Rent-to-Income Ratio Calculator
Enter your income and rent to see your ratio, whether you clear the landlord 3× screen, and the rent your income comfortably supports.
Uses gross income — the same basis landlords screen with.
The two rules everyone screens with
They’re the same threshold viewed from opposite sides: 30% of income going to rent = income equal to 3.33× rent. Landlords round to “3×” and screen applications with it; NYC’s version is the 40× annual rule (yearly income ≥ 40 × monthly rent, which works out to exactly 30%).
Worked example
Earning $75,000/year ($6,250/month) with $1,800 rent: ratio 28.8% — inside the guideline, and 6,250 ≥ 3 × 1,800 = $5,400, so the 3× screen passes. The same income comfortably supports up to $1,875/month.
Where the 30% line comes from — and when to bend it
- Origin: U.S. housing policy has used 30% since 1981 (up from a 25% standard) to define affordability; HUD labels households above it “cost-burdened” and above 50% “severely cost-burdened.”
- High-cost metros: in NYC, SF, Boston or LA, large shares of renters exceed 30% — if you do, the practical move is compensating elsewhere: minimal car costs, roommates, aggressive savings automation before rent gets spent.
- High earners: at $200k+, spending 35% on rent still leaves plenty of absolute dollars — percentage rules matter most at low and middle incomes where the leftover has to cover everything.
- Variable income: landlords screening freelancers typically average recent months or ask for 12× rent in savings — annualize honestly with our annualized income calculator.
Failing the 3× screen — your options
- Co-signer/guarantor (typically must earn 5–6× the rent themselves, or use a guarantor service for ~one month’s rent as a fee).
- Roommates: most landlords count combined household income.
- Prepaid months or a larger deposit, where state law allows.
- Proof of assets: several months of rent in savings often substitutes for ratio shortfalls, especially with private landlords.
Frequently asked questions
Is the ratio based on gross or take-home pay?
Gross (pre-tax) — that’s what landlords screen with and what the 30%/3× rules assume. For your own budget, running it on take-home is stricter and arguably wiser: 30% of gross often equals ~38–40% of net.
What is the 40x rule?
The NYC convention: annual gross income must be at least 40× the monthly rent. It’s mathematically the same as the 3.33× monthly rule — $3,000 rent needs $120,000/year either way.
Do landlords count bonuses, gig income or child support?
Documentable, recurring income usually counts: recent paystubs with bonus history, two years of tax returns for self-employment, court-ordered support with payment history. One-off windfalls don’t. Policies vary — ask before applying.
Does rent-to-income affect my credit score?
No — income isn’t in credit files. It’s a separate screen landlords run alongside the credit check. Paying rent on time can help your score only if it’s reported through a rent-reporting service.
Last reviewed: 2026-08-20 · Report an issue