Debt-to-income ratio (DTI) calculator

This debt-to-income ratio (DTI) calculator works out what share of your monthly income goes toward debt payments, with a healthy / caution / high-risk indicator.

Why your DTI ratio matters

Your DTI ratio is one of the first things lenders check before approving a mortgage or loan: it shows how much of your income is already committed to debt. Keeping it below 35% leaves you more breathing room and improves your chances of getting approved on good terms. This is a guideline only — it’s not financial advice.

FAQ

What is the DTI ratio?

The debt-to-income ratio is your total monthly debt payments (mortgage, loans, credit cards) divided by your monthly net income, expressed as a percentage.

What DTI is considered healthy?

Below 35% is generally seen as healthy. Between 35% and 43% calls for caution, and above 43% lenders typically see it as high risk.

Why does DTI matter for a mortgage or loan application?

Lenders use it to estimate how much more debt you can safely take on. A lower DTI usually means better approval odds and terms.