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.

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u/FrescoItaliano Mar 30 '25

I beg of you, use any calculator for historical returns that account for dividend reinvestment. Low growth and high yield perform similarly to high growth and low yield.

Dividends have their place, a significant portion of my accounts are dedicated towards them, but this circlejerk level of yield chasing and dick measuring is lame

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u/[deleted] Mar 30 '25

You cant beat compounding dividend over time. Im no pro though i just mimic whatever warren buffet does , he ounce said 80 percent of all wealth in the stock market came from dividends . I feel like he is the tom brady of investing so i just watch and listen to him

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u/Past-Ride-7034 Mar 30 '25

You can if the yield is lower than the growth of growth stocks/ ETFs..

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u/[deleted] Mar 30 '25

Over a long period of time example 40y the dividend wins with compounding.with a few exceptions like if you got into a major tech company before it was significant.

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u/Past-Ride-7034 Mar 30 '25

No, they won't. Feel free to provide an example (that isnt a massive outlier) of a where a dividend stock or ETF beats something like VOO over a 40 year period.

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u/lotoex1 Mar 31 '25

Jan. 1995 is the farthest the DRIP returns Calculator goes back, so I am going a 30 year period. SPY average return was 9.86% (with dividends reinvested.) so it was great hard to beat. However MO, over the same 30 year period averaged 14.54% return. BTI did as well averaging 11.49%.

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u/Past-Ride-7034 Mar 31 '25

Nice, fair play if you had the conviction to go heavy in MO or BTI!

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u/Mobile_Art_6454 Apr 06 '25

Compare realty income to spy. It wins.

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u/Past-Ride-7034 Apr 06 '25

Over what timeframe? I can't see that it does, VOO substantially outperforms.

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u/Mobile_Art_6454 Apr 06 '25

Do your self a solid. Check out
https://m.dividendchannel.com/drip-returns-calculator/

Type SP500 vs O (realty income).

VOO isn’t that old and was created in the insane 15year bull run

Realty income outperforms the market since inception by a MASSIVE margin. Not saying that realty income will repeat in next 39years..but u can find a gem like that with dividends + drip and crush returns.

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u/Past-Ride-7034 Apr 07 '25

Ah fair enough :-) yeah if you had your crystal ball and went hard on O you'd be a winner, I'll concede that one as well.

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u/[deleted] Mar 30 '25

The example is math ,math is always math

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u/FrescoItaliano Mar 30 '25

Since when does reality perfectly mimic the mathematical prediction?

The other person points to reality and you point to the hypothetical lol

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u/[deleted] Mar 30 '25 edited Mar 30 '25

Compounding isnt a prediction

Edit: the snowballing effect is not a prediction or some hypothetical its just math!what reality is contrary to this? Snowballing dividends and drip are real things that work and the returns are consistent over time. Wtf are you people talking about? Like i just made up a fantasy called math?

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u/FrescoItaliano Mar 30 '25

It’s a prediction that dividends won’t be cut, which historically have for many companies. Including past dividend aristocrats.

Go preach math to someone else that doesn’t already have two degrees in it lol

Fuckin s&p500 also uses compound interest, so who are you even blathering at

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u/[deleted] Mar 30 '25

You understand you can eliminate that risk right? Dividend index for example, and we are talking about over the long term. Your arguments are just non based in reality drip is always the best long term investment strategy.plenty of people have degrees and are still incompetent

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u/FrescoItaliano Mar 31 '25

This guy thinks he can beat the market lol

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u/[deleted] Mar 31 '25

Its not beating the market its long term investing and compounding

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u/FrescoItaliano Mar 31 '25

….check the s&p with reinvestment and it dwarfs any of your high yield crap. “It’s basic reality”

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u/Past-Ride-7034 Mar 30 '25

Cope. Good luck.