Dividend Calculator
Project dividend income with DRIP reinvestment, contribution schedules, and inflation-adjusted returns.
Parameters
Annual income: $875.00
Results
Annual dividend income over time
Dividend investing concepts
DRIP — Dividend Reinvestment
Instead of receiving cash, dividends automatically purchase more shares. Over decades this compounding dramatically increases both share count and dividend income.
Dividend yield
Annual dividends divided by share price. A $50 stock paying $1.00/quarter has a 8% yield. High yield isn't always better — sustainable payout ratios matter more.
Payment frequency
Most US stocks pay quarterly. Some REITs and ETFs pay monthly. Bonds typically pay semi-annually. More frequent payments give you cash sooner to reinvest.
Dividend growth
Companies that consistently grow dividends (Dividend Aristocrats — 25+ consecutive years of increases) are often more reliable than high-yield stocks with stagnant or cut dividends.
Payout ratio
Dividends paid / earnings per share. A ratio under 60% is generally sustainable. Above 90% may signal a dividend cut risk. REITs and MLPs operate differently.
Ex-dividend date
You must own shares before the ex-dividend date to receive the next payment. Buying on or after the ex-date means waiting until the following payment cycle.
Projections assume constant growth rates. Dividends are not guaranteed and can be cut. Not financial advice. Past dividend history does not guarantee future payments.