Dividend Calculator
Estimate the dividend income from an investment each month, quarter and year, and how it could grow if you reinvest.
Dividends per month
$125.00
- Per quarter
- $375.00
- Per year
- $1,500.00
- Value after the projection
- $107,946
- Dividends received in total
- $21,730
- Dividends in the final year
- $2,999
At this yield you would receive about $1,500.00 a year in dividends, before tax. The projection runs 10 years.
Calculation breakdown
| Step | Formula | Result |
|---|---|---|
| Dividends per year | $50,000.00 × 3% | $1,500.00 |
| Dividends per month | $1,500.00 ÷ 12 | $125.00 |
How it works
Enter the amount invested and the dividend yield. Open the advanced options to project the growth.
Worked example
$50,000 with a 3% dividend yield:
- Per year: 50,000 × 3% = $1,500
- Per quarter: 1,500 ÷ 4 = $375
- Per month: 1,500 ÷ 12 = $125
Sources
Frequently asked questions
How do you calculate dividend income?
Multiply your investment by the dividend yield. A $50,000 holding with a 3% yield pays $1,500 a year, which is $375 a quarter or $125 a month. Many companies pay quarterly, so the monthly figure is an average.
What is a dividend?
A dividend is a portion of a company's profit paid to its shareholders. Companies that pay dividends usually do so on a fixed schedule, and unscheduled ones are called special dividends.
What happens if I reinvest dividends?
The dividends buy more shares, so next year's dividends are larger. With reinvestment and 5% price growth, a 3% yield makes the holding grow by about 8% a year in this simple model.
Do dividends stay the same?
No. Companies can raise, cut or stop dividends, and the yield changes as the share price moves. This calculator assumes a steady yield.
Are dividends taxed?
Yes. Dividends are generally taxable income in the year you receive them, even if you reinvest them. The figures here are before tax.
For information only, not investment advice. Dividends are not guaranteed, and the projection assumes steady growth and a steady yield.