Enter the contractual rent ($/month) and the annual income ($) into the Calculator. The calculator will evaluate the Rent Shortfall.

## Rent Shortfall Formula

RS = CR - (AI/12/2.5)

Variables:

• RS is the Rent Shortfall ($/month) • CR is the contractual rent ($/month)
• AI is the annual income ($) To calculate Rent Shortfall, divide the annual income by 12, divide this result by 2.5, then subtract that result from the contractual rent per month. ## How to Calculate Rent Shortfall? The following steps outline how to calculate the Rent Shortfall. 1. First, determine the contractual rent ($/month).
2. Next, determine the annual income ($). 3. Next, gather the formula from above = RS = CR – (AI/12/2.5). 4. Finally, calculate the Rent Shortfall. 5. After inserting the variables and calculating the result, check your answer with the calculator above. Example Problem : Use the following variables as an example problem to test your knowledge. contractual rent ($/month) = 1000

annual income (\$) = 25000