Reference formulas and worked examples below keep their stated units. Monetary examples use USD; dimensional examples use US customary units unless labeled otherwise. Metric calculator inputs are converted to these reference units before calculation. Choosing another currency does not convert example amounts or exchange money.
How to use this debt-to-income ratio calculator
Use quick totals for a fast check. Detailed mode adds income and debt rows, housing tax, insurance and HOA, plus a current-versus-proposed housing comparison.
How the calculation works
Detailed mode converts each amount to monthly: annual / 12, weekly × 52 / 12, every two weeks × 26 / 12, or twice monthly × 2. Housing is the sum of base payment, tax, insurance and HOA. In a proposed scenario, this total replaces the current housing payment; other debts stay the same. Both DTI values are preserved in the breakdown.
Convert annual gross income to a monthly amount by dividing by 12. Total debt-to-income ratio = all entered monthly debt payments ÷ gross monthly income × 100.
Housing-only ratio = the entered housing payment ÷ gross monthly income × 100. Total DTI includes housing plus vehicle, student, credit card and other entered payments.
At your selected comparison ratio t, allowed monthly debt = gross monthly income × t ÷ 100. Subtract current payments to find remaining room, or the amount over the chosen limit.
Gross monthly income needed at the comparison ratio = current monthly debt ÷ (t ÷ 100). Lenders use different definitions and limits; this calculation does not select a mortgage program or infer its rules.
Worked example
USD 72,000 of annual gross income equals USD 6,000 per month. Housing of USD 1,500 and other debt payments totaling USD 600 give a DTI of 35%. At a chosen 36% comparison, payment room is USD 60 per month.
Limits and assumptions
Uses user-entered obligations and a flat income average. It does not verify income, credit history, program eligibility, variable student-loan rules or local underwriting policies. Housing-only and total ratios are shown without approval labels.
Frequently asked questions
Can I enter more than one income or loan?
Yes. Detailed mode accepts up to 20 income sources and 20 debt payments with separate periods. For example, 60,000 yearly pay plus 1,000 monthly income equals 6,000 monthly gross income. Period changes convert amounts instead of reinterpreting them.
Do I use gross or take-home income?
Gross income, before tax and deductions. Using take-home pay answers a different budgeting question.
Do I enter balances or payments?
Payments. A loan balance of 20,000 with a required monthly payment of 400 contributes 400 to monthly debt here.
Does 36% mean I will qualify?
No. The example is adjustable. Lenders and loan programs differ, and DTI is only one part of an application.
Can I include a proposed mortgage?
Yes. In Detailed mode choose Replace current housing with a proposal. Enter the current complete housing payment for comparison, then the proposed components. Only one housing scenario enters each DTI; check the lender’s treatment of other obligations.