Income Investment

The amount of the dividends paid by a company vary depending on the level of profit a company has earned, the level of reinvestment by the company.

There are four important dates involved when it comes to dividends. These are the declaration date, ex-dividend date, record date and payment date.

Declaration Date
The Board of Directors announces on this day when they intend to pay a dividend out. They announce the ex-dividend date and the record date.

Ex-Dividend Date
If you purchase the stock after this date then you will not be entitled to the dividend payment.

Record Date
The is the date by which shareholders need to have registered the ownership of the shares. In most places this is automatic when the shares are purchased.

Payment Date
This is the date when the payment is distributed to shareholders.

Find reporting dates online at the Income Investor website.