Jim has an annual salary of $96,000. His monthly expenses include a $2,500 mortgage payment, a $250 lease payment, $500 in minimum credit card payments, and a $425 payment on his speed boat. He also receives $1,200 in interest from his savings and other accounts each month. Calculate Jim’s DTI (debt-to-income) ratio.

Question

Jim has an annual salary of $96,000.  His monthly expenses include a $2,500 mortgage payment, a $250 lease payment, $500 in minimum credit card payments, and a $425 payment on his speed boat.  He also receives $1,200 in interest from his savings and other accounts each month.  Calculate Jim’s DTI (debt-to-income) ratio.

dumbcow · Answer

total debt :  2500 + 250 +500+425  =  3675

total income : 8000 + 1200 = 9200

debt/income = 3675/9200