Everything you need to know about the 85-cent NAB dividend

The latest National Australia Bank Ltd (ASX: NAB) dividend has just been announced alongside its FY26 result. Investors can now know what payment to look forward to in the next few weeks.

The 2026 financial year was a difficult period for the ASX bank share, with the headline being a 13.4% decline in cash earnings to $6.1 billion.

NAB noted that gross loans and advances (GLA) grew by 5.2% and deposits increased by 5.2%, with an uplift in the net interest margin (NIM).

A key headwind for earnings was the 85.7% increase in credit impairment charges to $1.55 billion amid a deteriorating economic picture. There was an increase in both specific charges and the credit provision.

With the above impacts in mind, let's take a look at what the board of directors decided with the National Australia Bank dividend.

Announced payout

Today, NAB announced it plans to pay a final dividend of 85 cents per share for FY26.

That announced payout matches the FY25 final dividend (of 85 cents per share).

Due to the hefty decline in the NAB share price in response to the result – it's currently down more than 7% – the dividend yield has increased.

The FY26 final dividend payment alone translates into a dividend yield of 2.2% excluding franking credits and 3.2% including franking credits.

Adding the final dividend to the FY26 interim dividend brings the total payout to $1.70 per share for the year, the same as the 2025 financial year.

As a result of the fall in cash earnings, maintaining the dividend payout means the cash dividend payout ratio has increased to 85.1% in FY26, up from 75.3% in FY25. The FY26 payout remains sustainable at 85% of cash earnings, but that assumes profits don't continue to decline due to potentially higher credit impairment charges.

At the time of writing, that translates into a dividend yield of 4.5% excluding franking credits and 6.4% including franking credits.

When will the NAB dividend be paid?

Investors won't have long to wait for this upcoming dividend payment, but the first date to note is the ex-dividend date.

The ex-dividend date is a cut-off date to determine entitlement to the upcoming dividend.

Investors need to own NAB shares before the ex-dividend date to be eligible for the FY26 final dividend.

According to NAB's ASX announcement about the dividend, the ex-dividend date is Tuesday, 10 November 2026, which is less than a week away. That means interested investors need to own NAB shares by the end of trading on Monday, 9 November 2026.

Once it has been decided who's entitled, shareholders will be paid the dividend on Tuesday, 15 December 2026.

If shareholders would prefer to receive new NAB shares instead of cash dividends, they can participate in the dividend reinvestment plan (DRP). Investors need to elect to do so by 5pm on 12 November 2026 to participate in the DRP.

The post Everything you need to know about the 85-cent NAB dividend appeared first on The Motley Fool Australia.

Motley Fool contributor Tristan Harrison has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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