DTI Calculator

Add your monthly debt payments, divide by gross monthly income, then multiply by 100. Use the required payments rather than outstanding loan balances.

With monthly payments of 1,800 and gross income of 6,000, the calculation is 1,800 ÷ 6,000 × 100 = 30%. The ratio is the same whether those amounts are dollars, pounds or another currency, provided every input uses the same currency.

Which payments should I enter?

Include the housing payment relevant to your estimate, vehicle and student loan payments, credit card minimums, and other recurring debts. Avoid entering the same payment in more than one field. If you are estimating a proposed mortgage, ask the lender which housing costs and existing debts it will count.

Use monthly income throughout. To convert a fixed annual gross salary into a monthly figure, divide by 12. Irregular income and lender-specific income adjustments need a separate assessment.

Convert your pay to a monthly amount

For a regular gross paycheck, multiply weekly pay by 52 and divide by 12. For pay every two weeks, multiply by 26 and divide by 12; for twice-monthly pay, multiply by 2. An example $1,200 weekly paycheck averages $5,200 per month, not $4,800. These are annualised averages. A lender may use a different qualifying-income calculation, especially for overtime, bonuses or self-employment.

Front-end and back-end DTI

Front-end DTI compares housing costs with gross income. Back-end DTI also includes other debt payments. Housing costs of 1,200 and other debt payments of 600 against gross monthly income of 6,000 give 20% front-end DTI and 30% back-end DTI. When you enter housing and other debts, this calculator gives a back-end estimate. Confirm which costs your lender includes.

What does the percentage tell me?

It shows how much of your gross monthly income is represented by the payments you entered. It does not show disposable income because taxes, food, utilities and other living costs are not deducted. Lenders and loan products use different limits and may calculate qualifying income differently.

If your DTI falls from 30% to 25%, it drops by 5 percentage points. This is different from a 5% relative decrease. See the guide to percentage change and percentage points when comparing two ratios.

Definition and lender limitations: Consumer Financial Protection Bureau: debt-to-income ratio. Front-end and back-end definitions: CFPB HMDA report, footnote 51.