DividendTools

Free Dividend Income Calculators

A yield is a ratio, and ratios move for two different reasons

Income and yield calculated properly, growth and reinvestment projected forward, the cover behind a dividend measured against both earnings and cash flow, and the year laid out month by month.

Open the Dividend Income CalculatorBrowse all 4 tools

Dividend Income Calculator

Calculate annual and per-payment dividend income from a holding, with current yield, yield on cost and an after-tax figure.

Your numbers

Results update as you type. Nothing is sent anywhere.

Result

Annual income

$2,924

After-tax income
$2,485
Income per payment
$731
Monthly average
$244
Current yield
2.92%
Yield on cost
5.38%
Annual dividend per share
3.44
Position value
$100,300
Payments per year
4

This tool is for informational and educational purposes only. It is not financial or investment advice, and past performance does not guarantee future results.

Yield on cost uses the price you paid, so it rises as a company raises its dividend. Current yield uses today’s price and is the one to use when comparing investments.

Dividends are declared by the company and can be cut or suspended at any time. Withholding and tax treatment depend on your jurisdiction and account type.

Read the full guide, worked examples and FAQ for this calculator →

Popular tools

The calculators visitors to DividendTools open most often.

Dividend arithmetic is simple and the interpretation is where it goes wrong. Current yield and yield on cost get confused. A high yield gets read as generosity when it is often a falling price. Payout ratios get compared across sectors where they mean completely different things.

These four calculators keep those distinctions explicit. None of them assesses a company, suggests a holding, or supplies a benchmark - they compute the figures and say plainly what each one does and does not tell you.

Browse by category

Dividends

Dividend income, yield, growth and reinvestment.

Why use DividendTools

Two yields, clearly separated

Current yield compares investments. Yield on cost describes one position’s history. Only the first is useful for a decision.

Reinvestment compounded honestly

A growing dividend on a growing share count is the whole mechanism - along with how much the outcome moves when the growth assumption does.

Cover measured on cash, not just earnings

Dividends are paid in cash. Where cash flow cover and earnings cover disagree, the gap itself is the finding.

The calendar, not the annual total

Quarterly payers cluster. Anyone spending the income notices the empty months long before the yearly figure matters.

How it works

  1. Calculate income and both yields from your own holding and price figures.
  2. Check the payout ratio before treating a high yield as attractive.
  3. Project growth and reinvestment, then change one assumption to see how much it moves.
  4. Lay the year out by month if you actually draw on the income.

Frequently asked questions

Which yield should I compare investments on?

Current yield, which uses today’s price. Yield on cost divides by what you paid, so it cannot be compared between holdings or against anyone else.

Is a high dividend yield a good sign?

Not by itself. Yield rises when the dividend rises or when the price falls, and unusually high yields are frequently the second case. The payout ratio is the natural next check.

What payout ratio is sustainable?

This site suggests no threshold, because acceptable levels differ enormously by sector and structure. Some structures are legally required to distribute most of their income.

Are the growth projections forecasts?

No. They compound assumptions you enter. Dividends are declared by companies and can be cut or suspended at any time, and no projection here predicts that.

Is any of this investment advice?

No. These are calculators, for informational and educational purposes only. They assess no company and recommend no holding, and nothing you enter leaves your browser.