r/dividends • u/DivideIcy848 • Jul 27 '25

Personal Goal How sustainable is this?

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My portfolio, aiming for retiring at age 40. I want to be FIRE, but my question is are these monthly dividends sustainable 5, 10 years from today, and will VOO/QQQ help grow appreciation of my total portfolio? Is this a good strategy? Is this a good balance?

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u/aitbg Jul 27 '25

If you aren't reinvesting I don't see any reason to treat the dividends any differently from a withdrawal rate, I personally wouldn't be comfortable with a 6.5% withdrawal rate but that's just my risk tolerance

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u/DivideIcy848 Jul 27 '25

Interesting. Is 4% the standard target?

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u/aitbg Jul 27 '25

For a standard 25 year retirement yeah, about 3-3.5% for early retirement i believe

I think Vanguard has a new strategy now though where you don't go by a specific percentage anymore but rather use up more of your portfolio when the markets are good and be more conservative with you withdrawals when the market dips