Your debt-to-income ratio (DTI) is all of your monthly debt payments divided by your gross monthly income expressed as a percent. It indicates to lenders your ability to handle the monthly payments for the money you want to borrow.

The Debt-to-income Ratio page in each budget space is optional. The page is there for your convenience should you choose to use it.

DTI standards

While debt-to-income ratio standards used by vendors vary, a typical interpretation of your DTI by a lender could be:

• 35% or less: Your debt is at a manageable level.
• 36% to 49%: You’re managing your debt, but lowering your DTI is encouraged.
• 50% or more: Your money for spending and saving is probably limited.