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Add your dividend holdings, set a growth rate and monthly income target. See total income, blended yield, goal progress and year by year projection in one place.
The capital needed for dividend income equals the target annual income divided by the portfolio yield. At a 3.5% yield, $50,000 a year requires about $1.43 million. At 4.5%, it requires about $1.11 million. The free StockEducation Dividend Income Planner estimates monthly and annual income, average yield, progress toward the target and yearly changes based on holdings, contributions and assumptions. A higher yield reduces the calculated capital, but it can also signal that a dividend is under pressure. Check the company's cash flow, payout record and financial position before relying on the income.
Add each dividend holding to calculate your total income
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Enter holdings to calculate
Total across all holdings
Portfolio yield
Set a target monthly income above to track your progress.
Add your holdings on the left and click Calculate to see your personalized dividend income plan.
Add holdings and calculate to see breakdown.
General education only — check the assumptions before using the result.
Purpose: This calculator is a general educational tool that performs a numerical calculation from the values you enter. It does not recommend, advertise or promote a specific financial product.
Assumptions: The calculation uses the input values and assumptions displayed in the calculator. Default values are illustrative starting points, not forecasts. Change each non-statutory assumption so it matches the scenario you want to test.
Limitations: Actual market returns, prices, dividends, interest rates, fees, tax, inflation and timing may differ from the assumptions. The calculator may omit factors relevant to you. Small input changes can materially change the result, so the output is an illustration rather than a prediction.
This financial calculator is not intended to be relied on for the purposes of making a decision in relation to a financial product. You should consider obtaining advice from a financial services licensee before making any financial decisions.
You can print this page or save it electronically using your browser controls. See ASIC Instrument 2026/41 for the conditions applying to generic financial calculators.
Disclaimer · Terms of Use
Treat it as an illustration, not a plan.
This shows what happens if one set of assumptions holds for the next few decades. It will not.
It does not account for market falls, inflation, changes to your income or job, tax law changes, healthcare costs, or how long you live. It assumes steady returns, and markets do not deliver those.
Decisions this size need a licensed professional who knows your full situation.
Projections assume constant dividend yields and growth rates. They do not account for dividend cuts, taxes, or variable returns. Use as a planning guide and always verify individual yields before relying on them.
Educational content only. Projections assume constant yields and growth rates and do not account for dividend cuts, taxes, or variable market returns. Always verify current yields directly with the fund or company before making any investment decision.
A $23,000 portfolio across VYM, SCHD and O at approximate yields of 3.2%, 3.8% and 5.5% produces about $899 per year or $74.92 per month at a blended yield of 3.91%. Blended yield is total annual income divided by total portfolio value, weighted by position size. The planner sums income across holdings and projects forward under a dividend growth assumption. Yield figures shown are illustrative and fluctuate; check issuer factsheets for current values.
Multi-holding dividend income, blended yield and progress to a monthly target.
Enter ticker, current value and current dividend yield for each position. Add as many holdings as you own.
Annual dividend growth rate (5% is a common aristocrat average). Projection window of 3 to 10 years.
The result panel shows Monthly Income, Annual Income, Portfolio Value and Blended Yield cards, a Goal Progress bar against your target monthly income, per-holding income contributions, a Portfolio Allocation donut chart, and an Income Projection table. The Goal Progress bar is the single most actionable signal — it shows the exact monthly shortfall and how growth alone may or may not close it.
A four-stage written walkthrough — the chapters a video would cover, available now in text.
Four chapters covering inputs, outputs and the common mistakes to avoid.
4 min watch. Auto captions available. Walkthrough chapters listed above.
Specific outcomes, not generic claims.
Stop adding dividend payments in a spreadsheet. The planner consolidates every holding into one monthly figure.
A high single holding yield can mask a low blended yield or push you toward yield chasing. The blended number makes this visible.
Whether your target is $1k a month for travel or $5k a month for retirement, the goal bar and projection make progress concrete.
Most calculators hide the formula. We show it because understanding the math is the point.
Two formulas: portfolio income is the sum of each holding’s income, blended yield is total income divided by total portfolio value.
Holding Value
Yield
Total Income
Total Value
The projection is a mathematical model, not a forecast. Six assumptions baked into the math, plus what real outcomes look like.
Each card pairs an assumption the calculator makes with what real world investing actually looks like.
Reality: Yields fluctuate with price and payout. A rising yield from a price drop is a warning, not a feature.
