$41.40 per month would be 2.3% of $1800.
The maximum you should spend on housing is 30% of your monthly income. If your gross monthly income is $1800, you should spend no more than $540 per month.
The general rule is you should spend no more than half of your income on rent. The better you are doing financially, the smaller percentage of income goes towards your house/apartment.
If you are referring to applying for a mortgage loan the following are good guidelines: proposed monthly payment divided into gross monthly income should range around 32% or less; total monthly obligations (not utilities) plus proposed monthly mortgage payment divided into gross monthly income should range around 41% or less. Of course, there are always deviations to these ratios i.e. the borrowers assets and / or credit score ratings.
See, it has to be a ratio of your total monthly income and your total monthly debt payments. First of all, you should add your monthly income. On the other hand, you have to add your monthly bills e.g. rent, car loan, phone etc. Your total credit card outstanding balance has to be divided by 12 and the figure that you achieve has to be added with your total monthly bill payments. Thus, you arrive at your debt payment each month. You must ensure that your debt payments shouldn't exceed 50% of your earnings. You can use a debt-to-income ratio calculator to know the correct figure.
You add up all of your monthly income and derive a number. You then add up all of your debt. Home loans, auto loans etc. The difference is your debt to income value. What you are really looking for, and what banks want to know is your monthly debt to income ratio. In this you will take all of your monthly bills. Auto loan payment, rent, phone and every bill you can think of. you add these together. You then look at your total credit card debt and divide this by 12. You add that into your total monthly payments. This is your monthly debt payment. To be considered to be sound as far as banks go, you total debt payments should NT be more then 50% of your income. It used to be 25% of your monthly income could go towards a mortgage or rent. They have moved that number up some, but it is a nice point to aim for.
41.4dollars
The maximum you should spend on housing is 30% of your monthly income. If your gross monthly income is $1800, you should spend no more than $540 per month.
Rent shouldn't be than one quarter of your income.
You should make sure that all of your planned monthly expenses do not exceed your monthly income.
Get another job.
The amount of home you can afford is based on your monthly or annual income. For example if you have a down payment of $10000.00 and a gross monthly income of $4000.00, your maximum home price should be $40000.00.
In the Air Force, the income to debt ratio should not exceed 40%. This means that the total monthly debt payments should not exceed 40% of the monthly income. This is to ensure that members are not burdened with excessive debt and can maintain their financial stability.
Budgeted costs are generally described as the best estimate about what should be allowed for forthcoming activity.
The general rule is you should spend no more than half of your income on rent. The better you are doing financially, the smaller percentage of income goes towards your house/apartment.
If you are referring to applying for a mortgage loan the following are good guidelines: proposed monthly payment divided into gross monthly income should range around 32% or less; total monthly obligations (not utilities) plus proposed monthly mortgage payment divided into gross monthly income should range around 41% or less. Of course, there are always deviations to these ratios i.e. the borrowers assets and / or credit score ratings.
freshies dont deserve any money, this money should go to the B.N.P.
See, it has to be a ratio of your total monthly income and your total monthly debt payments. First of all, you should add your monthly income. On the other hand, you have to add your monthly bills e.g. rent, car loan, phone etc. Your total credit card outstanding balance has to be divided by 12 and the figure that you achieve has to be added with your total monthly bill payments. Thus, you arrive at your debt payment each month. You must ensure that your debt payments shouldn't exceed 50% of your earnings. You can use a debt-to-income ratio calculator to know the correct figure.