How Dividends Work on EasyEquities: Getting Paid to Invest

How Dividends Work on EasyEquities: Getting Paid to Invest

When you start investing on EasyEquities, you’ll often see the word “dividends” pop up — especially if you own shares or ETFs. But what exactly are dividends, how do they work, and how do you actually get paid?

Let’s break it down simply — because who doesn’t like the idea of earning money while doing nothing?

💰 What Are Dividends?

Dividends are a portion of a company’s profits paid out to shareholders (that’s you, the investor!).

Think of it like this:
If you own a small piece of a company that makes a profit, they share a slice of that profit with you — usually every few months or once a year.

For example:
If you invest in Capitec or MTN, and the company makes a healthy profit, they may decide to pay dividends to all shareholders as a “thank you” for investing and believing in their growth.

🗓️ How Dividends Are Paid on EasyEquities

When a company declares a dividend, it goes through a few simple steps before the money reaches your EasyEquities account.

Here’s what happens:

Declaration Date:
The company announces it will pay a dividend and sets the amount per share (e.g., R1.50 per share).

Record Date:
This is the date the company checks who owns their shares. Only investors holding shares on this date qualify for the dividend.

Payment Date:
This is when the dividend is actually paid out — and you’ll see the amount appear as cash in your EasyEquities account under your available funds.

💡 Tip: EasyEquities will send you an email or notification when a dividend is paid into your account.

📲 Where to Find Your Dividends on EasyEquities

You don’t have to hunt for them — EasyEquities makes it easy (pun intended).

Here’s how:

• Log in to your EasyEquities account.
• Go to your Investment Account (ZAR, USD, or TFSA).
• Click on Transaction History or Statement.

You’ll see “Dividend Received” entries showing how much you earned and from which company or ETF.

📈 What to Do With Your Dividends

You have two main choices when you receive a dividend:

1. Reinvest It

Use your dividend cash to buy more shares or ETFs.
This helps grow your investment faster through compound growth — because your new shares will also start earning dividends over time.

This is how wealth quietly builds over the years.

2. Withdraw It

If you prefer, you can withdraw your dividends to your bank account as a small cash reward for investing wisely.

Many investors reinvest in the beginning and withdraw later once their portfolio grows.

💼 Do ETFs Pay Dividends Too?

Yes!
Many ETFs on EasyEquities also pay dividends because they include companies that do.

For example, if you own the Satrix 40 ETF, and some of the companies in that fund pay dividends, you’ll receive your share — proportionate to how much of the ETF you own.

You’ll see it reflected just like a normal dividend from a single company.

⚠️ A Note on Dividend Tax

In South Africa, dividends are subject to a 20% withholding tax (called Dividend Withholding Tax or DWT).

This means if a company pays you R100 in dividends, you’ll actually receive R80 — the rest automatically goes to SARS before it even reaches your EasyEquities account.

You don’t need to do anything extra; it’s handled for you behind the scenes.

🚀 The Bottom Line

Dividends are one of the best parts of investing — they’re proof that your money is working for you.

Even small dividend payments can add up over time, especially if you reinvest them consistently.

So next time you see a “dividend received” notification on EasyEquities, smile — that’s your money growing quietly in the background.