Strategy Comparison

Investment Strategy Comparison

Compare dividend investing vs growth stocks vs bonds over time

New to this calculator? Read the step-by-step guide

Dividend Stocks

$501,732

After 20 years

Annual income: $44,375

Growth Stocks

$530,181

After 20 years

No regular income (must sell)

Bonds

$256,177

After 20 years

Annual income: $11,528

Investment Parameters

$25,000
$500
20 years

Assumptions

3.5% + 5%
5%
10%
4.5%

Portfolio Growth Over Time

Yr 3
Yr 6
Yr 9
Yr 12
Yr 15
Yr 18
Yr 20
Dividend Stocks
Growth Stocks
Bonds

Strategy Comparison

MetricDividendGrowthBonds
Final Portfolio Value$501,732$530,181$256,177
Total Contributed$145,000$145,000$145,000
Total Profit$356,732$385,181$111,177
Annual Passive Income$44,375$0*$11,528
Monthly Income$3,698$0*$961
Income Received Over Time$249,086$0$111,177
* Growth stocks pay no dividends. Income requires selling shares.

Dividend Stocks

Regular passive income

Growing income over time

Don't need to sell shares

Lower total return potential

Growth Stocks

Higher return potential

Tax-efficient (defer gains)

No regular income

More volatile

Must sell to access money

Bonds

Predictable income

Lower volatility

Capital preservation

Lowest growth potential

Income doesn't grow

Ready to Start Dividend Investing?

Find the best platform to build your dividend income portfolio.