?

A2: No — only debt obligations count.

Q3: How can I lower my DTI?

A3: Pay down balances, refinance high-interest loans, or increase income.

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