Debt Ratios Calculator 2026 — GlobalCalc

GlobalCalc

Inputs

Gross monthly income

Housing payment

Other debt payments

Results update as you type

Results

Back-end debt-to-income

36.25%

Front-end DTI (housing only)—

Assessment—

Monthly headroom before 36%—

Monthly headroom before 43%—

Debt-to-asset ratio—

Net worth—

Income needed for a 36% back-end DTI—

Total monthly debt payments—

Reviewed September 2026. The time value of money is arithmetic, not regulation: the same formula in every market. Only the currency shown changes. US deposits quote APY and loans quote APR; APR under Regulation Z includes most fees, which is why it exceeds the nominal rate.

All calculations run 100% in your browser. The calculator code does not submit your figures to GlobalCalc to obtain a result.

About debt ratios

Method

How the debt ratios calculator works

Debt-to-income is monthly debt payments divided by gross monthly income. Front-end DTI counts housing alone; back-end counts everything. Most lenders want back-end under 36% and will rarely go past 43%.

Debt-to-asset compares what you owe with what you own, which is a solvency measure rather than a cash-flow one. A household can pass one and fail the other badly.

Formula: DTI = monthly debt payments / gross monthly income

Data

Worked examples

Inputs	Back-end debt-to-income	Note
8,000 income, 2,900 of payments	36.25%	36.3% — just over the conventional line
Housing only	27.5%	27.5% — comfortable
A stretched borrower	52.5%	52.5% — over the ceiling

FAQ

Frequently asked questions

What debt-to-income ratio do lenders want?

Conventionally 36% or less on the back-end measure. Many will stretch to 43%, and few go beyond it.

What is the difference between front-end and back-end?

Front-end counts only housing costs; back-end counts every recurring debt payment. Lenders look at both.

Is gross or net income used?

Gross, almost always. That is worth knowing, because your actual capacity is based on net.

What is debt-to-asset for?

Solvency rather than cash flow. You can have a fine DTI and still be insolvent if the debts exceed the assets.

Does this decide whether I get a loan?

No. Lenders also assess credit history, employment, deposit and the property itself, and their exact thresholds vary.

Sources

Where these figures come from

CFA Institute — Quantitative Methods: The Time Value of Money — the discounting, annuity and IRR conventions used here
US Federal Reserve — Regulation Z (Truth in Lending), APR calculation — why APR includes fees where a nominal rate does not
Consumer Financial Protection Bureau — the US consumer finance regulator

Last checked: September 2026. These are the standard textbook formulas; the conventions named are those of the CFA Institute curriculum and ISO 80000 usage.