Debt to Income Calculator
Posted By: Admin Published: 06, Nov 2025
Debt-to-Income (DTI) Calculator helps you measure the percentage of your monthly income used to pay debts, allowing you to assess your financial health and borrowing capacity Debt to Income Calculator
How to calculate your DTI
- Determine your total monthly gross income :This is your income before taxes and other deductions are taken out.
- Calculate your total monthly debt payments:Add up all your recurring monthly debt obligations, including things like
- Rent or mortgage payment
- Car loans
- Student loans
Conversion Formula
DTI Ratio = (Total Monthly Debt Payments ÷ Gross Monthly Income) x 100
Examples
- Example 1:(40,000 ÷ 1,00,000)×100 = 40%
Debt-to-Income (DTI) Ratio Guide
| DTI Ratio Range | Category | Description |
|---|---|---|
| Below 35% | Excellent | Low debt; strong financial stability. |
| 36% – 43% | Good | Manageable debt; acceptable to lenders. |
| 44% – 50% | High | High debt; may affect loan approval. |
| Above 50% | Critical | Heavy debt; reduce liabilities. |
Conclusion
The Debt-to-Income (DTI) Calculator measures your financial health by comparing your monthly debt payments to your gross income. It helps determine how easily you can manage and repay your debts.