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Saving and Investing

Dividend Reinvestment Calculator

Project how a dividend reinvestment plan (DRP) grows your share holding and future dividend income over time.

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Your results

Units held after 10 years705.2
Final portfolio value$45,949
Final year's dividend income$1,472

Most recent years shown

YearUnitsShare priceDividend received
1519$42$800
2538.4$44$855
3558.2$46$914
4578.3$49$976
5598.7$51$1,041
6619.4$54$1,110
7640.4$56$1,183
8661.7$59$1,260
9683.3$62$1,341
10705.2$65$1,427

Calculation breakdown

Yearly dividend
units held × dividend per share
New units bought
dividend cash ÷ share price
Growth
dividend and share price compound at their entered growth rates

Worked example

Starting with 500 units at $40.00, a 4% yield, 3% annual dividend growth and 5% annual price growth reinvested for 10 years grows your holding to roughly 620 units worth around $39,000.

Assumptions

  • Assumes dividends are reinvested immediately at the year-end share price with no brokerage.
  • Growth rates are estimates you provide, not guaranteed returns.
  • Dividends reinvested remain assessable income in the year paid, per ATO rules.

How this calculator works

Simulate a dividend reinvestment plan by compounding your starting units, dividend yield and annual dividend growth rate over a chosen number of years. Each year's dividend buys additional units at the estimated share price, growing your holding faster than dividends taken as cash.

Rates sourced from the Australian Taxation Office for the 2026–27 financial year. Last reviewed 01/07/2026.

Frequently asked questions

Does this assume the share price stays flat?

It grows the assumed share price in line with your entered price growth rate each year, alongside dividend growth.

Are DRP shares taxed differently?

No, dividends reinvested through a DRP are still assessable income in the year they are paid, just like cash dividends.

What if my company doesn't offer a DRP?

You can still use this to compare the outcome of manually reinvesting cash dividends into more shares each year.

Results are estimates only and are not financial, tax, legal or credit advice.

Rates and thresholds are configured for the 2026–27 Australian financial year and should be reviewed when government settings change.

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