​Do contributions to my Roth 401k affect my DTI ratio?

[Natalie C.]

Hope everyone is having a great holiday!

Do contributions to my Roth 401k affect my DTI ratio (with regard to a conventional mortgage)?

I have a w-2 job. For example, let's say I were to contribute 100% of my salary to my Roth 401k during the first couple months of 2018 until contributions for that year are max'd out (after maxing out, my salary would be deposited into my normal checking account). If I were to apply to get pre-qualified for a loan during or shortly after this time, would my income appear as $0 because no money was deposited into my regular checking account, and instead was put into a Roth (the contents of which I am not accessing)? Or would they see my salary and that I am simply pushing more money than average into a retirement account?

(My husband also has a w-2 job, we both have excellent credit, and have a solid amount in savings, but if I am correct these things should not be relevant to the DTI).

I have found conflicting information on the internet. I'll also try calling around to different lenders after the new year.

Thank you!

[Stephanie Medellin]

@Natalie C. Your income would be based on gross pay / pre-tax income. So if you make $4000 per month salary, you will still get credit for $4000 per month in income for purposes of calculating your DTI, even if you contributed $4000 that month to your retirement plan.