Dividend Yield Calculator
Calculate dividend yield on NZX shares and managed funds. Includes gross yield, net yield after RWT, and reinvestment projection.
About this calculator
This calculator implements NZX listed share dividends + IRD imputation from NZX. Last consulted 28 February 2026. Verify the figures yourself by following the link.
Typical NZX dividend yields
Indicative — 2026 market- •NZX 50 average yield: ~4-5% gross (fully imputed)
- •Top yields (utilities): 5-8% (Mercury, Meridian)
- •Low yields (growth): 1-2% (a2 Milk, Mainfreight)
- •Imputation credit (fully imputed): 28/72 → adds ~39% to cash yield
- •Reinvested vs cash payment: DRP plans available for most stocks
Source: NZX
Disclaimer
This calculator provides estimates for general information purposes only. Results should not be relied upon as professional financial, tax, or legal advice. Tax rates and thresholds are based on publicly available IRD data and may change. Always consult a qualified tax agent or financial adviser for advice specific to your circumstances.
How dividend yield is calculated
Yield = dividend ÷ share price. Imputation credits from NZX shares boost the true return for NZ residents (credit against tax).
- 1
Calculate cash yield
Cash_yield = (annual_dividends_per_share ÷ share_price) × 100%
NZX 50 typical 3-5% cash yield.
- 2
Add imputation credit (gross yield)
Gross_yield = cash_yield × (1 + 28/72) for fully imputed
Fully-imputed dividends are pre-taxed at 28% by company.
- 3
Apply your marginal tax rate
Net_yield = cash + (imputation credit × proportion you can use)
33% rate → small top-up. 39% → larger top-up.
- 4
Compare to alternatives
After-tax_yield vs RWT bank rate vs PIE fund
NZ dividend with imputation often beats bank for higher earners.
Worked example
Inputs: Share $5, dividend $0.20/yr, 33% bracket, fully imputed
Result: Cash 4%. Gross 5.56% (with imputation). After-tax for 33% holder: ~4.7%.
Frequently Asked Questions
What is a good dividend yield in NZ?
What are imputation credits?
How is dividend tax different in PIE funds vs direct shares?
Dividend yield is the annual dividend per share divided by the share price, expressed as a percentage. For NZX investors, the gross yield includes imputation credits (which reduce your tax bill), while the net yield is what hits your bank account after RWT (33%) is withheld.
How this calculator works
Enter the share price, annual dividend per share, and your PIR / RWT rate. The calculator shows gross yield, net yield after tax, and projected income on your investment over time.
Dividend Tax in NZ
| RWT on cash dividends | 33% (default) |
| Fully imputed dividend | Imputation credits reduce tax |
| Effective tax (top-rate investor) | ~6% on fully imputed at 28% company tax |
| PIE fund alternative | Capped at PIR (max 28%) |
| Foreign dividends | Often subject to FIF rules |
Worked Examples
Buy 1,000 Spark NZ shares at $4.50, dividend $0.275/share fully imputed
Gross yield: 6.11%; Net yield after RWT: ~4.68%
- Total investment: 1,000 × $4.50 = $4,500
- Annual dividend: 1,000 × $0.275 = $275 cash
- Imputation credit attached: $275 × 28/72 = $107
- Gross dividend (cash + credits): $382
- Gross yield: $275 / $4,500 = 6.11%
- Net after 33% RWT (assuming 33% marginal): ~4.68% effective
Built and maintained by Konstantin Iakovlev. Data sourced from the IRD and official New Zealand government sources.
Last reviewed: