Dividend Reinvestment Calculator
Project your portfolio value and dividend income when you reinvest every dividend (DRIP). Pick any of 5,350+ tracked tickers or run a custom scenario.
Auto-loaded from 5-year dividend CAGR ÷ 10 (matches Stock Modal). Capped at 13%/yr — no stock sustains higher long-term.
How DRIP compounds
A Dividend Reinvestment Plan (DRIP) takes every dividend payment and immediately buys more shares of the same stock — no commission, no fractional-share hassle. Those new shares earn their own dividends, which buy more shares. The math works because you're growing the share count faster than the yield can decay.
Full DRIP guideWhy we cap yield at 20%
Yields above 20% are almost always a mirage — YieldMax and JEPY-style ETFs erode NAV to fund the distribution, so the "yield" is really return-of-capital in disguise. Projecting a 40% yield forward compounds unrealistically. Same cap the DiviDrip Portfolio Calculator uses so your public projection matches the one behind the login.
Yield-trap guideTaxes matter
The tax rate on this page throttles how much each dividend reinvests. Default 15% matches the qualified-dividend rate for most middle-bracket US investors. Set to 0% if you're running the math for a Roth IRA or 401(k).
Qualified vs ordinary dividendsGrowth rate: raw CAGR ÷ 10
When you pick a ticker, the calculator auto-loads that stock's 5-year dividend CAGR and divides it by 10 — because a stock that grew its dividend 42% over 5 years almost never sustains 42%/yr forward. Damping by 10 lands at 4.2%/yr, which historically better matches decade-long realized growth. Hard capped at 13%/yr for the same reason.
Dividend growth explainedFrequently asked
What is a dividend reinvestment calculator?
A dividend reinvestment (DRIP) calculator projects how a stock position grows over time when you automatically use every dividend payment to buy more shares. The compounding effect can be dramatic over 10 to 20 years, especially for tickers with modest yield growth.
Is this DRIP calculator free?
Yes — 100% free, no sign-up, no paywall. It uses the same math model as the DiviDrip in-app Stock Modal calculator. Sign in only if you want to run projections across your full portfolio at once.
How accurate is the projection?
The model assumes constant 5% price growth, stable yield, and a hard 20% yield ceiling to prevent unrealistic projections. Actual returns depend on market conditions, dividend cuts or raises, and tax treatment. Treat the output as directional, not a forecast.
Why is the dividend growth rate capped at 13%?
No dividend stock sustains growth above 13% per year over the long term. Even Dividend Aristocrats with strong recent growth tend to converge on 6-10% annualized over 10+ years. Capping keeps projections honest — the same cap the DiviDrip Portfolio Calculator uses.
Does DRIP work in a Roth IRA?
Yes, and it works exceptionally well — dividends inside a Roth are never taxed, so 100% of every payout reinvests. Set the tax rate to 0% in the calculator to match Roth or 401(k) treatment.
What about YieldMax / JEPY / covered-call ETFs?
These pay huge headline yields but the payouts are largely return-of-capital that erodes NAV. Projecting them forward at 40-60% "yield" would be misleading, which is why we cap yield input at 20%. The Learn guide on covered-call ETFs walks through why.
Disclaimer: The information provided on this website/service is for informational purposes only and does not constitute financial, investment, or legal advice. Investing in stocks involves high risk, including the loss of principal. We are not responsible for any financial losses or damages resulting from your reliance on this data. Always consult with a qualified financial professional before making investment decisions.
Trademark Notice: Twylight Crow's Dividend Tracker (formerly indexed as DiviDrip) is an independent portfolio utility. This tool is not affiliated with, authorized, endorsed by, or in any way officially connected to Dividrip.com or its international affiliates.