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Debt-to-Income

How lenders see you.

A clear, honest picture of where you stand — and what it means.

Your monthly income.

Gross income (before taxes) from all sources.

$
$

Side gig, rental, investments, etc.

Total monthly income

Your monthly debt payments.

Minimum required payments only.

$
$
$
$
$
$
Total monthly debt
Your debt-to-income ratio
%

Where you stand.

Lender thresholds, mapped against your number.

0% 36% · good 43% 50%+ · high

What this means.

The arithmetic.

Monthly income
Monthly debt payments
Left after debt
Debt-to-income ratio

What is debt-to-income ratio?

Your debt-to-income ratio (DTI) compares your monthly debt payments to your gross monthly income. It's one of the key numbers lenders use to evaluate your ability to manage payments.

The formula. DTI = (Total Monthly Debt Payments ÷ Gross Monthly Income) × 100.

DTI benchmarks

  • Under 36% — Excellent. You're well-positioned for loans and credit.
  • 36% – 43% — Acceptable. Some lenders may be cautious.
  • 43% – 50% — High. May affect mortgage qualification.
  • Over 50% — Very high. Focus on debt reduction.

Two ways to improve your DTI

  1. Pay down debt — Lower payments mean a lower DTI.
  2. Increase income — Side gigs, raises, a new job.