Rent to Income Ratio Calculator: Housing Share of Pay
Work out the share of your monthly income that goes to rent — the figure most landlords screen on, and the one that decides how much breathing room the rest of your budget has.
Adjust the inputs and select Calculate for a full breakdown.
Compare Common Scenarios
How the numbers shift across typical situations for this calculator:
| Scenario | Rent to income ratio | Income left for everything else |
|---|---|---|
| $1,500 rent · $5,000 income | 30.00% | 70.00% |
| $900 rent · $3,200 income | 28.13% | 71.88% |
| $2,800 rent · $7,500 income | 37.33% | 62.67% |
| $1,200 rent · $3,000 income | 40.00% | 60.00% |
How This Calculator Works
Enter monthly rent and gross monthly income. The calculator divides one by the other and multiplies by 100 to give the rent to income ratio, with the share left over for everything else shown alongside.
The Formula
Part as a Percentage of a Whole
Part is the portion, Whole is the total it belongs to
Worked Example
Paying $1,500 of rent on a $5,000 gross income is a 30% rent to income ratio — the classic rule-of-thumb threshold. The remaining 70% has to absorb taxes, food, transport, debt service, and saving, which is why ratios above 30% squeeze quickly.
Key Insight
The 30% rule treats rent and income equally, but it tilts hard against lower earners — 30% of a $30,000 income leaves $21,000 a year for everything else; 30% of a $200,000 income leaves $140,000. A more honest read uses net income (after tax) and accounts for non-housing fixed costs before declaring 30% sustainable.
Frequently Asked Questions
How is rent to income ratio calculated?
Divide monthly rent by gross monthly income and multiply by 100. A $1,500 rent on $5,000 of income is a 30% rent to income ratio.
Is 30% really the right cap?
It is a rule of thumb that has held since the 1960s, but it works better for middle incomes than for low ones. Below median income, even 25% can be tight; above it, 35% may be comfortable.
Should I use gross or net income?
Landlords almost always screen on gross. For a personal budget, net income gives a much truer read — what you actually have left after rent.
What about household income?
If rent is shared, use combined household income. If income is yours alone but rent is split, divide the rent by your share, not the full bill.
Do utilities count as rent?
Strictly no, but practically yes for budgeting. Many cost-of-housing measures include utilities and trash, which can lift the effective rent-to-income figure by several percentage points.
Related Calculators
Methodology & Review
The rent to income ratio is monthly rent divided by gross monthly income, multiplied by 100. The complement is everything-else income — the share left for taxes, food, debt service, and saving. The figure is pre-tax; net-of-tax income gives a closer read on what actually has to stretch.
Written by Ugo Candido · Last updated May 17, 2026.