Dividend Calculator

Reinvesting dividends through a DRIP turns a steady payout into a compounding engine, and this tool lets you watch that effect play out across 10, 20, and 30-year horizons. Seeing the income curve makes the math tangible: a stock yielding 3.5% with a 5% annual dividend growth rate doubles its income in about 14 years on dividend growth alone, and in about 8 years once every payout buys more shares.

The projection runs on a compound growth model built from four inputs you provide: your initial investment, the current yield, the annual dividend growth rate, and your reinvestment choice. The share price is assumed to rise at the same rate as the dividend, so the yield on today's price stays at your starting yield. Each year the income is shares × price × yield; with DRIP on, that income buys new shares at that year's price. With reinvestment, income therefore grows by (1 + yield) × (1 + growth rate) a year; without it, by the growth rate alone.

Treat the output as a scenario rather than a promise. Growth rates drift, and companies facing an economic downturn can trim or halt dividends entirely, which the model cannot foresee. Projected income alone is a thin basis for a decision; weigh it against the underlying business and how the position fits your broader goals.