🧮 FREE CALCULATOR

ETF income calculator: how much do I need to invest?

Enter the income you want each year and pick an income ETF. See how much you’d need to invest, what each payment would be, and how that compares with drawing down a growth portfolio.

Joshua Stega, financial adviser· Yields from our income ETF tracker

INCOME YOU WANT EACH YEAR INCOME ETF

Uses each ETF’s typical yield over the past 12 months, leaving out one-off special payments. Cash yield only: franking credits can add more if you’re eligible.

YOU’D NEED ABOUT

–

–payment

–fees a year

–franking

–trend now

OR: THE TOTAL-RETURN APPROACH

Instead of living only off distributions, many retirees hold a diversified growth core (such as DHHF or VDHG), draw a set amount each year, and keep a cash buffer for down years. For $50,000 a year:

–invested, drawing 4% a year

–invested, drawing 5% a year

–3-year cash buffer, included in the total (for example in AAA)

Growththe rest can keep growing to help you keep up with inflation

How much you’d need in each income ETF

For $50,000 a year, based on each ETF’s typical yield. Tap a row to load it into the calculator. Trend stages are updated weekly.

ETF	Typical yield	You’d need	Paid	Franking	Fee	Trend
AUSTRALIAN SHARES INCOME
AYLD Global X S&P/ASX 200 Covered Call Complex ETF	7.4%	$676,000	Quarterly	Partly	0.60%	Base
YMAX Betashares Aus Top 20 Eqy Yield Max Complex ETF	6.8% *	$735,000	Quarterly	Partly	0.76%	Base
HVST Betashares Aus Dividend Harvester Active ETF	5.6%	$893,000	Monthly	Partly	0.72%	Base
DIVI Ausbil Active Dividend Income Fund - Active ETF	5.4%	$926,000	Quarterly	Partly	0.85%	Base
HYLD Betashares S&P Australian Shares High Yield ETF	4.8%	$1,042,000	Quarterly	Partly	0.25%	Uptrend
ZYAU Global X S&P/ASX 200 High Dividend ETF	4.6%	$1,087,000	Quarterly	Partly	0.24%	Base
IHD iShares S&P/ASX Div Opportunities Esg Screened ETF	4.2%	$1,190,000	Quarterly	Partly	0.23%	Downtrend
SYI State Str SPDR MSCI Aus Select High Div Yield ETF	4.1% *	$1,220,000	Quarterly	Partly	0.20%	Uptrend
RDV Russell Investments High Dividend Aus. Shares ETF	3.9%	$1,282,000	Quarterly	Partly	0.34%	Uptrend
VHY Vanguard Australian Shares High Yield ETF	3.6%	$1,389,000	Quarterly	Partly	0.25%	Base
GLOBAL SHARES INCOME
WDIV State Street SPDR S&P Global Dividend ETF	10.3% *	$485,000	Half-yearly	No	0.35%	Base
JEPI Jpmorgan Equity Premium Income Complex ETF	7.4%	$676,000	Monthly	No	0.40%	Base
UMAX Betashares S&P 500 Yield Maximiser Complex ETF	5.1% *	$980,000	Quarterly	No	0.79%	Base
ZYUS Global X S&P 500 High Yield Low Volatility ETF	4.0%	$1,250,000	Quarterly	No	0.35%	Base
INCM Betashares S&P Global High Dividend Aristocrat ETF	2.8% *	$1,786,000	Quarterly	No	0.45%	Uptrend
PROPERTY AND INFRASTRUCTURE
MICH Magellan Infra Fund (Currency Hedged) - Active ETF	12.8% *	$391,000	Half-yearly	Low	1.06%	Base
CIIH CB Glbl Infrastructure Income (Hedged) Active ETF	11.7% *	$427,000	Half-yearly	Low	1.02%	Base
MVA VanEck Australian Property ETF	5.7%	$877,000	Half-yearly	Low	0.35%	Base
REIT VanEck Ftse International Property (Aud Hgd) ETF	4.7%	$1,064,000	Quarterly	Low	0.20%	Base
SLF SPDR S&P/ASX 200 Listed Property ETF	3.2% *	$1,562,000	Quarterly	Low	0.16%	Base
