VA Loan Gross-Up Calculator
VA Disability Income Gross-Up Calculator
Lenders can count your tax-free VA disability pay as 25% more income for mortgage qualification. See your actual buying power.
💡 Why lenders gross up VA disability income
VA disability compensation is completely tax-free. Because you keep every dollar — unlike a taxable paycheck — lenders are allowed to count it as more income when calculating your debt-to-income (DTI) ratio.
Most VA lenders apply a 25% gross-up factor. That means $2,000/month in disability pay counts as $2,500 in qualifying income. This single adjustment can be the difference between approval and denial.
Important: gross-up improves your DTI on paper — it does not change the money that hits your bank account. Build your budget on your actual deposit amount, not the grossed-up figure.
Gross-up factor: 1.25x (standard across most VA lenders) Source: VA Lender Handbook, Chapter 4Common Questions
VA benefits, explained plainly
Grossing up means a lender increases your counted income for DTI calculations because your VA disability pay is tax-free. Most VA lenders apply a 25% factor — so $2,000/month in disability pay counts as $2,500 in qualifying income. This can significantly improve your DTI ratio and buying power.
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