Enter the monthly net income ($) into the Calculator. The calculator will evaluate the Repayment Capacity.

## Repayment Capacity Formula

RC = NI * .50

Variables:

- RC is the Repayment Capacity ($)
- NI is the monthly net income ($)

To calculate Repayment Capacity, simply multiply the monthly net income after taxes by 50%.

## How to Calculate Repayment Capacity?

The following steps outline how to calculate the Repayment Capacity.

- First, determine the monthly net income ($).
- Next, gather the formula from above = RC = NI * .50.
- Finally, calculate the Repayment Capacity.
- 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.

monthly net income ($) = 5000