Work out total return with dividends instantly with clear inputs, formula shown and shareable results.
Price change alone understates equity returns because it ignores cash paid out along the way. Total return adds dividends received to the capital gain, which over long horizons accounts for a large share of the result.
Total return
Total = (P₁ + dividends - P₀)/P₀; Annualised = (1+Total)^(1/t) - 1
Figures are estimates for planning only. Market returns are not guaranteed, and rates, limits and tax rules change. This is not financial or tax advice — speak to a qualified adviser before acting.
No — it treats them as cash received. Reinvesting would produce a slightly higher figure.
Over multi-decade periods reinvested dividends have historically supplied a large part of total equity returns.