How to Use the VA Residual Income Calculator

Complete these sections before running the calculator:

Overview > Terms and Mortgage

Set Loan Type to VA
Select a Program
Enter the Note Rate
In Subject Property, enter at least the city, state, and ZIP code to set the VA region amount. If the full address isn’t known, use TBD for the street.
Enter monthly Proposed Housing Expenses (PITIA)

Borrowers

Financials > Liabilities

Go to Loan Additional > Government Data and click the edit icon.

Enter monthly Utilities using the VA standard of 0.14 multiplied by the property’s square footage, unless otherwise specified. Always verify the current calculation method in the latest VA Lender’s Handbook.
Select Married: Yes or No.
Enter the borrower’s monthly tax deductions: Federal income tax withheld, state income tax withheld , Social Security tax withheld.
If spouse’s income is used, enter monthly tax deductions for the spouse.
Add any other monthly expenses for the borrower and/or spouse if applicable.

Click the calculator icon next to Residual Income or Guideline Amount.
Review the breakdown: Income, Deductions, Expenses, calculated Residual income, and guideline amount.
Click Set Residual Income & Guideline Amount to auto-fill values into the loan file.
Click Save when finished.
This will take you back to the Government Data page where you’ll be able to review the calculated residual income, the guideline amount, all deductions, and the other expenses you entered.

Always enter monthly amounts
- Divide annual W-2 totals by 12
- Convert YTD paystub amounts by elapsed months
If the calculated amount looks incorrect
- Recheck dependents, property location, and program selection

Questions? Contact us at support@spherelos.com — we’re here to help.

Follow these steps to complete the VA residual income calculation.