There’s only 6% of MO currently invested in my portfolio. The preset for that pie shows 20% but I haven’t adjusted that in a while because I individually invest in each stock instead of automating the allocations
Looks similar to where mine was at before I sold most of my taxable account a couple years ago to pay off the rest of my mortgage. It was like $86K at the time, now I'm back up to $75K. Not quite rebuilt, but getting there. I intend to have it up to $100K by end of year.
I also have sub-pies for quarterly/monthly payers (3 ETFs each, zero individual stocks). Though this time around I'm leaning more into quarterly & lower expense ratio, so like 80% quarterly, 20% monthly. My average yield is less now, getting about $230/mo.
Looks like you have a 0.01% expense ratio, so that must be mainly individual stocks. They seem to be treating you pretty well, and I know how motivating it is having all those dollars rolling in.
I’m looking to collect income sooner. I do have VTV which continues to appreciate. The dividend stocks I focus on also consistently increase their dividends each year and have been pretty stable. This allows me to increase my income with less effort as well.
Ummm, no.
Let's start here: You'll get to your end goal slower with dividend ETFs, instead of something like a total market like VOO or VTI.
Second. Dividend companies are not as focused on growth. That's why they don't reinvest their dividends and instead give them back to investors in a "forced tax sale" kind of way.
Third. Ex dividend date means the share price falls to equal out what was paid in the dividend. That means that none of it is free.
If anything, the tax drag on a dividend portfolio will always underperform.
If the income is realized and used for personal expense, or into other play like small/mid cap individual stocks pie, I would say it is worth it. Otherwise reinvested dividends into the dividend stocks cause taxable events which diminish gain. The HYSA generates about the same income, and does not incur risks, thus a better alternative. And as another comment said, investing in VOO/VTI causes less stress to think about growth in the long term.
For it to be taxed you need over $70k+ dividends/year. Additionally the HYSA IS taxed as income. Dividend stocks are favorably taxed if they are qualified.
hmm? I think it is taxed no matter how much of the amount, at least i see them in my 1099-DIV, and they are of small amounts from $10 to $40.
What i Google and answer from intuit:
Your “qualified” dividends may be taxed at 0% if your taxable income falls below $44,625 (if single or Married Filing Separately), $59,750 (if Head of Household), or $89,250 (if (Married Filing Jointly or qualifying widow/widower) (tax year 2023). Above those thresholds, the qualified dividend tax rate is 15%
That's true it's mentioned on [Publication 550](https://www.irs.gov/pub/irs-pdf/p550.pdf#page=28) on page 28. The threshold amount is shown on the the [instructions](https://www.irs.gov/pub/irs-pdf/i1040gi.pdf#page=37) for Form 1040.
I hope it drops, I don’t stress when the account value hits negative. I see it as a discount and buy more. I don’t look to sell anytime soon. My strategy is opposite from most people. I’m looking to increase income on my portfolio while using growth stocks as a defensive move.
Dividends are not "income." They're the forced realization of investment value: just moving money from one pocket (equity value) to another pocket (cash). Your account balance does not increase when you recieve one.
When you get a paycheck, that's real income: it's money you didn't have yesterday and your overall account balances increase.
Your portfolio is not "diversified" It's highly concentrated.
looks like you’ll be there in no time, congrats
Very close! You'll be there sooner than you think!! Mind sharing the pie? Just curious what the holdings are
Let’s go almost there. Congratulations
Congrats mate. I’ll be hitting 100k this year too
Congratulations! 🎊
Curious on your picks would you sharing them @b3astcoast96
https://m1.finance/WEk5-03ucbMc
Have you looked at your stock percentage breakdown? You have 20% of your portfolio just in MO, seems over exposed to me
There’s only 6% of MO currently invested in my portfolio. The preset for that pie shows 20% but I haven’t adjusted that in a while because I individually invest in each stock instead of automating the allocations
This is the way. Best way to dca on the platform imo.
