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TallyBench / Debt-to-Income Ratio Calculator
// DEBT-TO-INCOME RATIO CALCULATOR

What's your debt-to-income ratio?

Enter your gross monthly income and your monthly debt payments to see your DTI and how lenders are likely to view it.

Estimate only — not a lending decision. Actual DTI requirements vary by lender and loan type.
Total monthly debt$0
Gross monthly income$0
DTI ratio0%
Assessment

What is a good debt-to-income ratio?

A DTI of 36% or below is generally considered healthy and well within typical lending guidelines. Ratios between 37-43% are manageable but sit near the upper limit many mortgage lenders allow, 44-49% is considered high and may make it harder to qualify for new credit, and 50% or above is very high — lenders will likely decline new credit applications at that level.

Is DTI the same as credit utilization?

No — they measure different things. DTI compares your total monthly debt payments to your gross monthly income. Credit utilization compares your credit card balances to your credit limits. Both are commonly used by lenders to assess risk, but a low credit utilization doesn't automatically mean a low DTI, and vice versa.

What counts as debt for DTI?

Loan and credit payments count — rent or an existing mortgage, car loans, student loans, and credit card minimum payments. This tool includes a Rent/Mortgage field since it's commonly relevant for other types of credit applications, but note that if you're applying for a mortgage on a new home, lenders typically exclude your current rent from the calculation since it will be replaced by the new mortgage payment. Groceries, utilities, and subscriptions don't count toward DTI.

How can I lower my DTI?

Three levers move your DTI: pay down existing balances, avoid taking on new debt, or increase your income. If you're carrying multiple debts and want a structured plan for paying them down, see the Debt Payoff Calculator for a snowball vs. avalanche comparison.

Worked example: with the default figures above — $6,000 gross monthly income and $1,500 + $350 + $200 + $100 + $0 = $2,150 in total monthly debt — the DTI is 2,150 ÷ 6,000 × 100 = 35.83%, which falls in the "Healthy" band.