CAGR
Turn a starting value and an ending value into a smooth yearly growth rate.
Stocks and trading
Dividend yield calculator
Turn a dividend per share into a yield, the income on your holding and the yield on what you paid.
per share
per share
Add up everything paid per share over twelve months, interim and final.
shares
per share
For yield on cost.
%
The slab rate you enter, with cess if you want it counted. Information only.
A dividend of ₹8.00 on a share price of ₹200.00 is a yield of 4%. On 500 shares that is ₹4,000 a year before tax, if the dividend stays the same.
- Dividend yield
- 4%Dividend per share divided by the share price
- Dividend income in a year
- ₹4,000Before tax
- Value of your holding
- ₹1,00,000
Measured against what you paid
- Yield on costDividend per share divided by your buy price
- 5%
- Amount you paid
- ₹80,000
After tax at the rate you entered
- Tax on the dividend
- ₹1,200.00
- Income after tax
- ₹2,800.00
- Yield after tax
- 2.8%
Dividends from Indian companies are added to your income and taxed at your slab rate. The rate here is the one you typed.
What this assumes
- The dividend you enter is paid in full over the year and stays the same. Companies can change or stop a dividend at any time.
- A high yield can come from a fall in the share price. The yield is a ratio, not a measure of quality.
- Tax is a flat rate on the whole dividend. It ignores deductions and tax deducted at source.
- This describes the figures you entered. It does not predict what comes next.
What next
Capital gains tax
Estimate the tax on the profit from selling shares or mutual fund units.IPO listing gain
Work out your gain or loss if an IPO lists above or below its issue price.Average price
Find the weighted average price of several buys, and what it takes to reach a target average.
How it works
Dividend yield tells you what a year of dividends is worth as a share of the price. Yield on cost uses what you paid instead of today's price, so it describes your own holding.
Yield = Dividend per share / Share price. Yield on cost = Dividend per share / Your buy price
A worked example
A share at 200 that pays 8 a year has a yield of 4%. 500 shares earn ₹4,000 a year before tax. If you paid 160, the yield on cost is 5%. At a tax rate of 30 percent, the tax is ₹1,200, which leaves ₹2,800.00.
Dividends paid by Indian companies are included in the shareholder's income and taxed at the shareholder's slab rate. The tax line uses the rate you type, with cess if you want it counted. It is shown for information, and your own tax depends on your total income and on rules that can change.
What it leaves out
- Whether the dividend will continue or change. A company can cut, raise or stop it.
- Tax deducted at source, deductions and your total income, which decide your real tax.
- Changes in the share price, which are a separate part of your return.
- Dividends from mutual funds or from foreign companies.
Questions people ask
What is dividend yield?
It is the dividend a company pays per share in a year divided by the price of one share, shown as a percentage. A share priced at 200 that pays 8 has a yield of 4 percent.
What is yield on cost?
It uses your own average buy price instead of the current share price. If you bought at 160 and the share now pays 8, your yield on cost is 5 percent even though the yield at today’s price is lower. It shows income on what you paid, not on what the shares are worth now.
Does a high yield mean a good share?
Not by itself. Yield rises when the price falls, so a high figure can reflect trouble, and a company may cut its dividend. The yield only describes the ratio of the dividend to the price.
How is dividend taxed?
Dividends from Indian companies received on or after 1 April 2020 are added to your income and taxed at your slab rate, reported under income from other sources. Tax may also be deducted before you receive it. The page applies the rate you type, so check your own position with a tax professional.
Which dividends do I add up?
Add every dividend per share paid over the last twelve months, including interim and special dividends if you want them counted. Past dividends do not promise future ones.