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Monthly Dividend Income Target Calculator

Work backwards from your desired monthly income. See exactly how much you need to invest at different dividend yields to hit $500, $2,000, or $5,000/month.

Monthly Dividend Income Target

$/month
Conservative: 2-3%Target: 4-5%High: 7%+
$

PORTFOLIO NEEDED FOR $2,000/MO

$600,000

At 4% average yield · ~20.2 years at $1,000/month

PORTFOLIO SIZE BY YIELD

2%
$1,200,000
3%
$800,000
4%
$600,000
5%
$480,000
6%
$400,000
7%
$342,857
8%
$300,000
Browse high-dividend stocks to build this portfolio →

Frequently Asked Questions

How much do I need for $1,000/month in dividends?

At 4% yield: $300,000. At 6% yield: $200,000. At 8% yield: $150,000. Higher yields require less capital but carry more risk — verify dividend sustainability before chasing yield.

Can I live off dividends?

The average American spends ~$60,000/year. To cover this with dividends at 4% yield requires $1.5M in dividend-paying stocks. Building to this level typically takes 20-30 years of consistent investing.

What is the safest way to build dividend income?

Diversify across 20-30 dividend stocks in multiple sectors. Focus on dividend growth (companies raising dividends annually) over high yield. Keep individual position sizes under 5-7% of portfolio.

For educational purposes only. Not financial advice. Consult a qualified advisor before making investment decisions.