diff --git a/.gitignore b/.gitignore
index 1cc062d..f9fe084 100644
--- a/.gitignore
+++ b/.gitignore
@@ -20,6 +20,7 @@ compile
 .libs
 .dirstamp
 m4
+src/libdtmf/libdtmf.a
 src/libgermanton/libgermanton.a
 src/libtimer/libtimer.a
 src/libsamplerate/libsamplerate.a
diff --git a/configure.ac b/configure.ac
index 4f44bf8..006acc0 100644
--- a/configure.ac
+++ b/configure.ac
@@ -75,6 +75,7 @@ AS_IF([test "x$with_soapy" == "xyes"],[AC_MSG_NOTICE( Compiling with SoapySDR su
 AS_IF([test "x$somethingmagick" == "xyes"],[AC_MSG_NOTICE( Compiling with ImageMagick )],[AC_MSG_NOTICE( ImageMagick not supported )])
 
 AC_OUTPUT(
+    src/libdtmf/Makefile
     src/libgermanton/Makefile
     src/libtimer/Makefile
     src/libsamplerate/Makefile
diff --git a/src/Makefile.am b/src/Makefile.am
index c2b8808..187ab9d 100644
--- a/src/Makefile.am
+++ b/src/Makefile.am
@@ -1,3 +1,3 @@
 AUTOMAKE_OPTIONS = foreign
-SUBDIRS = libgermanton libtimer libsamplerate libscrambler libfilter common anetz bnetz cnetz nmt amps tacs jtacs r2000 tv test
+SUBDIRS = libdtmf libgermanton libtimer libsamplerate libscrambler libfilter common anetz bnetz cnetz nmt amps tacs jtacs r2000 tv test
 
diff --git a/src/common/Makefile.am b/src/common/Makefile.am
index fa686ef..35b1e5f 100644
--- a/src/common/Makefile.am
+++ b/src/common/Makefile.am
@@ -9,7 +9,6 @@ libcommon_a_SOURCES = \
 	wave.c \
 	goertzel.c \
 	jitter.c \
-	dtmf.c \
 	emphasis.c \
 	compandor.c \
 	fft.c \
diff --git a/src/libdtmf/Makefile.am b/src/libdtmf/Makefile.am
new file mode 100644
index 0000000..a44d4f6
--- /dev/null
+++ b/src/libdtmf/Makefile.am
@@ -0,0 +1,6 @@
+AM_CPPFLAGS = -Wall -Wextra -g $(all_includes)
+
+noinst_LIBRARIES = libdtmf.a
+
+libdtmf_a_SOURCES = \
+	dtmf_encode.c
diff --git a/src/common/dtmf.c b/src/libdtmf/dtmf_encode.c
similarity index 86%
rename from src/common/dtmf.c
rename to src/libdtmf/dtmf_encode.c
index f3d3283..6413954 100644
--- a/src/common/dtmf.c
+++ b/src/libdtmf/dtmf_encode.c
@@ -20,19 +20,19 @@
 #include <stdint.h>
 #include <string.h>
 #include <math.h>
-#include "sample.h"
-#include "dtmf.h"
+#include "../common/sample.h"
+#include "dtmf_encode.h"
 
 #define PI		M_PI
 
-static double tx_peak_dtmf_low = 0.2818 / SPEECH_LEVEL;	/* -11 dBm, relative to speech level */ 
-static double tx_peak_dtmf_high	= 0.3548 / SPEECH_LEVEL;/* -9 dBm, relative to speech level */ 
+#define PEAK_DTMF_LOW	0.2818	/* -11 dBm, relative to 0 dBm level */ 
+#define PEAK_DTMF_HIGH	0.3548	/* -9 dBm, relative to 0 dBm level */ 
 #define DTMF_DURATION	0.100	/* duration in seconds */
 
 static sample_t dsp_sine_dtmf_low[65536];
 static sample_t dsp_sine_dtmf_high[65536];
 
