Calculate a ratio between monthly debt payments and gross monthly income. Use amounts from the same period and include every payment relevant to your comparison.
Debt-to-income ratio = monthly debt payments / gross monthly income × 100.
Monthly debt payments of 600 against gross monthly income of 2,000 produce a 30% ratio. Reducing payments to 500 changes the ratio to 25%.
Some countries and lenders use net income or different debt definitions. This page uses gross income by default and does not impose a universal approval threshold. A low ratio does not account for all living expenses, dependants or unstable income.
Editorial responsibility: Nicolas Belotti · Methods and testing · Report an error
English edition: 16 September 2026.