Dividend Yield Calculator
Calculate dividend yield, annual and monthly income, and project how dividends grow over time with this dividend yield calculator.
For informational purposes only. Not financial advice. Calculations are estimates and may not reflect your exact situation. Consult a qualified financial adviser for personalised guidance.
About Dividend Yield Calculator
This dividend yield calculator tells you the percentage return you earn from dividends alone, along with your monthly and annual income. It also projects how your dividend income grows over time if the payout increases each year.
Two Input Modes
Use "Per Share" mode when you know the annual dividend and share price for a single stock. Switch to "Total Investment" mode when you want a portfolio-level calculation using your total annual dividends and the total amount you have invested. Both give you the same yield percentage.
Dividend Growth Projections
Enter an expected annual growth rate and the calculator projects your future dividend income over 1, 2, 3, 5, 10, and 20 years. The cumulative column shows the total dividends you would have collected by that point. This helps you plan for income goals in retirement or financial independence. For a more detailed retirement plan with withdrawals, see the Retirement Calculator.
Putting It in Context
Dividend yield is just one measure of investment quality. A high yield means nothing if the company cuts its dividend. Look at the payout ratio, earnings growth, and dividend history alongside yield. To see how dividends fit into your overall portfolio, the Portfolio Allocation Calculator helps you balance dividend stocks with other assets. All calculations happen in your browser.
Frequently Asked Questions
How is dividend yield calculated?
Dividend yield equals the annual dividend divided by the share price, multiplied by 100. If a stock pays $4 per year and trades at $100, the yield is 4%. You can also calculate it from total dividends divided by total investment for a portfolio-level view.
What is a good dividend yield?
It varies by market and sector. S&P 500 stocks average around 1.5-2%. Utility and REIT stocks often yield 3-5%. Yields above 6-8% can signal higher risk, as the company may struggle to maintain the payout. Focus on sustainable dividends rather than chasing the highest yield.
What does dividend growth rate mean?
It is the annual percentage increase in a company's dividend payment. A stock paying $2 this year and $2.10 next year has a 5% growth rate. The projection table uses this rate to estimate future dividend income, assuming the growth continues at the same pace.
How does compounding work with dividends?
If you reinvest dividends by buying more shares, those new shares also earn dividends, creating a compounding effect. This calculator shows dividend income only. For reinvestment modeling, the Compound Interest Calculator can project total portfolio growth with reinvested returns.
Can I use this for ETF dividends?
Yes. Enter the ETF's annual distribution per share and its current price. ETF distributions work the same way as stock dividends for yield calculation purposes.