Add up your gross monthly income
Add up all your monthly debt payments
Divide total monthly debt payments by gross monthly income
Multiply the result by 100 to get your debt-to-income ratio percentage
Use this formula: DTI = (Monthly Debt Payments ÷ Gross Monthly Income) × 100
Include debts such as mortgage or rent, car loans, student loans, credit card minimum payments, and personal loans
Exclude expenses such as groceries, utilities, insurance, and entertainment
Compare the result to lender guidelines if needed