What is a Debt Service Coverage Ratio Calculator?
Compare available annual operating cash with annual debt service. Cash available is after operating costs and relevant cash taxes, before financing. Lender definitions vary.
Use the inputs that describe your actual situation. Change one assumption at a time, compare the results, and read the scope note alongside the number. The tool calculates a stated scenario; it does not decide whether an investment, policy or tax treatment is suitable for you.
Method and assumptions
Cash available is after operating costs and relevant cash taxes, before financing. Lender definitions vary.
Read the result with these boundaries
Cash available is after operating costs and relevant cash taxes, before financing. Lender definitions vary.
Check the inputs before acting
Confirm actual costs, dates, eligible amounts and product terms from your records. Compare a conservative case and an adverse case rather than relying on the default inputs. A result can change substantially when return, tax, contribution or cost assumptions change.
Frequently asked questions
What does this tool calculate?
Compare available annual operating cash with annual debt service. DSCR = cash available / (interest + principal)
What is outside its scope?
Cash available is after operating costs and relevant cash taxes, before financing. Lender definitions vary.
Are the default inputs a recommendation?
No. Defaults are worked scenarios. Use your own verified amounts and test more than one assumption.