How much debt is too much?

Your debt ratio is an important number to be acquainted with. It tells you how your monthly debt payments compare to your monthly income. A high debt ratio might indicate that your monthly expenses are becoming unmanageable. It also might discourage lenders from loaning you any more money. Use the Debt Evaluation calculator to determine whether your debt ratio is acceptable or too high.

Results

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Debt payments per month:	$500
Monthly income:	$4,000
Debt ratio:	13%
Debt ratio ranking:	Acceptable
You have an acceptable debt ratio that should allow you to continue making all of your payments

The debt rankings are based on the following percentages: Acceptable: 0-41%, Relatively High: 41-51%, High: 51-66%, Too High: 66-86%, and Excessively High: more than 86%.