Reality: Companies cut in recessions. Even Dividend Aristocrats are not guaranteed.
Reality: Real dividend growth varies by holding and year. Some pause, some accelerate, some cut.
Reality: If you DRIP, future income compounds faster than the straight line growth shown here.
Reality: Dividends are taxable in most accounts. After tax income is lower.
Reality: ETF expense ratios and platform fees reduce net income marginally.
Same base scenario, one variable changed at a time. The projection is highly sensitive to small changes.
The calculator assumes a smooth return every year. Here is how that compares to verified historical data.
Written by Dr. Charles Lo, Associate Professor, CPA. Reviewed annually.
Dividend income planning starts with a portfolio: a list of holdings, each with a current value and a current yield. Total income is the sum of value times yield. Blended yield is total income divided by total value, weighted by position size.
Three levers drive future income: yield, growth and contributions. Yield is what you get today. Growth is the company increasing the dividend over time. Contributions are new money added to the portfolio. A serious income plan uses all three.
The classic income trap is yield chasing: replacing a 3% quality holding with a 7% distressed one. Headline income jumps but capital risk rises sharply. A good income planner makes blended yield visible so you can spot when concentration is masking risk.
Use trailing twelve month yield (TTM) for most ETFs and stocks. For REITs and BDCs, check whether headline yield includes return of capital, which is not the same as cash income.
Set dividend growth based on actual track records. Aristocrats average 5 to 7%. Pure REITs often 2 to 4%. Index funds match the market’s 6 to 7% historical.
Compare current monthly income to your target. Below 10% of target means growth alone takes many years; you need more contributions. Above 80% means you are within striking distance.
Check blended yield. Above 4% is worth investigating which holdings push the yield up. Above 5% usually means meaningful concentration in REITs, BDCs or distressed names.
Real numbers calculated from the same formula as the live tool. Every figure below is verified, not approximated.
VYM $10k @ 3.2%, SCHD $8k @ 3.8%, O $5k @ 5.5%, 5% growth, $1k/mo target
A new dividend investor builds a small portfolio across two ETFs and one REIT.
$300k across 5 dividend ETFs at 3.5% blended, 4% growth, 5 year projection, $1.5k/mo target
A pre retiree tests whether the dividend strategy supports a meaningful supplementary income.
$50k across 3 REITs and 2 BDCs at 7% blended, 2% growth, 5 year projection
Income focused investor accepts higher capital risk for higher current yield.
$100k across S&P 50%, dividend ETF 35%, REITs 15% at 2.8% blended, 5% growth
Growth oriented investor adds some dividend tilt without sacrificing total return.
$100k across 10 Aristocrats at 2.7% blended, 6% growth, 10 year projection
Buy and hold investor builds an income compounder using names with long dividend track records.
The questions users most often ask about calculator output.
Yes. Free to use, no signup. Your inputs are not stored or shared.
Aristocrats 5 to 7%, REITs and utilities 2 to 4%, broad index ETFs 6 to 7%. Use the lower end for conservative projection.
Not directly. The DRIP calculator handles compounded reinvestment. This planner shows straight line income growth assuming dividends are taken as cash.
Use annual yield (TTM). The planner annualises everything to one rate then divides by 12 for the monthly display.
Planner shows gross income. US investors: qualified dividends get long term CGT rate (0/15/20%), ordinary get ordinary rates. Adjust for after tax view.
Blended yield is weighted by position value. A small position at 6% can still meaningfully shift the blended figure. Check position sizing alongside yield.
Mathematically exact for inputs. Reality depends on companies actually delivering the assumed growth and not cutting. Treat as planning, not forecast.
Above 6% requires investigation. May reflect a price drop signalling trouble, an unsustainable payout, or hidden structural risk (REITs, BDCs, leveraged income funds).
Other tools for different parts of your financial picture.
The planner uses standard dividend income math (value times yield, weighted average) and a constant growth projection. Yield ranges sourced from major fund providers and sector indexes.
This calculator is provided for general educational purposes only. It does not constitute financial product advice. Dividend yields, growth rates and payouts change without notice. Tax treatment varies by country, account type and personal circumstances. Consult a licensed financial adviser before relying on dividend income for living expenses.
This calculator gives you the number. Our free courses teach you the why behind the math, the assumptions to question, and how to apply it to your own portfolio.
Add holdings, set growth rate and target. See total monthly income, blended yield and year by year projection in one view.
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