WiseCalc

Car Affordability Calculator

Model a car purchase-price ceiling from gross monthly income, other debts, a selected total-debt limit, down payment and nominal loan terms.

$
$2,000$30,000
$
$0$5,000
$
$0$50,000
%
0%15%
months
24 months84 months
%
5%25%
Modeled purchase-price ceiling
$25,690.22
with a payment of $400.00/month
Max Monthly Payment
$400.00
Max Loan Amount
$20,690.22
Total Interest
$3,309.78
Gross income after modeled debts
$5,100.00
Before taxes and other expenses

The selected percentage limits all monthly debt payments, including the modeled car payment. It is your chosen illustration, not a lender limit or an approval guarantee. All income and debt inputs are monthly; income is gross, before taxes and deductions.

Loan model: annual interest divided by 12, equal payments at each month end, no lender cent rounding or fees. Enter the interest rate, not a fee-inclusive APR. The price ceiling adds the entered down payment; taxes, fees, insurance, fuel and living expenses are excluded. Gross income after debts is not a spendable take-home budget.

CFPB: debt-to-income ratio; FTC: financing and leasing costs

Gross monthly income allocation

How this purchase ceiling is modeled

The selected percentage applies to total monthly debt, including existing debt and the proposed car payment. Payment headroom is gross monthly income times that percentage, less other monthly debts, with a zero floor. The percentage is an entered assumption, not a recommended threshold or lender approval rule.

The modeled loan uses equal end-of-month payments and annual nominal interest divided by 12. Adding the entered down payment gives the purchase-price ceiling. The gross remainder is before taxes and living expenses; taxes, fees, trade-in value, insurance, fuel and other ownership costs are not modeled. A negative gross remainder stays visible and has no allocation chart.

Frequently Asked Questions