The National Australia Bank Ltd (ASX: NAB) share price has struggled alongside its 'big four' peers this month.
It's tumbled 13% since its final close of May. For context, the S&P/ASX 200 Index (ASX: XJO) has also slipped around 9% so far this month.
At the time of writing, the NAB share price is $27.13. And that leaves the banking giant trading with a notable dividend yield of more than 5%.
Let's take a closer look at the payout ratio currently offered by NAB shares.
NAB shares offer a 5.1% dividend yield
Those invested in NAB shares have been offered $1.40 of dividends over the past 12 months.
That came in the form of a 67-cent final dividend for financial year 2021 and a 73-cent interim dividend.
Taking into account its current share price, that leaves the bank trading with a 5.1% dividend yield.
Potentially making the bank's payouts even more exciting are the tax imputations they bring.
NAB has been handing out fully franked dividends for 15 years now. That means its dividends could bring additional benefits to some shareholders come tax time.
On top of that, NAB offers a dividend reinvestment plan (DRP), allowing investors to opt to receive additional shares in the bank rather than cash dividends.
However, the dividend yield offered by NAB is dwarfed by that of some of its big four banking peers.
In terms of dividend yields, shares in Australia and New Zealand Banking Group Ltd (ASX: ANZ) lead the pack. They boast a 6.5% yield right now.
That's better than Westpac Banking Corp (ASX: WBC) shares' current 6.1% dividend yield.
Meanwhile, Commonwealth Bank of Australia (ASX: CBA) shares offer a 4.1% dividend yield.
While this year has been tough on the NAB share price – it has slipped nearly 8% year to date – the stock is still in the longer-term green. It has gained 4% since this time last year.
