Debt-to-income ratio calculator
Formula
Debt-to-income ratio = Total monthly debt payments ÷ Gross monthly income × 100
Worked example
Example: if monthly income is ₹80,000 and debt payments are ₹22,000, the DTI ratio is 27.5%.
How to interpret the result
A lower ratio usually leaves more breathing room for savings and emergencies. A higher ratio can make new borrowing feel tighter.
Important limitations
Different lenders use different internal thresholds. This ratio alone does not decide approval or rejection.
Frequently asked questions
Is DTI the same as credit utilization?
No. DTI compares debt payments with income, while utilization compares card balances with credit limits.
Should rent be included?
Rent is not debt, but it still matters when judging overall affordability.
Does a low DTI guarantee approval?
No. Lenders still consider credit score, income stability, and product policy.
Why use gross income?
Many DTI models start with gross income, though practical household planning often also looks at net income.
Can DTI change quickly?
Yes. It changes when income or debt payments change.
Finance disclaimer
This calculator is for educational purposes only. It does not provide personalized financial, tax, legal, credit, or investment advice. Results are simplified estimates and may differ from actual bank, issuer, employer, lender, or tax outcomes.