Is SCHD or VYM a better dividend investment in 2026?

SCHD currently yields 3.47% with a 13.05% 5-year dividend growth rate. VYM yields 2.41% with 7.8% growth. The better choice depends on your goal: SCHD offers higher current income. Use the DRIP calculator above to model your specific scenario.

What is the dividend yield difference between SCHD and VYM?

SCHD has a forward dividend yield of 3.47% ($1.06/share annually). VYM yields 2.41% ($3.51/share annually). The yield gap is 1.06 percentage points.

How much would $10,000 in SCHD vs VYM pay in dividends per year?

With $10,000 invested: SCHD would pay approximately $347/year. VYM would pay approximately $241/year. With DRIP reinvestment over 10 years, these amounts grow substantially due to compounding.

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SCHD vs VYM: Dividend Comparison 2026

SCHD yields 3.47% · VYM yields 2.41%● Live data

vsEnter any two US tickers

After 10 years · $10,000 invested · DRIP enabled

🏆 SCHD wins by $5.6K in total portfolio value

INVESTMENT

TIME HORIZON10 years

SCHD

Schwab U.S. Dividend Equity ETF

● Live price

3.47%

Share price

$30.44

Annual div

$1.06

5Y div CAGR

13.05%

Payout ratio

50%

After 10 yrs · $10,000 · DRIP

Portfolio value

$35.4K

Annual income

$1,715.43

Full SCHD calculator →

VYM

Vanguard High Dividend Yield ETF

● Live price

2.41%

Share price

$145.70

Annual div

$3.51

5Y div CAGR

7.8%

Payout ratio

50%

After 10 yrs · $10,000 · DRIP

Portfolio value

$29.9K

Annual income

$625.37

Full VYM calculator →

Portfolio growth — SCHD vs VYM

Annual dividend income

MetricSCHDVYM

Forward yield	3.47% ✓	2.41%
Annual dividend / share	$1.06	$3.51 ✓
Payout ratio	50%	50%
1-year div growth	0%	0%
5-year div CAGR	13.05% ✓	7.8%
Portfolio after 10y	$35.4K ✓	$29.9K
Annual income after 10y	$1,715.43 ✓	$625.37
Total dividends collected	$9.1K ✓	$4.2K
Payment frequency	quarterly	quarterly
Sector	ETF	ETF

Year-by-year: SCHD vs VYM ($10,000, DRIP)

Year	SCHD Portfolio	SCHD Income/yr	VYM Portfolio	VYM Income/yr	Gap
1	$11,272	$392.07	$11,170	$259.88	+$102.00 → SCHD
2	$12,723	$459.21	$12,473	$286.83	+$250.00 → SCHD
3	$14,381	$538.58	$13,925	$316.48	+$456.00 → SCHD
4	$16,280	$632.55	$15,541	$349.09	+$739.00 → SCHD
5	$18,456	$744.00	$17,340	$384.97	+$1.1K → SCHD
6	$20,957	$876.43	$19,343	$424.42	+$1.6K → SCHD
7	$23,835	$1,034.05	$21,570	$467.79	+$2.3K → SCHD
8	$27,154	$1,222.00	$24,049	$515.46	+$3.1K → SCHD
9	$30,991	$1,446.58	$26,805	$567.83	+$4.2K → SCHD
10	$35,433	$1,715.43	$29,870	$625.37	+$5.6K → SCHD

SCHD vs VYM: Complete Analysis 2026

SCHD — ETF

The fund’s goal is to track as closely as possible, before fees and expenses, the total return of the Dow Jones U.S. Dividend 100 Index.

Full SCHD Calculator →

VYM — ETF

Seeks to track the performance of the FTSE High Dividend Yield Index, which measures the investment return of common stocks of companies characterized by high dividend yields. Provides a convenient way to track the performance of stocks that are forecasted to have above-average dividend yields. Follows a passively managed, full-replication approach.

Full VYM Calculator →

Frequently Asked Questions

Is SCHD or VYM better for dividend income in 2026?

SCHD currently offers a 3.47% yield ($1.06/share/year) while VYM offers 2.41% ($3.51/share/year). SCHD provides higher current income. However, SCHD has grown its dividend faster (13.05% 5Y CAGR), which may lead to better long-term income through compounding.

How much would $10,000 in SCHD vs VYM earn per year?

With $10,000 invested today: SCHD pays approximately $347/year. VYM pays approximately $241/year. With DRIP over 10 years, these grow to $1,715/year (SCHD) and $625/year (VYM).

Does SCHD or VYM pay monthly dividends?

SCHD pays quarterly dividends. VYM pays quarterly dividends. Neither pay monthly — both use a quarterly schedule, which is preferred by investors who need regular cash flow.

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⚠️ Educational purposes only. Not financial advice. All projections use historical data; actual results will vary.