GenzeeDebt-to-Income Ratio Calculator
Calculate your debt-to-income ratio — the number lenders use to judge how much more debt you can realistically take on.
Debt-to-income ratio
36.5%
Manageable but at the upper end of what many lenders allow
What debt-to-income ratio measures
Debt-to-income (DTI) ratio is total monthly debt payments divided by monthly gross income, expressed as a percentage. It's one of the primary numbers lenders use to assess whether someone can realistically take on additional debt — a new loan, mortgage, or credit line — without becoming over-extended.
What counts as "debt" in this calculation
Rent or mortgage, loan payments, credit card minimum payments, and any other recurring debt obligations all count. Everyday living expenses — groceries, utilities, subscriptions — do not count toward DTI, even though they're real monthly costs, because DTI specifically measures debt obligations, not total spending.
Common DTI thresholds
A DTI at or below 36% is commonly considered healthy and within most lenders' comfort zone. Between 36% and 43% is generally still workable but sits at the upper end of what many lenders will approve for additional credit. Above 43% often signals reduced borrowing capacity and can make new loan approval more difficult, since it suggests less room in the budget to absorb a new payment.
Frequently asked questions
Is DTI the same as credit utilization?
No — credit utilization measures how much of your available credit limit you're using; DTI measures your debt payments against your income. Both matter for creditworthiness, but they're calculated from completely different inputs.
Does DTI include my savings contributions?
No — DTI only counts debt obligations, not savings, investments, or other financial commitments that aren't technically debt.
How can I lower my DTI?
Either increase income or reduce debt payments — paying off a loan, consolidating high-payment debts into a lower one, or paying down a credit card balance to reduce its minimum payment all lower DTI directly.