Dividend calculator

After 30 years, your investment will be worth

172,31086

Total Return %

274.59%

Average Yearly Return %

6.58%

Breakdown

Principal

10,00000

Contributions

36,00000

Dividends

80,51751

Growth

57,87098

Cumulative return chart

Average monthly income

Breakdown per Year

Year	Balance	Annual Dividends	Dividend Tax	Growth	New Balance	Return	Return %
1	10,00000	44295	6644	30000	11,87651	67651	6.77%
2	11,87651	52039	7806	35630	13,87513	79863	6.72%
3	13,87513	60287	9043	41625	16,00383	92870	6.69%
4	16,00383	69072	10361	48011	18,27106	1,06723	6.67%
5	18,27106	78429	11764	54813	20,68584	1,21478	6.65%
6	20,68584	88395	13259	62058	23,25777	1,37193	6.63%
7	23,25777	99009	14851	69773	25,99708	1,53931	6.62%
8	25,99708	1,10314	16547	77991	28,91465	1,71758	6.61%
9	28,91465	1,22354	18353	86744	32,02211	1,90745	6.60%
10	32,02211	1,35179	20277	96066	35,33179	2,10968	6.59%
11	35,33179	1,48837	22326	1,05995	38,85686	2,32507	6.58%
12	38,85686	1,63385	24508	1,16571	42,61134	2,55448	6.57%
13	42,61134	1,78880	26832	1,27834	46,61015	2,79882	6.57%
14	46,61015	1,95382	29307	1,39830	50,86921	3,05906	6.56%
15	50,86921	2,12959	31944	1,52608	55,40544	3,33623	6.56%
16	55,40544	2,31680	34752	1,66216	60,23688	3,63144	6.55%
17	60,23688	2,51619	37743	1,80711	65,38275	3,94587	6.55%
18	65,38275	2,72856	40928	1,96148	70,86351	4,28076	6.55%
19	70,86351	2,95474	44321	2,12591	76,70094	4,63744	6.54%
20	76,70094	3,19565	47935	2,30103	82,91827	5,01733	6.54%
21	82,91827	3,45224	51784	2,48755	89,54022	5,42195	6.54%
22	89,54022	3,72552	55883	2,68621	96,59312	5,85290	6.54%
23	96,59312	4,01659	60249	2,89779	104,10501	6,31189	6.53%
24	104,10501	4,32660	64899	3,12315	112,10577	6,80076	6.53%
25	112,10577	4,65678	69852	3,36317	120,62721	7,32144	6.53%
26	120,62721	5,00846	75127	3,61882	129,70321	7,87600	6.53%
27	129,70321	5,38302	80745	3,89110	139,36987	8,46666	6.53%
28	139,36987	5,78195	86729	4,18110	149,66563	9,09576	6.53%
29	149,66563	6,20685	93103	4,48997	160,63142	9,76579	6.53%
30	160,63142	6,65940	99891	4,81894	172,31086	10,47943	6.52%

Frequently asked questions

What Are Dividends?

Dividends are a portion of a company's profits that is distributed to its shareholders as a return on their investment. They are usually paid in the form of cash or additional shares.

How Are Dividends Paid?

Dividends are typically paid in the form of cash directly to shareholders' brokerage accounts or by check. Some companies offer dividend reinvestment programs (DRIPs) that allow shareholders to reinvest dividends to purchase additional shares.

Why Do Companies Pay Dividends?

Companies pay dividends to distribute profits to shareholders, demonstrate financial stability, attract investors, and maintain or increase the company's stock price.

What Is a Dividend Yield?

Dividend yield is a financial ratio that represents the annual dividend income an investor receives from a stock, expressed as a percentage of the stock's current market price.

Are Dividends Guaranteed?

Dividends are not guaranteed. Companies can choose to modify or suspend dividend payments based on their financial performance, cash flow, and strategic decisions.

What Is a Dividend Reinvestment Plan (DRIP)?

A DRIP is a program that allows shareholders to automatically reinvest their cash dividends to purchase additional shares of the same company's stock.

How Are Dividends Taxed?

Taxation of dividends varies by country and can depend on factors such as the type of dividend (qualified vs. non-qualified) and the individual's tax bracket. In many countries, qualified dividends are taxed at a lower rate than regular income.

What Are Ex-Dividend Dates and Record Dates?

The ex-dividend date is the first day a stock trades without the dividend. The record date is the date on which the company determines who its shareholders of record are and who will receive the dividend.

What Is a Dividend Declaration Date?

The dividend declaration date is the date on which a company's board of directors declares a dividend and announces it to the public.

How Can I Find Dividend-Paying Stocks?

Investors can find dividend-paying stocks by using financial websites, stock screeners, or brokerage platforms that provide information about dividend yields, payout ratios, and dividend histories.

Should I Prioritize High Dividend Yields?

The decision to prioritize high dividend yields depends on an investor's risk tolerance, financial goals, and investment strategy. High dividend yields may be appealing, but it's important to consider the company's financial health and sustainability of the dividend.

What Is the Difference Between Dividends and Share Buybacks?

Dividends involve distributing a portion of a company's earnings to shareholders, while share buybacks involve a company purchasing its own shares from the market.

Do All Stocks Pay Dividends?

No, not all stocks pay dividends. Some companies reinvest their profits back into the business for growth and expansion, choosing not to distribute dividends.

Can Dividends Be Reinvested Automatically?

Yes, dividends can be reinvested automatically through dividend reinvestment programs (DRIPs) offered by companies or brokerage firms.

What Factors Affect Dividend Payments?

Factors affecting dividend payments include the company's earnings, cash flow, financial health, industry conditions, management decisions, and overall business strategy.