diff --git a/contractcourt/commit_sweep_resolver.go b/contractcourt/commit_sweep_resolver.go
index 195d423c9..507e8bb76 100644
--- a/contractcourt/commit_sweep_resolver.go
+++ b/contractcourt/commit_sweep_resolver.go
@@ -13,17 +13,12 @@ import (
 	"github.com/btcsuite/btcd/wire"
 	"github.com/lightningnetwork/lnd/chainntnfs"
 	"github.com/lightningnetwork/lnd/channeldb"
+	"github.com/lightningnetwork/lnd/fn"
 	"github.com/lightningnetwork/lnd/input"
 	"github.com/lightningnetwork/lnd/lnwallet"
 	"github.com/lightningnetwork/lnd/sweep"
 )
 
-const (
-	// commitOutputConfTarget is the default confirmation target we'll use
-	// for sweeps of commit outputs that belong to us.
-	commitOutputConfTarget = 6
-)
-
 // commitSweepResolver is a resolver that will attempt to sweep the commitment
 // output paying to us, in the case that the remote party broadcasts their
 // version of the commitment transaction. We can sweep this output immediately,
@@ -347,12 +342,23 @@ func (c *commitSweepResolver) Resolve() (ContractResolver, error) {
 	// TODO(roasbeef): instead of ading ctrl block to the sign desc, make
 	// new input type, have sweeper set it?
 
-	// With our input constructed, we'll now offer it to the
-	// sweeper.
-	c.log.Infof("sweeping commit output")
+	// Calculate the budget for the sweeping this input.
+	budget := calculateBudget(
+		btcutil.Amount(inp.SignDesc().Output.Value),
+		c.Budget.ToLocalRatio, c.Budget.ToLocal,
+	)
+	c.log.Infof("Sweeping commit output using budget=%v", budget)
 
-	feePref := sweep.FeeEstimateInfo{ConfTarget: commitOutputConfTarget}
-	resultChan, err := c.Sweeper.SweepInput(inp, sweep.Params{Fee: feePref})
+	// With our input constructed, we'll now offer it to the sweeper.
+	resultChan, err := c.Sweeper.SweepInput(
+		inp, sweep.Params{
+			Budget: budget,
+
+			// Specify a nil deadline here as there's no time
+			// pressure.
+			DeadlineHeight: fn.None[int32](),
+		},
+	)
 	if err != nil {
 		c.log.Errorf("unable to sweep input: %v", err)
 
diff --git a/contractcourt/commit_sweep_resolver_test.go b/contractcourt/commit_sweep_resolver_test.go
index 5cff3a6d5..6730cddc8 100644
--- a/contractcourt/commit_sweep_resolver_test.go
+++ b/contractcourt/commit_sweep_resolver_test.go
@@ -129,15 +129,18 @@ func (s *mockSweeper) SweepInput(input input.Input, params sweep.Params) (
 
 	s.sweptInputs <- input
 
-	// TODO(yy): use `mock.Mock` to avoid the conversion.
-	fee, ok := params.Fee.(sweep.FeeEstimateInfo)
-	if !ok {
-		return nil, fmt.Errorf("unexpected fee type: %T", params.Fee)
-	}
+	// TODO(yy): replace mockSweeper with `mock.Mock`.
+	if params.Fee != nil {
+		fee, ok := params.Fee.(sweep.FeeEstimateInfo)
+		if !ok {
+			return nil, fmt.Errorf("unexpected fee type: %T",
+				params.Fee)
+		}
 
-	// Update the deadlines used if it's set.
-	if fee.ConfTarget != 0 {
-		s.deadlines = append(s.deadlines, int(fee.ConfTarget))
+		// Update the deadlines used if it's set.
+		if fee.ConfTarget != 0 {
+			s.deadlines = append(s.deadlines, int(fee.ConfTarget))
+		}
 	}
 
 	result := make(chan sweep.Result, 1)
diff --git a/contractcourt/config.go b/contractcourt/config.go
index 7f4563fe1..b5466c6e2 100644
--- a/contractcourt/config.go
+++ b/contractcourt/config.go
@@ -111,3 +111,27 @@ func DefaultBudgetConfig() *BudgetConfig {
 		NoDeadlineHTLCRatio: DefaultBudgetRatio,
 	}
 }
+
+// calculateBudget takes an output value, a configured ratio and budget value,
+// and returns the budget to use for sweeping the output. If the budget value
+// is set, it will be used as cap.
+func calculateBudget(value btcutil.Amount, ratio float64,
+	max btcutil.Amount) btcutil.Amount {
+
+	// If ratio is not set, using the default value.
+	if ratio == 0 {
+		ratio = DefaultBudgetRatio
+	}
+
+	budget := value.MulF64(ratio)
+
+	log.Tracef("Calculated budget=%v using value=%v, ratio=%v, cap=%v",
+		budget, value, ratio, max)
+
+	if max != 0 && budget > max {
+		log.Debugf("Calculated budget=%v is capped at %v", budget, max)
+		return max
+	}
+
+	return budget
+}
diff --git a/contractcourt/config_test.go b/contractcourt/config_test.go
index c22e32df2..e7bc22a7a 100644
--- a/contractcourt/config_test.go
+++ b/contractcourt/config_test.go
@@ -3,6 +3,7 @@ package contractcourt
 import (
 	"testing"
 
+	"github.com/btcsuite/btcd/btcutil"
 	"github.com/stretchr/testify/require"
 )
 
@@ -81,3 +82,51 @@ func TestBudgetConfigValidate(t *testing.T) {
 		})
 	}
 }
+
+// TestCalculateBudget checks that the budget calculation works as expected.
+func TestCalculateBudget(t *testing.T) {
+	t.Parallel()
+
+	testCases := []struct {
+		name     string
+		value    btcutil.Amount
+		ratio    float64
+		max      btcutil.Amount
+		expected btcutil.Amount
+	}{
+		{
+			// When the ratio is not specified, the default 0.5
+			// should be used.
+			name:     "use default ratio",
+			value:    btcutil.Amount(1000),
+			ratio:    0,
+			max:      0,
+			expected: btcutil.Amount(500),
+		},
+		{
+			// When the ratio is specified, the default is not
+			// used.
+			name:     "use specified ratio",
+			value:    btcutil.Amount(1000),
+			ratio:    0.1,
+			max:      0,
+			expected: btcutil.Amount(100),
+		},
+		{
+			// When the max is specified, the budget should be
+			// capped at that value.
+			name:     "budget capped at max",
+			value:    btcutil.Amount(1000),
+			ratio:    0.1,
+			max:      btcutil.Amount(1),
+			expected: btcutil.Amount(1),
+		},
+	}
+
+	for _, tc := range testCases {
+		t.Run(tc.name, func(t *testing.T) {
+			budget := calculateBudget(tc.value, tc.ratio, tc.max)
+			require.Equal(t, tc.expected, budget)
+		})
+	}
+}