Established Member
Posts: 29
Registered: ‎06-11-2014

Need help with Overtime earnings

Hello all I am getting ready to apply for a mortgage of no more than $175,000 to purchase a condo. My issue is overtime vs my income, I make $50,000 a year base pay and around $53000 with o/t. I have been at my job for 5 years and have always had some overtime where I could pick up the extra shifts, but this past Jan I now have buit in Overtime of at least $400 per month and sometimes more. My boss Says he is willing to fill out the verifivcation stating my o/t and employment will continue. This year Im on pace to make $60000 with o/t and my raise I get next month. Will they count my overtime when calculating how much of a loan I could take? without the o/t it brings my yearly income to about 53000

Frequent Contributor
Posts: 266
Registered: ‎12-26-2013

Re: Need help with Overtime earnings

They will average 2 years of OT to my understanding
Super Contributor
Posts: 8,258
Registered: ‎09-28-2007

Re: Need help with Overtime earnings

Correct, OT is calculated on a 2-year average.  So the more OT you are making now will help raise that average, but you won't immediately get to use $400/mo of OT.


$53k/year of income usually should qualify for a $175k condo though.  How much are you putting down?  What are your credit scores?  What are your other debt payments (car loan, student loan, credit cards, etc.)?

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