-void dtmf_init(dtmf_t *dtmf, int samplerate)
+void dtmf_encode_init(dtmf_enc_t *dtmf, int samplerate, double dBm_level)
 {
 	int i;
 
@@ -42,13 +42,13 @@ void dtmf_init(dtmf_t *dtmf, int samplerate)
 
 	// FIXME: do this globally and not per instance */
 	for (i = 0; i < 65536; i++) {
-		dsp_sine_dtmf_low[i] = sin((double)i / 65536.0 * 2.0 * PI) * tx_peak_dtmf_low;
-		dsp_sine_dtmf_high[i] = sin((double)i / 65536.0 * 2.0 * PI) * tx_peak_dtmf_high;
+		dsp_sine_dtmf_low[i] = sin((double)i / 65536.0 * 2.0 * PI) * PEAK_DTMF_LOW * dBm_level;
+		dsp_sine_dtmf_high[i] = sin((double)i / 65536.0 * 2.0 * PI) * PEAK_DTMF_HIGH * dBm_level;
 	}
 }
 
 /* set dtmf tone */
-void dtmf_set_tone(dtmf_t *dtmf, char tone)
+void dtmf_encode_set_tone(dtmf_enc_t *dtmf, char tone)
 {
 	double f1, f2;
 
@@ -80,7 +80,7 @@ void dtmf_set_tone(dtmf_t *dtmf, char tone)
 }
 
 /* Generate audio stream from DTMF tone. Keep phase for next call of function. */
-void dtmf_tone(dtmf_t *dtmf, sample_t *samples, int length)
+void dtmf_encode(dtmf_enc_t *dtmf, sample_t *samples, int length)
 {
         double *phaseshift, *phase;
 	int i, pos, max;
diff --git a/src/common/dtmf.h b/src/libdtmf/dtmf_encode.h
similarity index 56%
rename from src/common/dtmf.h
rename to src/libdtmf/dtmf_encode.h
index d6a5322..15ac05e 100644
--- a/src/common/dtmf.h
+++ b/src/libdtmf/dtmf_encode.h
@@ -1,14 +1,14 @@
 
-typedef struct dtmf {
+typedef struct dtmf_enc {
 	int	samplerate;		/* samplerate */
 	char	tone;			/* current tone to be played */
 	int	pos;			/* sample counter for tone */
 	int	max;			/* max number of samples for tone duration */
 	double	phaseshift65536[2];	/* how much the phase of sine wave changes per sample */
 	double	phase65536[2];		/* current phase */
-} dtmf_t;
+} dtmf_enc_t;
 
-void dtmf_init(dtmf_t *dtmf, int samplerate);
-void dtmf_set_tone(dtmf_t *dtmf, char tone);
-void dtmf_tone(dtmf_t *dtmf, sample_t *samples, int length);
+void dtmf_encode_init(dtmf_enc_t *dtmf, int samplerate, double dBm_level);
+void dtmf_encode_set_tone(dtmf_enc_t *dtmf, char tone);
+void dtmf_encode(dtmf_enc_t *dtmf, sample_t *samples, int length);
 
diff --git a/src/nmt/Makefile.am b/src/nmt/Makefile.am
index e3dd06b..ddaabd9 100644
--- a/src/nmt/Makefile.am
+++ b/src/nmt/Makefile.am
@@ -22,6 +22,7 @@ nmt_SOURCES = \
 nmt_LDADD = \
 	$(COMMON_LA) \
 	libdmssms.a \
+	$(top_builddir)/src/libdtmf/libdtmf.a \
 	$(top_builddir)/src/common/libmobile.a \
 	$(top_builddir)/src/common/libcommon.a \
 	$(top_builddir)/src/libtimer/libtimer.a \
diff --git a/src/nmt/dsp.c b/src/nmt/dsp.c
index 84a33a6..8f58352 100644
--- a/src/nmt/dsp.c
+++ b/src/nmt/dsp.c
@@ -148,8 +148,8 @@ int dsp_init_sender(nmt_t *nmt, double deviation_factor)
 	nmt->dial_phaseshift65536 = 65536.0 / ((double)nmt->sender.samplerate / DIALTONE_HZ);
 	PDEBUG(DDSP, DEBUG_DEBUG, "dial_phaseshift = %.4f\n", nmt->dial_phaseshift65536);
 
