Define: Payable Date

A payable date is the date on which a company or organisation is scheduled to distribute payments to its shareholders or investors.

The payable date is typically determined by the company’s board of directors or management team. They consider various factors, such as the company’s financial performance and cash flow, before setting the payable date.

If you sell your shares before the payable date, you may not be entitled to receive the payment. The payment is usually distributed to the shareholders of record on a specific date, known as the record date. Therefore, if you sell your shares before the record date, the new owner of the shares will receive the payment.

Yes, the payable date can be changed by the company if necessary. However, any changes to the payable date must be communicated to the shareholders in a timely manner.

If you don’t receive the payment on the payable date, you should contact the company’s investor relations department or your broker to inquire about the delay. There could be various reasons for the delay, such as administrative issues or technical glitches.

The payment is usually made in the currency of the country where the company is based. However, some companies may offer the option to receive the payment in a different currency. You should check with the company or your broker regarding the available options.

The payable date itself does not have direct tax implications. However, the payment received on the payable date may be subject to applicable taxes, depending on the tax laws of your country. It is advisable to consult with a tax professional to understand the tax implications specific to your situation.

Some companies offer dividend reinvestment plans (DRIPs) that allow shareholders to automatically reinvest their payments to purchase additional shares. If such a plan is available, you can choose to participate and reinvest the payment on the payable date.

If you have not received your payment for an extended period, it could indicate a potential issue. In such cases, you should reach out to the company’s investor relations department or your broker to investigate the matter further and ensure that your payment is not lost or misplaced.

While the payable date can be postponed, it cannot be postponed indefinitely. Companies have a legal obligation to distribute payments to their shareholders within a reasonable timeframe. If the payable date is continuously postponed without a valid reason, it may raise concerns and potentially lead to legal consequences.