Debt Ratio
Planning & BudgetingTotal liabilities divided by total assets, showing how much of your wealth is offset by what you owe.
Example
Example: For someone earning $60,000/year trying to build a solid financial plan, understanding debt ratio is a key piece of the puzzle. Applied to a monthly budget, this concept could help you save an extra $200-$500/month. Build your plan with our 50/30/20 budget calculator.