Finance

Dividend Payout Ratio Calculator

Find the share of earnings paid as dividends.

Calculated Output

Payout ratio (%) 30

Retention ratio (%) 70

Formula: payout = dividends ÷ net income × 100

Step-by-Step Breakdown

1. Values used:

2. Total dividends = 30,000 $

3. Net income = 100,000 $

5. Payout ratio = 30%

6. Retention ratio = 70%

Did this calculator solve your problem today?

The math behind it

payout ratio = dividends ÷ net income × 100; retention = the rest reinvested.

$30k of $100k → 30% payout.

Sustainable?

Payouts above 100% mean paying out more than earned.