Salaried vs self-employed: how eligibility is computed differently
Same loan, two entirely different underwriting paths.
4 min read
What you need to know
Salaried eligibility runs off net take-home and FOIR. Self-employed eligibility runs off ITR net profit with add-backs, averaged or weighted across two to three years, and tested against banking behaviour.
Continue your research
Use this guide alongside our product details and eligibility criteria before choosing a lender.
Detailed comparison
| Input | Salaried | Self-employed |
|---|---|---|
| Primary income proof | Salary slips and Form 16 | ITR with computation |
| Period assessed | Latest 3 months | Latest 2-3 years |
| Add-backs allowed | None | Depreciation, partner remuneration |
| Vintage required | 6-12 months in job | 24-36 months in business |
| Typical FOIR cap | 50-60% | 60-70% of assessed income |
Frequently asked questions
What is the main takeaway from “Salaried vs self-employed: how eligibility is computed differently”?
Same loan, two entirely different underwriting paths.
What should I check before acting on this comparison charts guide?
The guide includes a eligibility inputs compared comparison covering Input, Salaried, Self-employed.
Can the information in this guide guarantee loan approval?
No. It is general educational information. A bank or NBFC makes the final decision after checking your credit profile, repayment capacity, documents and the applicable product policy.
How can iFINTRUST help after I read this guide?
An iFINTRUST advisor can review your requirement, explain the documents normally requested and help you compare suitable lending options before you apply.