How is DTI calculated?

Divide your total monthly debt payments by your gross monthly income, then multiply by 100 for a percentage.

Typically recurring obligations such as loan, mortgage, card and other regular debt payments. Everyday spending is usually excluded.

Is a lower DTI better?

Generally lenders view a lower DTI more favourably, but requirements vary. This tool provides general information, not financial advice.

Finance Calculators

Debt-to-Income Ratio Calculator

Calculate your debt-to-income ratio from monthly income and debt payments.

Free browser toolRuns in your browserNo sign-up

Gross monthly incomeCurrencyMonthly debt payments

Debt-to-income ratio

30%

DTI ratio

Lower

Debt-to-income formula

DTI shows the share of gross monthly income committed to recurring debt payments. It is a screening ratio, not a complete affordability test.

DTI = Monthly debt payments / Gross monthly income x 100

Debt: Recurring monthly debt obligations
Income: Gross monthly income before deductions

Worked example

$1,500 of monthly debt against $5,000 gross income produces a 30% DTI.

Practical tips

Use gross income
Lenders usually calculate DTI before tax, unless they specify otherwise.
Budget beyond DTI
Essential spending, dependants, savings and income stability still affect affordability.

About the Debt-to-Income Ratio Calculator

The Debt-to-Income Ratio Calculator finds what share of your gross monthly income goes toward debt payments.

DTI is your total monthly debt payments divided by your gross monthly income, shown as a percentage. Lenders use it to gauge how comfortably you can take on new debt.

The tool also shows a simple lower, moderate or higher band. This is general information, not financial advice, and all maths runs in your browser.

Key features

DTI percentage
Simple interpretation band
Uses gross monthly figures
Instant browser-based calculation

How to use

1Enter your gross monthly income and choose a currency.
2Enter your total monthly debt payments.
3Read your DTI percentage and category.

Examples

Debt-to-income ratio

Input: Debt 1500, income 5000

Output: DTI 30%

Monthly debt is divided by gross monthly income.

Frequently asked questions

How is DTI calculated?: Divide your total monthly debt payments by your gross monthly income, then multiply by 100 for a percentage.
What counts as debt?: Typically recurring obligations such as loan, mortgage, card and other regular debt payments. Everyday spending is usually excluded.
Is a lower DTI better?: Generally lenders view a lower DTI more favourably, but requirements vary. This tool provides general information, not financial advice.

Open a related tool to prepare your files or refine the finished result.