Calculate your debt-to-income ratio
To calculate your DTI ratio, you’ll need 2 pieces of information:
- Your gross monthly income — that is, your monthly income before taxes.
- Your monthly debt payments.
Divide your monthly debt payments by your gross monthly income.
Here’s an example
Let’s say you make $60,000 a year, which comes out to $5,000 a month before taxes.
Each month, you pay $1,200 in rent, $200 in car payments and $250 in credit card payments. In total, your monthly debt is $1,650.
To get your DTI ratio, divide $1,650 by $5,000. That comes out to 33%.
Easily find your DTI ratio with our calculator
For a quick way to calculate this information, use our handy DTI ratio calculator.
You can quickly plug in details such as your credit card, car loan and mortgage payments, as well as your monthly income. Our calculator will do the rest, showing your DTI ratio and how it looks to creditors.