-	/* dtmf */
-	dtmf_init(&nmt->dtmf, 8000);
+	/* dtmf, generate tone relative to speech level */
+	dtmf_encode_init(&nmt->dtmf, 8000, 1.0 / SPEECH_LEVEL);
 
 	nmt->dmp_frame_level = display_measurements_add(&nmt->sender, "Frame Level", "%.1f %% (last)", DISPLAY_MEAS_LAST, DISPLAY_MEAS_LEFT, 0.0, 150.0, 100.0);
 	nmt->dmp_frame_quality = display_measurements_add(&nmt->sender, "Frame Quality", "%.1f %% (last)", DISPLAY_MEAS_LAST, DISPLAY_MEAS_LEFT, 0.0, 100.0, 100.0);
@@ -342,7 +342,7 @@ void sender_receive(sender_t *sender, sample_t *samples, int length, double __at
 		if (nmt->compandor)
 			expand_audio(&nmt->cstate, samples, count);
 		if (nmt->dsp_mode == DSP_MODE_DTMF)
-			dtmf_tone(&nmt->dtmf, samples, count);
+			dtmf_encode(&nmt->dtmf, samples, count);
 		spl = nmt->sender.rxbuf;
 		pos = nmt->sender.rxbuf_pos;
 		for (i = 0; i < count; i++) {
diff --git a/src/nmt/nmt.c b/src/nmt/nmt.c
index 4fdc195..0287292 100644
--- a/src/nmt/nmt.c
+++ b/src/nmt/nmt.c
@@ -1454,7 +1454,7 @@ static void rx_active(nmt_t *nmt, frame_t *frame)
 			break;
 		}
 		digit = nmt_value2digit(frame->digit);
-		dtmf_set_tone(&nmt->dtmf, digit);
+		dtmf_encode_set_tone(&nmt->dtmf, digit);
 		PDEBUG_CHAN(DNMT, DEBUG_INFO, "Received (odd)  digit %c.\n", digit);
 		nmt->mft_num++;
 		break;
@@ -1477,7 +1477,7 @@ static void rx_active(nmt_t *nmt, frame_t *frame)
 			break;
 		}
 		digit = nmt_value2digit(frame->digit);
-		dtmf_set_tone(&nmt->dtmf, digit);
+		dtmf_encode_set_tone(&nmt->dtmf, digit);
 		PDEBUG_CHAN(DNMT, DEBUG_INFO, "Received (even) digit %c.\n", digit);
 		nmt->mft_num++;
 		break;
diff --git a/src/nmt/nmt.h b/src/nmt/nmt.h
index c1c83da..aaa61f6 100644
--- a/src/nmt/nmt.h
+++ b/src/nmt/nmt.h
@@ -1,7 +1,7 @@
 #include "../common/sender.h"
 #include "../libtimer/timer.h"
 #include "../common/compandor.h"
-#include "../common/dtmf.h"
+#include "../libdtmf/dtmf_encode.h"
 #include "../common/call.h"
 #include "../common/fsk.h"
 #include "../common/goertzel.h"
@@ -77,7 +77,7 @@ typedef struct nmt {
 	sender_t		sender;
 	nmt_sysinfo_t		sysinfo;
 	compandor_t		cstate;
-	dtmf_t			dtmf;
+	dtmf_enc_t		dtmf;
 	struct transaction	*trans;			/* pointer to transaction, if bound to channel */
 
 	/* sender's states */