Prospyr Calculator
Dividend Calculator
Estimate dividend income, yield, yield on cost, payout ratio, and withholding impact in one place. Then optionally project how that income could grow over time.
Quick dividend check
Enter the core numbers first. The goal is a fast, clean income estimate.
What you'll need
- Number of shares you own
- Annual dividend per share
- Current share price (for yield calculation)
- Account type (TFSA, RRSP, or non-registered)
Current market price per share
Total dividends paid per share each year
Used for yield on cost
Find on TMX Money or Yahoo Finance
Canadian stocks: 0%. US stocks in TFSA, RDSP, FHSA, or non-registered accounts: 15%. US stocks in RRSP: 0%.
Yield on Cost
8.13%
$3.66 ÷ $45.00 cost basis
+1.48% vs current yield
Payout Ratio
Moderate70.38%
$3.66 ÷ $5.20 EPS
Dividend per Payment
$0.92
4 payments per year
Optional step two
Now project how this dividend income could grow over time
Use this only if you want to model DRIP, contributions, price growth, or dividend growth assumptions.
Holding Summary
Position value (market)
$5,500.00
Position cost (avg cost)
$4,500.00
Unrealized gain/loss
+$1,000.00 (+22.2%)
Annual dividend per share
$3.66
Dividend per quarterly cycle
$0.92/share
Payment frequency
Quarterly (4x/year)
Annual dividend income
$366.00
See how DRIP compounds this income
Simulate share growth, buffer levels, and price creep risk
How long until dividends replace your expenses?
Run your next step in the Time to Freedom engine
Understanding Dividend Metrics
Dividend yieldtells you the income return on today's market price.
Yield on cost reflects the income return based on what you actually paid.
Payout ratio is a safety signal. Lower ratios usually mean more room for dividend stability.
Payment frequency changes the cash flow rhythm, but not necessarily the quality of the investment.
Important
This calculator is for informational and educational purposes only. It is not licensed financial, tax, or legal advice. Dividend payments are not guaranteed and can be reduced or eliminated at any time. Past dividend history does not guarantee future payments. Consult a qualified professional for personalized guidance.
Understanding Dividend Income and Yield
Dividend income is a core building block of income investing. Yield, yield on cost, and payout ratio help you judge both income and quality.
How is dividend income calculated?
Annual dividend income is usually shares owned multiplied by annual dividend per share.
What is yield on cost and why does it matter?
Yield on cost measures dividend yield relative to what you originally paid, not the current market price.
What is a good dividend yield for Canadian stocks?
The answer depends on the company, sector, and sustainability of the payout, not just the yield number itself.
What is the dividend payout ratio?
The payout ratio measures how much of a company's earnings are being paid out as dividends.
Are foreign dividends taxed differently in Canada?
Yes. Foreign dividends can face different tax treatment and may be subject to withholding tax depending on account type and jurisdiction.
What's Next?
Continue planning with a related calculator.
Updated for 2026 CRA limits · Last verified April 2026
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