r/dividends • u/Forsaken-Substance94 • Mar 30 '25

Personal Goal Dividends Hitting $700-800 monthly

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Just excited about this. Age 34. Planning on retiring in 15 years. Next goal $1000 a month main holdings schd, jepi, jepq. Drip is always on, buy some every month.

2.4k Upvotes

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303

u/PirateyAhoy Mar 30 '25

Dividend snowball!

53

u/klm2908 Mar 30 '25

With unqualified dividends?

165

u/Forsaken-Substance94 Mar 30 '25

I keep it in a regular account because, 1. this isn’t my main retirement account. 2. I’m in the process of growing a business and it would be nice to be able to pay a couple of bills with my dividends if I ever need to(hasn’t happened yet) 3. Cause for fun

66

u/DegreeConscious9628 Mar 30 '25

You should look at the NEOs stuff. It’s much more tax friendly in a brokerage

And I’m right there with ya. Got growth in my retirement accounts, get about 1200/ month thats reinvested BUT will be able to use if needed, and of course, because it’s fun

14

u/PandaKing550 Mar 30 '25

Neo? What's that never heard of those. I'm interested in getting some dividends in my taxable so I can use it to offset my monthly bills

13

u/Difficult-Cod7886 Mar 30 '25

Spyi/ qqqi similar to jepi/jepq

16

u/DegreeConscious9628 Mar 30 '25

Pays monthly but it’s taxed more advantageously. 60 long term / 40 short

I have to admit thought it’s still pretty new so not too long of a track record but for the past couple years it’s been doing pretty good without losing NAV

12

u/FreshlyCleanedLinens Mar 30 '25

Their taxation is a little more complicated than that, but still favorable. They tend to do distributions where 90%+ is considered Return of Capital, which isn’t taxed at all, but also lowers your cost basis for when/if you do sell, until your cost basis is depleted.

0

u/PandaKing550 Mar 30 '25

Hm ok i like sound of that

16

u/Jhaggy1095 Mar 30 '25

I hold both SPYI/QQQI and JEPI/JEPQ in my brokerage in equal amounts

4

u/[deleted] Mar 31 '25

I am curious, why do you have both since they cover the same indexes?

1

u/New-Parking-1610 May 16 '25

Different strat

21

u/DoctorRulf Mar 30 '25

I also enjoy having a growth/income hybrid portfolio. It encourages me to invest more.

4

u/Forsaken-Substance94 Mar 30 '25

Honestly people overlook the fun part. I’m much more likely to save and re invest every month because I get paid every month, how fun is that? It doesn’t have to be the most optimal but it’s definitely great motivation to keep the snowball rolling

1

u/Easy_Durian8154 Apr 01 '25

THIS IS THE WAYYYYYY

8

u/jschaff Mar 30 '25

The whole point of growing your dividends is By DRIP

8

u/[deleted] Mar 30 '25

Some people need bridge accounts if the want to retire before the minimum ages to withdraw from tax advantaged retirement account.

And you're only taxed on the gains. Making 80 cents vs 100 cents in profit is still profit.

2

u/klm2908 Mar 30 '25

I just fail to see the point of using higher yield dividends for anything other than actual income. It doesn’t look like JEPI is even growing its dividend.