How to Find Dividends

Investors who need current cash flow as well as future growth often look to dividend-paying stocks. When companies make a profit, they can choose to declare a dividend and pass some of that money on to the shareholders. Those dividends can provide the cash flow that retirees and others need to supplement Social Security, pensions and other retirement income. If you want to add dividend-paying stocks to your portfolio, you have a number of options.

• 1

  Turn to the stock tables in a quality financial publication like The Wall Street Journal, Investor's Business Daily or Barron's. These publications all include dividend information in their stock tables.

• 2

  Locate the dividend column within the stock table. This column will generally be labeled "DIV." The stock table might also include a column listing the dividend yield for the stock. If the dividend yield is not listed, you can calculate it yourself by dividing the annual dividend by the market price of the stock. For instance, a stock with a $1 dividend and a share price of $20 has a dividend yield of 5 percent.

• 3

  Log on to your online brokerage account if you have one and use the website's stock screening tools. Many online brokers provide their clients with screening tools they can use to select stocks based on certain criteria, including the presence of a cash dividend and a minimum dividend yield. Use the stock screening tools to select stocks for further research and possible purchase.

• 4

  Contact several mutual fund companies and ask for prospectuses for their dividend stock funds. Most large mutual fund companies have at least one or two funds dedicated to dividend-paying stocks. Review the prospectus carefully so you understand the performance of the funds and the costs associated with owning it.