Dividend Yield Calculator

Currency

Share price

Annual dividend a share

How many shares

Tax, %

Result

Yield before tax

8.8%

Yield after tax

7.66%

Income from the holding

$2,200.00

After tax

$1,914.00

Tax

$286.00

Average a month

$159.50

This result is informational only and is not professional advice.

Yield is a ratio, and both halves of it move

Calculates the dividend yield of a share as a percentage and the income from a holding before and after tax.

Dividend yield is the annual dividend divided by the price. That makes it a moving number: the same payout on a share that has fallen twenty percent shows a yield a quarter higher, without a single extra rouble being paid.

So a high yield is a question rather than an answer. It can mean a generous payout, or it can mean the market expects the payout to be cut and has already sold the share down.

What this calculator shows

The yield before and after tax
The income from your holding over a year
The tax withheld and the average monthly equivalent

What to keep in mind

The dividend is the total for a year. Companies that pay quarterly need the four payments added together.
Tax is a flat withholding on the payout. Rates differ by country and by account type; a tax-sheltered account may pay none.

FAQs

What is yield on cost?

The dividend divided by what you paid, not by today's price. It only describes your own position: a share bought cheaply years ago can yield twenty percent on cost while yielding four percent to a buyer today.

Why does the yield rise when the price falls?

Because the price is the denominator. Nothing improved; the same payout is simply being measured against a smaller number.

Is a high dividend yield a good sign?

Not by itself. It is worth checking whether the company can afford the payout out of profits and whether the last dividend was a one-off.

Does the payout date matter?

Yes. You have to hold the share before the ex-dividend date to receive the payment; buying after it means the next payout goes to the seller.

Worked example

A hundred shares

Input: price 250, dividend 22 a share, 100 shares, 13 percent tax

Output: 8.8 percent gross, 7.66 percent net

Note: The holding pays 2,200 a year and 1,914 after tax. If the price drops to 200 and the dividend holds, the yield jumps to 11 percent — which is exactly the moment to ask why the price dropped.

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