This technology is an algorithm designed to enhance power allocation in multichannel, orthogonal frequency division multiplexed (OFDM) telecommunications systems that use discrete multitone (DMT) protocol, among others. DMT includes all asymmetrical digital subscriber line (ADSL) systems and residential DSL systems. The algorithm serves to improve the achievable data rate or the signal-to-noise ratio (SNR), reducing errors in the transmission, and can be used for any OFDM system where the SNR varies across channels.