IFRA VanEck Ftse Global Infrastructure (Aud Hedged) ETF	3.0%	$1,667,000	Quarterly	Low	0.20%	Base
DJRE State Street SPDR Dj Gbl Real Estate Esg Tilt ETF	2.8%	$1,786,000	Half-yearly	Low	0.20%	Base
GLIN iShares Ftse Gbl Infrastructure (Aud Hedged) ETF	2.4% *	$2,083,000	Quarterly	Low	0.15%	Base
VAP Vanguard Australian Property Securities Index ETF	2.0% *	$2,500,000	Quarterly	Low	0.23%	Base
HYBRIDS, CREDIT AND FLOATING RATE
ECRD Betashares Aust Enhanced Credit Income Complex ETF	7.2%	$694,000	Quarterly	No	0.29%	Not rated
SUBD VanEck Australian Subordinated Debt ETF	5.6%	$893,000	Monthly	No	0.29%	Not rated
MQSD Macquarie Subordinated Debt Active ETF	5.6%	$893,000	Quarterly	No	0.29%	Not rated
HBRD Betashares Australian Credit Income Active ETF	5.5%	$909,000	Monthly	Some	0.55%	Not rated
HCRD Betashares Interest Rate Hedged Aus Corp Bond ETF	5.3%	$943,000	Monthly	No	0.29%	Not rated
DIFF Perpetual Diversified Income Active ETF	5.3%	$943,000	Half-yearly	No	0.59%	Not rated
BHYB Betashares Australian Major Bank Hybrids Index ETF	5.0%	$1,000,000	Monthly	Some	0.35%	Not rated
BSUB Betashares Aus Major Bank Subordinated Debt ETF	5.0%	$1,000,000	Monthly	No	0.29%	Not rated
FLOT VanEck Australian Floating Rate ETF	4.7%	$1,064,000	Monthly	No	0.22%	Not rated
QPON Betashares Aus Bank Senior Floating Rate Bond ETF	4.5%	$1,111,000	Monthly	No	0.22%	Not rated
RCB Russell Investments Aus Select Corporate Bond ETF	4.3%	$1,163,000	Quarterly	No	0.28%	Not rated
BONDS
VBND Vanguard Global Aggregate Bond Index (Hedged) ETF	9.5% *	$526,000	Quarterly	No	0.20%	Not rated
IHHY iShares Global High Yield Bond (Aud Hedged) ETF	6.0%	$833,000	Half-yearly	No	0.56%	Not rated
CRED Betashares Aus Investment Grade Corporate Bond ETF	5.6%	$893,000	Monthly	No	0.25%	Not rated
BNDS Betashares Western Asset Aus Bond Active ETF	4.8%	$1,042,000	Monthly	No	0.42%	Not rated
OZBD Betashares Australian Composite Bond ETF	4.7%	$1,064,000	Monthly	No	0.19%	Not rated
PLUS VanEck Australian Corporate Bond PLUS ETF	4.6%	$1,087,000	Monthly	No	0.32%	Not rated
ICOR iShares Core Corporate Bond ETF	4.6%	$1,087,000	Quarterly	No	0.15%	Not rated
VACF Vanguard Australian Corp Fixed Interest Index ETF	4.0%	$1,250,000	Quarterly	No	0.20%	Not rated
VAF Vanguard Australian Fixed Interest Index ETF	3.5%	$1,429,000	Quarterly	No	0.10%	Not rated
VGB Vanguard Australian Government Bond Index ETF	3.3%	$1,515,000	Quarterly	No	0.16%	Not rated
IAF iShares Core Composite Bond ETF	3.2%	$1,562,000	Quarterly	No	0.10%	Not rated
GOVT State Street SPDR S&P/ASX Iboxx Aus Gov Bond ETF	3.1%	$1,613,000	Quarterly	No	0.10%	Not rated
XARO Ardea Real Outcome Bond Complex ETF	1.5%	$3,333,000	Half-yearly	No	0.50%	Not rated
CASH
ISEC iShares Enhanced Cash ETF	4.4%	$1,136,000	Monthly	No	0.12%	Not rated
MMKT Betashares Australian Cash Plus Active ETF	4.4%	$1,136,000	Monthly	No	0.18%	Not rated
AAA Betashares Australian High Interest Cash ETF	4.2%	$1,190,000	Monthly	No	0.18%	Not rated
BILL iShares Core Cash ETF	4.2%	$1,190,000	Monthly	No	0.07%	Not rated

Yields and trends from the income ETF tracker, updated 2026-11-04. * Yield flagged: hover or tap for why.

