Calculate annual dividend income, yield, and per-payment amounts from any stock or ETF position.
Position Details
Payment Frequency
Dividend Income
Annual Income
$480
The Dividend Income Calculator shows how much income a stock or ETF position generates from dividends — annually, monthly, and per payment — based on the number of shares you own and the dividend per share. It also calculates two key metrics: dividend yield (based on today's price) and yield on cost (based on what you originally paid).
Yield on cost is especially useful for long-term holders: as a company raises its dividend over the years, your yield on the price you originally paid can climb well above the 'current yield' new buyers see — a core part of dividend-growth investing strategies.
Annual Income = Shares × Dividend per Share; Yield = Annual Dividend ÷ Price; Yield on Cost = Annual Dividend ÷ Cost BasisAnnual dividend income is simply your share count multiplied by the per-share annual dividend. Dividing that per-share dividend by the current price gives the yield a new investor would see today; dividing it by your original purchase price gives your personal yield on cost.
Example 1: 200 shares paying $2.40/share annually
You own 200 shares of a stock currently priced at $60, paying $2.40/share per year in dividends, paid quarterly. You bought in at $45/share.
Annual income = $480 ($120 per quarterly payment). Current yield = 4.00%. Yield on cost = 5.33% based on your $45 purchase price.
Example 2: A high-yield REIT position
1,000 shares of a REIT priced at $20, paying $1.60/share annually (8% current yield), purchased at $25/share, paid monthly.
Annual income = $1,600 (about $133/month). Current yield = 8.00%, but yield on cost = 6.40% since the purchase price was higher than today's price.
Example 3: Dividend growth over time (yield on cost)
You bought 100 shares at $30/share five years ago. The dividend has grown from $0.80/share to $1.50/share annually, while the stock now trades at $55.
Current yield = 2.73% ($1.50 ÷ $55), but your yield on cost = 5.00% ($1.50 ÷ $30) — more than double what a new buyer earns today.
Methodology
Annual income = shares × annual dividend per share. Yield = (annual DPS ÷ price) × 100. Yield on cost = (annual DPS ÷ cost basis) × 100.
Dividend yield = annual dividend per share ÷ current stock price. A 3% yield on a $50 stock means the company pays $1.50 per share per year. Yield changes as the stock price fluctuates.
Yield on cost = annual dividend per share ÷ your original purchase price. If you bought at $30 and the stock now pays $2/share annually, your yield on cost is 6.67% regardless of today's stock price.
Qualified dividends (from US corporations held >60 days) are taxed at long-term capital gains rates (0%, 15%, or 20%). Ordinary dividends are taxed at regular income rates. REIT and bond fund dividends are usually ordinary.
Disclaimer: Calculations are for informational purposes only and do not constitute professional financial advice. Please consult with a certified professional before making financial decisions.