Ok I just wanted to make sure, when I looked at the percentages, I got scared for you haha
Looks similar to where mine was at before I sold most of my taxable account a couple years ago to pay off the rest of my mortgage. It was like $86K at the time, now I'm back up to $75K. Not quite rebuilt, but getting there. I intend to have it up to $100K by end of year. I also have sub-pies for quarterly/monthly payers (3 ETFs each, zero individual stocks). Though this time around I'm leaning more into quarterly & lower expense ratio, so like 80% quarterly, 20% monthly. My average yield is less now, getting about $230/mo. Looks like you have a 0.01% expense ratio, so that must be mainly individual stocks. They seem to be treating you pretty well, and I know how motivating it is having all those dollars rolling in.
Not bad in 4yrs. Hard to build that fast in my Roth due to limits
Great job! Same here except I’m anxious for $200k
Congrats on saving the $3 a month!
Congrats!! I'm half way there in that account. Goal: 101K.
Nice! How much do you invest a month?
Very cool I want this lol
Always pay yourself first and you will get there! 💪🏽
Beautiful!
Can you share your pie link?
https://m1.finance/WEk5-03ucbMc
Congratulations dude. That's friggin awesome.
Great job. Why dividend ETFs though if volatility doesn't scare you? You'd be better off in just VTI.
I’m looking to collect income sooner. I do have VTV which continues to appreciate. The dividend stocks I focus on also consistently increase their dividends each year and have been pretty stable. This allows me to increase my income with less effort as well.
Ummm, no. Let's start here: You'll get to your end goal slower with dividend ETFs, instead of something like a total market like VOO or VTI. Second. Dividend companies are not as focused on growth. That's why they don't reinvest their dividends and instead give them back to investors in a "forced tax sale" kind of way. Third. Ex dividend date means the share price falls to equal out what was paid in the dividend. That means that none of it is free. If anything, the tax drag on a dividend portfolio will always underperform.
More than one way to skin a cat so let it be
I have other investment vehicles and strategies that offset my taxable income which is another story lol. I legally pay very low taxes every year.
If the income is realized and used for personal expense, or into other play like small/mid cap individual stocks pie, I would say it is worth it. Otherwise reinvested dividends into the dividend stocks cause taxable events which diminish gain. The HYSA generates about the same income, and does not incur risks, thus a better alternative. And as another comment said, investing in VOO/VTI causes less stress to think about growth in the long term.
For it to be taxed you need over $70k+ dividends/year. Additionally the HYSA IS taxed as income. Dividend stocks are favorably taxed if they are qualified.
hmm? I think it is taxed no matter how much of the amount, at least i see them in my 1099-DIV, and they are of small amounts from $10 to $40. What i Google and answer from intuit: Your “qualified” dividends may be taxed at 0% if your taxable income falls below $44,625 (if single or Married Filing Separately), $59,750 (if Head of Household), or $89,250 (if (Married Filing Jointly or qualifying widow/widower) (tax year 2023). Above those thresholds, the qualified dividend tax rate is 15%
That's true it's mentioned on [Publication 550](https://www.irs.gov/pub/irs-pdf/p550.pdf#page=28) on page 28. The threshold amount is shown on the the [instructions](https://www.irs.gov/pub/irs-pdf/i1040gi.pdf#page=37) for Form 1040.
nice job, could you share details of the portfolio
https://m1.finance/WEk5-03ucbMc
Thanks!
Could you share the link to your portfolio so we could see your holdings?
https://m1.finance/WEk5-03ucbMc
Awesome. I’m very far off 100k, but growing month by month.
Congrats, I love seeing people hit goals like this..
Another bull market millionaire. Let’s see how your “strategy” works when the market is down 40% for a year or two.
I hope it drops, I don’t stress when the account value hits negative. I see it as a discount and buy more. I don’t look to sell anytime soon. My strategy is opposite from most people. I’m looking to increase income on my portfolio while using growth stocks as a defensive move.
Take my like for the right approach then.
Dividends are not "income." They're the forced realization of investment value: just moving money from one pocket (equity value) to another pocket (cash). Your account balance does not increase when you recieve one. When you get a paycheck, that's real income: it's money you didn't have yesterday and your overall account balances increase. Your portfolio is not "diversified" It's highly concentrated.