Project your dividend income growth over time with compounding reinvestment
Year | Portfolio Value | Annual Dividends | Yield on Cost | Monthly Income |
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Year | Portfolio Value | Annual Dividends | Dividend Growth | New Shares | Total Shares | Monthly Income |
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Automatically reinvest dividends to purchase additional shares, compounding your returns over time.
Focus on companies with a history of consistently increasing dividends, which can lead to exponential income growth.
Invest in companies that have increased dividends for at least 25 consecutive years, offering stability and reliability.
Consider holding dividend stocks in tax-advantaged accounts (like IRAs) to maximize compounding.
While dividends are important, also consider the company's growth potential and overall returns.
When companies increase their dividends annually, investors benefit from compounding growth. A stock yielding 3% today might yield 6%, 9%, or more on your original investment cost after several years of dividend increases.
This calculator shows how reinvesting dividends and dividend growth can significantly increase your income over time.
A well-balanced dividend portfolio should include companies from different sectors, with varying yields and growth rates. Aim for a mix of high-yield stocks and faster-growing lower-yield stocks.
Use the calculator to model different yield and growth combinations to find your ideal balance between current income and future growth.