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Monthly Debt-to-Income Capacity Scenario

Compare monthly recurring debt with gross monthly income and an entered target debt percentage.

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Calculator inputs

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How to use this calculator

  1. Enter the known values in the units shown. Results update as you type.
  2. Where results are editable, change one to solve backwards. Lock a value to hold it fixed.
  3. Use the worked example to check the method. Reset restores the starting fields.

Use the result with context

Results are estimates for planning and education. Confirm rates, taxes, fees, and legal requirements with the relevant institution or a qualified professional before making a financial decision.

Formula and method

Monthly income of 5000 and debt of 1500 give DTI of 30%. At an entered target of 40%, the remaining monthly capacity is 500.

DTI = monthly debt/monthly income; additional capacity = max(0,target × income − debt).

Worked example

Enter these known values and leave the other values blank.

Income
5000 USD / mos
Recurring monthly debt
1500 USD
Monthly debt limit
40 %
Debt-to-income (DTI) ratio
30 %
Captured DTI band (1–5)
2
Additional debt
500 USD

Assumptions and limitations

  • Use gross monthly income and monthly recurring debt obligations on the same basis. The income period selector converts to a monthly income reference.
  • The five source score bands at 20%, 36%, 42% and 49% are retained descriptive bands, not lender approval rules or a guarantee of credit access.
  • Enter all monetary amounts in a single currency. Retained currency conversion factors are a captured static snapshot, not live exchange rates.
  • Clear a known field before solving for it. Locks retain chosen inputs; inconsistent locked values need correction. Reset restores the captured defaults.

Common questions

What does the worked example show?

Monthly income of 5000 and debt of 1500 give DTI of 30%. At an entered target of 40%, the remaining monthly capacity is 500.

What assumptions limit this calculation?

Use gross monthly income and monthly recurring debt obligations on the same basis. The income period selector converts to a monthly income reference.

References

Use the documented finite scenario domain. income must be positive. debt cannot be negative. Use a percentage between zero and 100. Translate all five captured DTI bands to bounded local conditional arithmetic; score thresholds are descriptive and are not lending rules.

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