Free tool , investing
Your dividend FI number.
Financial independence on dividends is simple in theory, you need a portfolio whose payouts cover your spending. Enter your expenses, your portfolio yield, and what you have so far, and this estimates the portfolio you need, how much your dividends already cover, and roughly how many years of investing it takes to reach it. Everything runs in your browser, nothing is saved or sent anywhere.
How the dividend FI number works
The portfolio you need is just your expenses divided by your yield. At a 3 percent yield, fifty thousand dollars of expenses needs a little over one and a half million invested, because that is the pile that throws off fifty thousand a year in dividends. A higher yield lowers the target, but reaching for yield often means taking on more risk or less growth, so the number is a starting point for thinking, not a goal to chase blindly.
The years estimate grows your current portfolio each year by your total return assumption and adds your contribution, then counts the years until it crosses the target. Real markets do not move in a straight line, dividends get cut, and inflation lifts your expenses over time, so treat the timeline as a rough guide. This is an educational estimate, not investment advice.
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