Ok so lets assume integer positions and sizes (no float operations). To evenly divide rectangle into regular square grid (as big squares as possible) the size of the cells will be greatest common divisor GCD of the rectangle sizes.
However you want to have much less squares than that so I would try something like this:
try all square sizes a from 1 to smaller size of rectangle
for each a compute the naive square grid size of the rest of rectangle once a*a square is cut of it
so its simply GCD again on the 2 rectangles that will be created once a*a square is cut of. If the min of all 3 sizes a and GCD for the 2 rectangles is bigger than 1 (ignoring zero area rectangles) then consider a as valid solution so remember it.
after the for loop use last found valida
so simply add a*a square to your output and recursively do this whole again for the 2 rectangles that will remain from your original rectangle after a*a square was cut off.
Here simple C++/VCL/OpenGL example for this:
//---------------------------------------------------------------------------
#include <vcl.h>
#pragma hdrstop
#include "Unit1.h"
#include "gl_simple.h"
//---------------------------------------------------------------------------
#pragma package(smart_init)
#pragma resource "*.dfm"
TForm1 *Form1;
//---------------------------------------------------------------------------
class square // simple square
{
public:
int x,y,a; // corner 2D position and size
square(){ x=y=a=0.0; }
square(int _x,int _y,int _a){ x=_x; y=_y; a=_a; }
~square(){}
void draw()
{
glBegin(GL_LINE_LOOP);
glVertex2i(x ,y);
glVertex2i(x+a,y);
glVertex2i(x+a,y+a);
glVertex2i(x ,y+a);
glEnd();
}
};
int rec[4]={20,20,760,560}; // x,y,a,b
const int N=1024; // max square number
int n=0; // number of squares
square s[N]; // squares
//---------------------------------------------------------------------------
int gcd(int a,int b) // slow euclid GCD
{
if(!b) return a;
return gcd(b, a % b);
}
//---------------------------------------------------------------------------
void compute(int x0,int y0,int xs,int ys)
{
if ((xs==0)||(ys==0)) return;
const int x1=x0+xs;
const int y1=y0+ys;
int a,b,i,x,y;
square t;
// try to find biggest square first
for (a=1,b=0;(a<=xs)&&(a<=ys);a++)
{
// sizes for the rest of the rectangle once a*a square is cut of
if (xs==a) x=0; else x=gcd(a,xs-a);
if (ys==a) y=0; else y=gcd(a,ys-a);
// min of all sizes
i=a;
if ((x>0)&&(i>x)) i=x;
if ((y>0)&&(i>y)) i=y;
// if divisible better than by 1 remember it as better solution
if (i>1) b=a;
} a=b;
// bigger square not found so use naive square grid division
if (a<=1)
{
t.a=gcd(xs,ys);
for (t.y=y0;t.y<y1;t.y+=t.a)
for (t.x=x0;t.x<x1;t.x+=t.a)
if (n<N){ s[n]=t; n++; }
}
// bigest square found so add it to result and recursively process the rest
else{
t=square(x0,y0,a);
if (n<N){ s[n]=t; n++; }
compute(x0+a,y0,xs-a,a);
compute(x0,y0+a,xs,ys-a);
}
}
//---------------------------------------------------------------------------
void gl_draw()
{
glClear(GL_COLOR_BUFFER_BIT);
glDisable(GL_DEPTH_TEST);
glDisable(GL_TEXTURE_2D);
// set view to 2D [pixel] units
glMatrixMode(GL_PROJECTION);
glLoadIdentity();
glMatrixMode(GL_MODELVIEW);
glLoadIdentity();
glTranslatef(-1.0,-1.0,0.0);
glScalef(2.0/float(xs),2.0/float(ys),1.0);
// render input rectangle
glColor3f(0.2,0.2,0.2);
glBegin(GL_QUADS);
glVertex2i(rec[0] ,rec[1]);
glVertex2i(rec[0]+rec[2],rec[1]);
glVertex2i(rec[0]+rec[2],rec[1]+rec[3]);
glVertex2i(rec[0] ,rec[1]+rec[3]);
glEnd();
// render output squares
glColor3f(0.2,0.5,0.9);
for (int i=0;i<n;i++) s[i].draw();
glFinish();
SwapBuffers(hdc);
}
//---------------------------------------------------------------------------
__fastcall TForm1::TForm1(TComponent* Owner):TForm(Owner)
{
// Init of program
gl_init(Handle); // init OpenGL
n=0; compute(rec[0],rec[1],rec[2],rec[3]);
Caption=n;
}
//---------------------------------------------------------------------------
void __fastcall TForm1::FormDestroy(TObject *Sender)
{
// Exit of program
gl_exit();
}
//---------------------------------------------------------------------------
void __fastcall TForm1::FormPaint(TObject *Sender)
{
// repaint
gl_draw();
}
//---------------------------------------------------------------------------
void __fastcall TForm1::FormResize(TObject *Sender)
{
// resize
gl_resize(ClientWidth,ClientHeight);
}
//---------------------------------------------------------------------------
And preview for the actually hardcoded rectangle:

The number 8 in Caption of the window is the number of squares produced.
Beware this is just very simple startup example for this problem. I Have not tested it extensively so there is possibility once prime sizes or just unlucky aspect ratios are involved then this might result in really high number of squares... for example if GCD of the rectangle size is 1 (primes) ... In such case you should tweak the initial rectangle size (+/-1 or whatever)
The important thing in the code is just the compute() function and the global variables holding the output squares s[n]... beware the compute() does not clear the list (in order to allow recursion) so you need to set n=0 before its non recursive call.
To keep this simple I avoided to use any libs or dynamic allocations or containers for the compute itself...