FINANCIAL · DIVIDEND YIELD
Dividend Yield Calculator
Calculate dividend yield, yield on cost, annual income, and monthly income from a dividend-paying stock or ETF.
Dividend yield = annual dividend ÷ current price. Yield on cost = annual dividend ÷ original purchase price. Income projections assume the dividend rate stays constant — actual dividends may change.
About This Calculator
Calculate dividend yield, yield on cost, and projected annual or monthly dividend income for any stock or ETF. Enter your annual dividend per share, current price, and the number of shares you own to see your income projection at a glance.
How It Works
Enter the stock's current price and total annual dividend per share (add up all quarterly or monthly payments for the year). The calculator computes the standard dividend yield — annual dividend divided by price — and optionally the yield on cost if you enter your original purchase price as the cost basis. Add the number of shares you own to project your annual and monthly dividend income.
The Formula
Yield = (Annual Dividend / Price) × 100 YOC = (Annual Dividend / Cost Basis) × 100
- Annual Dividend
- Total dividends paid per share over one year (sum of all distributions)
- Price
- Current market price per share
- Cost Basis
- Original price paid per share (used for yield on cost)
- Shares
- Number of shares owned (used for income projection)
Frequently Asked Questions
- What is dividend yield?
- Dividend yield is the annual dividend per share divided by the current share price, expressed as a percentage. A $2 annual dividend on a $40 stock gives a 5% yield. It shows how much income you earn relative to what the stock costs today.
- What is yield on cost?
- Yield on cost (YOC) compares the current annual dividend to what you originally paid per share — not the current price. If you bought at $30 and the stock now pays $4/year, your YOC is 13.3% even if the current yield is only 6.7%. YOC grows over time as companies increase their dividends.
- How often are dividends paid?
- Most US stocks pay quarterly dividends. Some pay monthly (common for REITs and certain bond funds) or annually. The calculator uses annual dividends — add up all payments in the past 12 months, or multiply the quarterly dividend by 4.
- Does the calculator account for dividend reinvestment?
- No. This calculator shows simple income — cash dividends received. For compound growth from reinvesting dividends, use the Compound Interest Calculator.