Boneyard Tools

Dividend Reinvestment (DRIP) Calculator

See how reinvesting dividends compounds your portfolio over time. Enter a starting investment, a dividend yield and a time horizon, then add optional yearly contributions, dividend growth and share price appreciation to project the final value.

How to use the dividend reinvestment calculator

  1. Enter your starting investment and the annual dividend yield.
  2. Set the number of years, plus optional yearly contributions, dividend growth and share price growth.
  3. Review the final value, total dividends reinvested and the year by year growth table.

Examples

10,000 at a 5% yield, reinvested for 10 years

initial 10000, yield 5%, 10 years, no contributions or appreciation
Final value about 16,288.95, all from reinvested dividends

Frequently asked questions

What is a DRIP (dividend reinvestment plan)?

A DRIP automatically uses the dividends a stock or fund pays to buy more shares instead of taking the cash. Those extra shares pay their own dividends, so over time your position and your dividend income can compound.

How does this calculator work?

It models your portfolio one year at a time. Each year it pays dividends on the current balance at your yield, reinvests them, adds any contribution, then applies share price appreciation. The yield can also grow year over year.

What is the difference between dividend yield and dividend growth?

Dividend yield is the annual dividend as a percent of the current value. Dividend growth is how much that yield rises each year. Share price growth is separate and reflects the value of your shares appreciating.

Are these returns guaranteed?

No. The yield, dividend growth and share price growth are assumptions you provide. Real dividends can be cut and prices can fall, so treat the result as an estimate, not a promise.

Does it account for taxes, fees or inflation?

No. The projection is a nominal figure before dividend taxes, brokerage fees and inflation. Your real, after-tax outcome will usually be lower.

Is my data private?

Yes. The calculation runs entirely in your browser. Your numbers are never sent to a server or stored, so nothing leaves your device.

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