Tools
Franking Credits Calculator
This calculator helps you figure out the estimated value of your franking credits and dividends in relation to your tax bracket.
How much are my franking credits worth?
How to use Pearler's Franking Credits Calculator
If you're paid dividends from your share investments, you may also be receiving franking credits.
There are plenty of benefits to franking credits, but figuring out their value come tax time can be a complex undertaking.
Enter: Pearler's Franking Credits Calculator. This tool takes all the hard work out of calculating how much your franking credits are worth, and how they could impact your income tax.
NOTE: while this calculator can be a useful tool, it's no substitute for qualified tax advice. When in doubt, always seek out the input of a licensed accountant or financial adviser.
Step-by-step guide to using Pearler's Franking Credits Calculator
1. First, enter the dollar value of the dividends you've been paid
2. Next, plug in the percentage of the dividend that's subject to franking. If your dividends are fully franked, you'll write 100. If you've received partially franked dividends, you'll enter a number between 1 and 99.
3. Finally, enter the total number of shares you hold
4. You'll then be able to see your results
What to expect from your results
After you've submitted your information, you'll see two results.
The first is the estimated dollar value of your franking credits, along with an approximation of the gross value of your dividends and the value of your franking credits per share.
The second is a column chart detailing how these franking credits could affect the value of your dividends come tax time. The chart also indicates whether you might owe tax or receive a tax refund after you've filed your tax return.
Your dividend value and the tax you either owe or receive depend mostly on your marginal tax rate.
The columns in the chart relate to the different tax brackets in Australia. You can hover over each one to see a detailed breakdown of the predicted tax owed or refunded and the estimated dollar value of your dividends. The chart is designed to give you an idea of how your income could affect your dividend values and tax requirements.
Remember that the results may not present an accurate picture of your actual dividend value or tax requirements. Instead, Pearler's Franking Credits Calculator provides a projection of what your situation could look like.
Before making a financial decision, it's always best to chat to a licensed financial adviser or accountant.
Franking Credits Calculator - FAQ
What are franking credits?
What's the difference between a fully franked dividend, partially franked dividend, and an unfranked dividend?
How are franking credits calculated?
What is a franking credits calculator?
Why should I use a franking credits calculator?
How can a franking credits calculator help my shares investing?
Disclaimer
The information provided in this calculator is only a model to show you how long you need to invest for to achieve your goal, based on several factors. It is not a prediction and relies on assumptions, such as interest rates, that may vary and change the actual outcome.
The results shown are only estimates and are not intended to be relied on when making a financial decision. Consider whether to get advice from a licenced financial adviser before making any financial decision.
We encourage you read more about the assumptions and limitations of this calculator by clicking here