The Dividend ProcessDividends must be declared (i.e., approved) by a company’s Board of Directors each time they are paid. There are three important dates to remember regarding dividends:Declaration date: The declaration date is the day the Board of Directors announces its intention to pay a dividend. Date of record: This date is also known as “ex-dividend” date. It is the day upon which the stockholders of record are entitled to the upcoming dividend payment. Payment date: This is the date the dividend will actually be given to the shareholders of the company.A vast majority of dividends are paid four times a year on a quarterly basis. This means that when an investor sees that, for example, Coca-Cola pays an $0.88-per-share dividend, he will actually receive $0.22 per share four times a year. Some companies pay dividends on an annual basis.