Debt-to-Income Calculator

Lenders lean on this number hard. Most people never learn their own until they are turned down. It is the share of your pay before tax that goes on debt. Worth knowing first.

Your income

Gross, not take-home. That is what lenders use.

Your housing

Include property tax and insurance if they are in your payment.

Everything else you must pay

Car finance, student loans, card minimums, personal loans, child support. Not food, bills or petrol.

Everything together

0%

Housing alone
0%
How lenders would see it
-
Room left before 43%
$0
Largest housing payment allowed
$0
Total debt payments
$0

Where the money goes

Each block is sized by its share, so you can see whether how lenders would see it or largest housing payment allowed is the bigger part without reading a single number.

Try a different number

Move it and watch

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at {v} for monthly income before tax

What this assumes

And what you can change

The rate stays the same throughoutA variable rate will not
Every payment lands on timeOne missed month changes the total
No fees beyond the ones you enteredLenders add their own
Not what you expected?

Why your own figure may differ

Your lender quotes a different total. Fees vary, and some are folded into the loan rather than billed.
Your first payment is part month. Interest from the day you draw the money is charged separately.
Your balance already includes fees. Check what the loan was written for, not what you asked for.

Where your number puts you

These are not laws. Some lenders go higher. But most decisions cluster around these lines.

How lenders typically read each debt-to-income band
Everything togetherHow it usually readsYour position

Your debt-to-income ratio: real examples

Three positions lenders see very differently. Click any card to load it.

  • Comfortable

    $6,000 income, $1,500 housing, $500 other

    A typical picture that would not worry anyone.

    Housing is 25% and everything together is 33.3%. inside the usual comfort line, with room to borrow.

    Load this scenario in the calculator →
  • Refused

    The same income, $2,000 housing, $700 other

    Not extravagant, but the numbers add up.

    Everything together is 45%, past the point most mortgage lenders stop. Approval gets difficult here.

    Load this scenario in the calculator →
  • Before you buy

    How much house would they allow?

    $8,000 income with $600 of car and card payments.

    The tool works backwards to the largest housing payment a lender would usually accept - useful before you fall for a house.

    Load this scenario in the calculator →

Common questions about your debt-to-income ratio

What is debt-to-income?

The share of your pay before tax that goes on debt each month. Lenders lean on it hard. Most people never learn their own number until they are turned down. Worth knowing before you apply, not after.

What counts as debt here?

Payments you must make. Rent or mortgage, car finance, student loans, card minimums, personal loans, child support. What does not count is normal living costs. Not food, bills, petrol or subscriptions. Lenders are measuring what you owe, not how you live.

What number do lenders want to see?

Under 36% is comfortable. Many mortgage lenders stop at about 43%. Above that you have few normal options. These are not laws. Some lenders go higher. But most decisions cluster around those lines.

Why are there two percentages?

One counts only your housing payment. The other counts everything. Lenders look at both. A small mortgage with huge car and card payments is a different risk from a big mortgage and nothing else. The gap between your two numbers shows which you are.

How do I improve it quickly?

Clear one small debt completely. That removes its whole monthly payment from the sum. It moves the number far more than paying a little off everything. Clearing a $4,000 car loan with a $350 payment beats putting $4,000 against a mortgage. Earning more works too, but slowly.

Does it use income before or after tax?

Before tax. So the ratio always looks better than your budget feels, because your take-home pay is smaller. A 40% ratio on paper can be over half of what actually reaches your bank.

The guide behind this calculator