How this calculator works

It divides the income you want by the ETF’s typical yield: the distributions paid over the past 12 months as a share of the price, leaving out one-off special payments. At a 4% yield, $50,000 a year needs about $1.25 million; at 6%, about $833,000.

Why we don’t put all the money in dividend ETFs

Income ETFs have a place in a retirement portfolio. But we don’t recommend relying on them alone, for six reasons:

Too much in one sector. Australian dividend ETFs like VHY hold a lot of the big four banks. VHY has done well lately because money has been hiding in banks, but that leaves your income riding on one sector, and on the property market the banks lend into.
High income can cost you growth. Over the five years to 30 September 2026, total returns including distributions were about +31% for YMAX and +25% for HVST, against +62% for VHY, +66% for INCM and +75% for VGS. Strategies that boost income by selling options or chasing dividends give away some of the upside.
Dividends get cut when you need them. In 2020, Australia’s big banks cut or deferred their dividends. Income that depends on a few companies can fall just as markets fall.
You miss most of the world. An Australian-only income portfolio leaves out global leaders in technology, healthcare and more, the companies that have driven most of the growth in VGS and BGBL.
Retirement is long. You may need your money for 25 to 30 years. Without growth, your income and your capital can fall behind inflation.
Tax while you’re still working. Distributions are taxed every year at your marginal rate, while growth is only taxed when you sell. (In super pension phase, both are tax-free.)

What we do instead: a diversified growth core such as DHHF or VDHG, some income ETFs if you want them, and one to three years of spending in cash. You draw your income from the cash and top it up from the core in good years, so you’re never forced to sell in a downturn. That’s the total-return approach shown in the calculator above.

Before you chase the highest yield

Yields change. Distributions go up and down with company dividends, interest rates and markets. Last year’s yield isn’t a promise.
Very high yields deserve a second look. Some ETFs show 8–17% because of currency hedging gains or one-off payments. We flag these in the table.
Capital isn’t guaranteed. Except for cash ETFs, the price can fall, sometimes sharply.

For most retirees, a mix works best: a diversified growth core, some income ETFs, and a cash buffer. See ETFs for retirement in Australia, our income ETF tracker and the Retirement & SMSF hub.

Already have income ETFs?
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Frequently asked questions

How much do I need to invest to earn $50,000 a year from ETFs?

Divide the income you want by the ETF’s yield. At a 4% yield you’d need about $1.25 million; at 5%, about $1 million; at 6%, about $833,000. Higher yields usually come with more risk or less growth, and distributions change from year to year.

Which ETFs pay the highest income in Australia?

Covered-call and high-yield share ETFs, hybrids and credit ETFs tend to pay the most, often 5–8% a year. But a high yield can mean less growth, more risk, or a one-off payment. Our income ETF tracker compares 52 income ETFs by yield, franking, fee and trend.

Is it better to live off dividends or sell some of my investments?

Living only off income can push you into a narrow group of high-yield shares, often Australian banks. Many retirees use a total-return approach instead: hold a diversified growth portfolio, draw about 4–5% a year, and keep one to three years of spending in cash so you don’t have to sell in a downturn.

Do franking credits add to my income?

Yes, if you’re eligible. Australian share income ETFs usually pay partly franked distributions. If your tax rate is low, or you’re in super pension phase, unused franking credits can be refunded, which adds to the yield shown here. This calculator uses cash yields only.

How often do income ETFs pay?

It varies: cash, hybrid and credit ETFs often pay monthly; share and bond ETFs usually pay quarterly; some pay half-yearly. The calculator shows roughly what each payment would be.

Does the Age Pension change how much I need?

Yes. If you qualify for a part Age Pension, you need less from your investments. Your investments also count towards the Age Pension assets and income tests, so it’s worth checking both together.

General information only, not personal advice. It doesn’t consider your objectives, financial situation or needs, or the Age Pension and tax rules that apply to you. Yields are historical and will change; past performance is not a reliable indicator of future performance. ETFs named are examples, not recommendations. Consider the PDS and TMD, and speak to a licensed adviser before investing.

Income is one half. Knowing when to buy is the other.

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