---
title: "Debt Service Coverage Ratio (DSCR) Calculator | MCC"
description: "Enter net operating income and yearly debt payments to get your debt service coverage ratio and how much cushion is left. Free and private."
url: "https://mcc-solutionsnj.com/bookkeeping/debt-service-coverage-ratio-calculator"
---

Free tool

# Debt service coverage ratio calculator

## Overview

See whether the income of a business or property covers its loan payments. Enter yearly net operating income and yearly principal and interest payments.

[![Intuit ProAdvisor Gold tier badge](/img/credentials/intuit-proadvisor-gold.png)](https://proadvisor.intuit.com/app/accountant/search?searchId=matthew-coleman77)Gold tier in Intuit's ProAdvisor program. [See my Intuit listing](https://proadvisor.intuit.com/app/accountant/search?searchId=matthew-coleman77)

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Net operating income, yearly ($)

Debt payments, yearly: principal and interest ($)

Excel workbook · $29

### Rental Property Deal Analyzer

Enter the price, financing, rent and expenses and see cash flow, cap rate, cash-on-cash return and coverage, with best, expected and worst cases side by side.

[See what is inside ($29)](/toolkits/rental-property-deal-analyzer)14-day full refund

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## Put this tool on your own site

Free to use. Paste this where you want it to appear. It runs in the visitor's browser, so nothing they enter is sent to us.

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How it works

## How it works

**DSCR** is net operating income divided by total yearly debt service (principal plus interest). A ratio of 1 means income exactly covers the payments. Lenders set their own minimums, so ask yours what it requires.

Want a second pair of eyes on your books? [A free bookkeeping health check](/bookkeeping/health-check).

FAQ

## About this calculator

**What is a good DSCR?**

Lenders choose their own minimums, and they differ by loan type and lender. Many want a cushion above 1, often written as 1.25 or higher. Ask your lender how it calculates the figure.

**What counts as net operating income?**

Revenue minus operating expenses, before interest, income taxes and usually before depreciation. Lenders may adjust it, so confirm which version they use.

**Does this approve or deny a loan?**

No. It is a general calculator. A lender decides based on its own rules and review.

**Is anything saved?**

No. The math runs in your browser and nothing you enter is sent to us.

**Is this tax or financial advice?**

No. It is a calculator for general information. Check the numbers against your own records, and ask an accountant before you act on them.

Related: [interest coverage ratio calculator](/bookkeeping/interest-coverage-ratio-calculator), [debt to equity ratio calculator](/bookkeeping/debt-to-equity-ratio-calculator). See [all free tools](/free-tools). More free tools: [Receivables turnover calculator](/bookkeeping/accounts-receivable-turnover-calculator), [Operating margin calculator](/bookkeeping/operating-margin-calculator), [Compound interest calculator](/bookkeeping/compound-interest-calculator), or [see all free tools](/free-tools).

Free

### Month-End Close Checklist (PDF)

The five-day close, one page to print. Enter your email and we send a link to confirm it is yours, then the download. We may email you about new toolkits, and every email has an unsubscribe link.

General information, not tax or legal advice. [How we write and check our tools](/editorial-standards).

Excel workbook

### Rental Property Deal Analyzer

Enter the price, financing, rent and expenses and see cash flow, cap rate, cash-on-cash return and coverage, with best, expected and worst cases side by side.

[See what is inside ($29)](/toolkits/rental-property-deal-analyzer)

Also in the [Landlord Bundle](/toolkits/landlord-bundle): 3 products for $69 instead of $82 separately.

Tallyfinch

### Books you keep on your own computer

Tallyfinch does invoices, bills, bank import, reconciliation and the main reports, in a file you own. $99 once, then $5 a month for updates; the app keeps working if you stop the plan. It does not do payroll or sales tax filing. The free download records up to 60 entries.

[See Tallyfinch](/bookkeeping/mcc-books-downloadable-bookkeeping-software) [Download it free](/tools/pro/trial/mccBooks) [Compare the three apps](/software)

## Want your books and numbers handled?

[Free health check](/bookkeeping/health-check)[Call (908) 444-6373](tel:+19084446373)