Dividend Yield on Cost Calculator

How it is calculated

The tool compares today's dividend with the price you originally paid, both per share: yield on cost % = annual dividend per share / original purchase price per share × 100. With a share count it also shows annual income = dividend × shares and cost basis = purchase price × shares. Use the current total dividend over the year (for example four quarterly payments added up), not a single payment. The shares field is optional: if it is left empty the tool assumes one share. The purchase price must be above zero and the dividend cannot be negative. A stock split changes the price per share, so after a split use the split-adjusted purchase price. Taxes and the current market price are not part of the calculation.

Common mistakes

• Using the current share price instead of the price you paid. That gives the current dividend yield, not the yield on cost.
• Entering a quarterly dividend as if it were annual. A 0.90 quarterly payment is 3.60 per year, and 0.90 would show 2 % instead of 8 %.
• Ignoring stock splits. After a 2-for-1 split, both the old price and the old dividend must be halved, or the yield on cost will not be comparable.
• Averaging in later purchases wrongly. If you bought more shares at a higher price, enter the average cost per share, not the first or the latest price.
• Treating a high yield on cost as a reason to hold or buy more. It only reflects your past price; it says nothing about the yield a new buyer gets today.