Accumulating vs Distributing
Does getting dividends paid out leave you better off?
An accumulating ETF keeps its income inside the fund. A distributing ETF pays it out. Before tax and costs, the payout isn’t extra money. It comes out of the fund’s value. See for yourself.
More settings Fund cost
You paid in €0. If you take the payouts, your fund ends smaller, because the money left the fund. The cash itself earns nothing in this model.
Pre-tax illustration with identical funds and no trading costs. It does not show which share class is better for you.
German tax: why this is not the full picture
In Germany, distributions are taxed in the year they are paid. Accumulating funds can trigger a smaller yearly Vorabpauschale. Both use the same partial exemption and allowance. Which one leads to less tax over time depends on your allowance, the Basiszins and how long you hold. This tool does not model it, and we do not claim either is always more tax-efficient.
How it is calculated
Both share classes earn the same total return each month. Once a year, the distributing fund pays out D = V × y ÷ (1 + y), where V is the value before the payout and y the payout yield. Afterwards the fund is worth V − D. Reinvested, D buys new units at once, so the value returns to V. Taken as cash, D is kept aside at 0%.
Want to keep your results?
Get exactly what you see on screen in your inbox, or print it. It’s optional, and the calculator works the same without it.