QQQI Dividend Calculator (2026)
QQQI (NEOS Nasdaq-100 High Income ETF) pays monthly income by selling covered calls on the Nasdaq-100. This calculator projects your cash flow, yield and DRIP reinvestment — with the trade-offs explained honestly.
DRIP compounding for QQQI: distributions buy more shares, which pay more distributions next period. Growth rates are planning assumptions, not predictions.
Estimates only, not financial advice. Dividend yields and growth rates are assumptions, not guarantees of future results. Always consult a qualified financial professional before investing.
How QQQI’s monthly income works
QQQI holds the Nasdaq-100 and sells call options on a portion of it. The option premiums become your monthly distribution, which is why the yield is much higher than a plain index fund.
The trade-off: upside above the option strike is given up. In a sharp rally, QQQI will likely underperform QQQ — you trade price growth for cash income.
⚠️ QQQI risks you must know
- High yield is not free money. It comes from selling options, not just company dividends.
- NAV can erode. If distributions consistently exceed fund growth, the share price drifts down over time.
- Upside is capped in strong bull markets by the covered-call strategy.
- Distributions fluctuate with volatility — there is no guaranteed or steadily rising payout. That is why this calculator defaults yield growth to 0%.
How QQQI is taxed
QQQI distributions are a mix: qualified dividends, ordinary income, return of capital, and Section 1256 contract gains (taxed 60% long-term / 40% short-term). Return of capital lowers your cost basis and is taxed later as a capital gain. This is more complex than a plain dividend ETF — consult a tax professional before assuming any rate.
QQQI vs SCHD
Two very different tools. SCHD (~3.5% yield, quarterly, ~10% dividend growth) is a dividend-growth holding. QQQI (~13% yield, monthly, flat growth, capped upside) is an income holding. Many investors blend the two: growth at the core, a smaller high-income sleeve for cash flow.
See the SCHD Dividend Calculator for the growth-oriented comparison, or the Monthly Dividend Income Calculator for monthly cash-flow math.
Related calculators
Dividend Calculator · SCHD Dividend Calculator · Monthly Income Calculator · DRIP Calculator