How to use this Dividend Calculator
The key to building wealth with dividends is time and growth. Unlike simple interest, dividend growth stocks increase their payout annually, protecting your income from inflation.
What is DRIP?
DRIP stands for Dividend Reinvestment Plan. Instead of taking the cash, you buy more shares. This accelerates the compounding effect, creating a "snowball" of income.
Why Dividend Growth Matters?
A stock yielding 3% today that grows its dividend by 10% annually will have a Yield on Cost of nearly 8% in 10 years. Our calculator models this exact scenario to help you plan your retirement (FIRE).