Gross monthly income ($)Housing payment ($)Credit-card minimums ($)Auto loan payments ($)Student loan payments ($)Other recurring debts ($)

Use gross income before taxes. Housing may include principal, interest, property tax, insurance and association dues where applicable.

What debt-to-income ratio measures

DTI divides recurring monthly debt payments by gross monthly income. The housing ratio considers housing alone; the total ratio includes housing plus the other debts entered.

What the estimate does not decide

DTI is only one part of a lending decision. Credit history, assets, employment, loan type, down payment, reserves and lender rules may also matter. Different lenders may classify obligations differently.

Educational screening estimate only. It is not a lending decision or financial advice.

Published by RVR — Founder & Editor, IQlatorMethodology reviewed September 24, 2026Educational information

Understand what a debt-to-income ratio measures

Debt-to-income ratio, or DTI, compares recurring monthly debt obligations with gross monthly income. A housing ratio considers housing obligations, while total DTI adds other recurring debts. It is a screening measure, not a complete lending decision.

How to use this page

Divide the applicable monthly obligations by gross monthly income and multiply by 100. Use required payments rather than total balances. Housing may include principal, interest, property taxes, insurance and association dues when the lender includes them.

Practical exampleWith $8,000 of gross monthly income and $3,200 of qualifying monthly obligations, total DTI is 40%. Changing the proposed housing payment shows how a new loan could affect that ratio.

Inputs to verify

Use gross income before taxes unless a specific program instructs otherwise.
Include alimony, support or other obligations when the applicable lending rules require them.
Confirm how a lender treats student loans, leases and deferred debt.

Common questions

Is there one universal acceptable DTI?

No. Limits vary by loan program, lender, credit profile, down payment and other underwriting factors.

Does DTI measure living expenses?

Usually not. Food, utilities and many everyday costs are not included, so affordability can be tighter than DTI suggests.

Methodology and sources: General educational calculation. Lender and loan-program definitions control underwriting.

Debt-to-Income Ratio Calculator