😟 This is How Much Debt U.S. Households Are Carrying Relative to Their Income

Key Takeaways

• Hawaii and Idaho have the highest debt-to-income (DTI) ratio of the states at 2.06, which means households carry about $2 in debt for every $1 in annual income. 
• A state’s DTI ratio is the aggregate household debt divided by aggregate household income.
• Debt includes mortgages, autos, credit cards, etc., and excludes student loans.
• Income is based on unemployment insurance-covered wages, as reported to the Bureau of Labor Statistics.
• High Ratio States (~1.7–2.1) are often places with expensive housing or fast population growth (bigger mortgages, newer borrowers) like Hawaii and Arizona.
• Low Ratio States are usually states with older or paid-down mortgages, lower home prices, or higher incomes relative to debt.

⚠️ Data Caveats

• Student loans are excluded, so younger households’ true burden may be understated.
• Income measure is UI-covered wages (not total personal income), which can overstate the burden in states with high-capital-income areas (like finance-heavy metros).