How to use the Dividend Reinvestment Calculator

Model how reinvesting annual dividends and regular contributions may compound investment value.

Calculation formula

At each year-end, balance = (balance × (1 + price growth)) × (1 + dividend yield) + annual contribution; dividends are reinvested at the assumed yield.

Recommended steps

1. Enter values using the units shown beside each field.
2. Review whether the example assumptions match your situation.
3. Run the calculator and compare the key metrics.
4. Use the source data or official rates when precision matters.

Known limitations

Simplified annual reinvestment projection, not an actual DRIP share-by-share simulation; excludes taxes, fees, changing yields and price volatility.