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Dividend Tax Calculator

Estimate taxes on dividend income by separating qualified and ordinary dividends at their respective tax rates.

Total dividends received during the tax year
100
Percentage of dividends that qualify for the lower tax rate
Your marginal tax rate for ordinary (non-qualified) income
Tax rate applied to qualified dividends (0%, 15%, or 20%)

Results

Qualified Dividends$0.00
Ordinary Dividends$0.00
Total Tax on Dividends$0.00
After-Tax Dividend Income$0.00
Effective Tax Rate0.00%

📖What is it?

The dividend tax calculator separates your dividend income into qualified and ordinary portions, applies the appropriate tax rate to each, and shows your total tax liability and after-tax income. In the U.S., qualified dividends are taxed at the lower long-term capital gains rate, while ordinary dividends are taxed at your marginal income tax rate.

🎯How to use

Enter your total dividend income for the year, the percentage that qualifies for the lower rate (shown on Form 1099-DIV), your ordinary income tax rate, and the qualified dividend tax rate. The calculator breaks down the tax on each portion.

💡Example scenario

You received $5,000 in dividends, 80% qualified. Your ordinary rate is 32% and the qualified rate is 15%. Qualified = $4,000 → tax = $600. Ordinary = $1,000 → tax = $320. Total tax = $920. After-tax = $4,080. Effective rate = 18.4%.

🏆Pro tip

To maximize qualified dividends, hold stocks for more than 60 days within the 121-day window around the ex-dividend date. REITs and money-market dividends are generally non-qualified and taxed at ordinary rates.