Dividend calculator

The amount that will be invested initially

The amount that will be additionally invested, per year

The frequency that contributions are made

The annual yield of your dividend portfolio

The rate at which the dividends will be taxed

How frequently dividends are paid

Whether the received dividends will be reinvested

The average yearly increase in price of your dividend portfolio

The duration of the investment in years

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After 30 years, your investment will be worth
172,31086

Total Return %

274.59%

Average Annual 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

YearBalanceAnnual DividendsDividends TaxGrowthNew BalanceReturnReturn %
110,000004429566443000011,87651676516.77%
211,876515203978063563013,87513798636.72%
313,875136028790434162516,00383928706.69%
416,0038369072103614801118,271061,067236.67%
518,2710678429117645481320,685841,214786.65%
620,6858488395132596205823,257771,371936.63%
723,2577799009148516977325,997081,539316.62%
825,997081,10314165477799128,914651,717586.61%
928,914651,22354183538674432,022111,907456.60%
1032,022111,35179202779606635,331792,109686.59%
1135,331791,48837223261,0599538,856862,325076.58%
1238,856861,63385245081,1657142,611342,554486.57%
1342,611341,78880268321,2783446,610152,798826.57%
1446,610151,95382293071,3983050,869213,059066.56%
1550,869212,12959319441,5260855,405443,336236.56%
1655,405442,31680347521,6621660,236883,631446.55%
1760,236882,51619377431,8071165,382753,945876.55%
1865,382752,72856409281,9614870,863514,280766.55%
1970,863512,95474443212,1259176,700944,637446.54%
2076,700943,19565479352,3010382,918275,017336.54%
2182,918273,45224517842,4875589,540225,421956.54%
2289,540223,72552558832,6862196,593125,852906.54%
2396,593124,01659602492,89779104,105016,311896.53%
24104,105014,32660648993,12315112,105776,800766.53%
25112,105774,65678698523,36317120,627217,321446.53%
26120,627215,00846751273,61882129,703217,876006.53%
27129,703215,38302807453,89110139,369878,466666.53%
28139,369875,78195867294,18110149,665639,095766.53%
29149,665636,20685931034,48997160,631429,765796.53%
30160,631426,65940998914,81894172,3108610,479436.52%

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.