Dividend calculator
Yearly and per-payment dividend income, with a reinvestment (DRIP) and dividend growth projection.
- ๐บ๐ธ US federal & state rules
- See sources
Yearly dividend income
$600.00
$3.00 per share a year, paid quarterly
- Each payment (quarterly)
- $150.00
- Per month on average
- $50.00
- Dividend yield
- 4%
- Total over 10 years
- $9,381.75
- Shares after 10 years
- 300.04
This is an example. Enter your numbers above and press the button to see your own result.
With dividends reinvested
| Year 1 | $608.91 income, 207.92 shares, worth $16,217.90 |
|---|---|
| Year 2 | $664.78 income, 216.24 shares, worth $17,541.20 |
| Year 3 | $726.04 income, 224.97 shares, worth $18,979.59 |
| Year 4 | $793.24 income, 234.14 shares, worth $20,543.72 |
| Year 5 | $866.99 income, 243.79 shares, worth $22,245.25 |
| Year 6 | $947.97 income, 253.92 shares, worth $24,097.01 |
| Year 7 | $1,036.91 income, 264.58 shares, worth $26,113.10 |
| Year 8 | $1,134.64 income, 275.8 shares, worth $28,308.99 |
| Year 9 | $1,242.07 income, 287.61 shares, worth $30,701.73 |
| Year 10 | $1,360.21 income, 300.04 shares, worth $33,310.07 |
- Before taxes. Qualified dividends get the lower capital gains rates, while ordinary dividends are taxed as regular income. Dividends in an IRA or 401(k) are not taxed until you withdraw.
- Reinvestment buys fractional shares at the projected price on each payment date.
Show the math
| Yearly income | 200 shares ร $3.00 = $600.00 |
|---|---|
| Year 10 income | $1,360.21 |
What to do next
How it works
Yearly income is shares times the yearly dividend per share. If you enter the amount per payment instead, it is multiplied by the number of payments a year.
The projection steps through every payment. With reinvestment on, each payment buys fractional shares at the projected share price, so later payments are larger. The dividend per share rises once a year by the growth rate you set, and the share price rises a little each payment period.
Things to keep in mind
Companies can cut dividends. Taxes are left out, and reinvested dividends in a taxable account are still reported on your Form 1099-DIV for that year.
Sources
- IRS Topic 404, DividendsChecked 2026-10-19
- IRS Publication 550, qualified dividends and reinvestment plansChecked 2026-10-19
Frequently asked questions
How do I calculate dividend income?
Multiply your shares by the yearly dividend per share. 200 shares of a stock paying $3 a year bring in $600 a year, or $150 each quarter.
What does DRIP do?
A dividend reinvestment plan uses each payment to buy more shares. With 100 shares, a $4 dividend and a flat $100 price, you end the first year with 104 shares and the second year pays $416 instead of $400.
How much do I need invested to make $1,000 a month in dividends?
Divide $12,000 a year by the yield. At a 4% yield that is $300,000, before taxes.
Are dividends taxed?
In a taxable account, yes. Qualified dividends use the 0%, 15% or 20% capital gains rates, and ordinary dividends are taxed as regular income. Reinvested dividends are still taxable that year.