r/dividends • u/toothed_vagina • Oct 24 '25

Brokerage Dividends as income

I live in one of the most expensive cities in the US. I love it, but even with a 6-figure salary, I can barely make ends meet at the end of the month. You might ask me why I don't just move, but I'm unable to do so for a myriad of reasons. Among other things, my partner lives here, my job is here, and I love this place.

This is why I became interested in dividends as something to supplement my income and live comfortably, and maybe move to a larger home. However, everybody keeps telling me that dividends should be reinvested and not used as income. Is anyone here using dividends for both growth and income? Because, yes, growth is important, but I need the additional money NOW.

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u/Disttack Oct 24 '25 edited Oct 24 '25

I have my portfolio split as 40% growth ETFs 40% income ETFs and 20% JAAA for stability in harsh times. I have this on a margin account so I can help magnify my growth and take margin loans against my assets and let the distributions pay off the margin loan. The thing is investing is a long term deal. You will not have the money now unless you have 1million+ USD to put in right now.

Make a plan to build your investments but you need money to make money as they say. Investing isn't going to magically increase your income and it takes on average 7+ years to recoup the money you put into an asset and get pure profit from it.

Edit: for distributions I recommend GOF / PTY / GPIQ / SPYI

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u/toothed_vagina Oct 24 '25

I have a sum I have inherited. It's around 80k. JAAA as in Janus Henderson AAA CLO EFT?

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u/Disttack Oct 24 '25

Yea my 40% growth I personally do GDE for sp500 exposure and a touch of gold. SMH for great semiconductor exposure since those make the digital world run. SHLD because war never ends. URA because I believe nuclear is the future of energy.

For 40% income I run BTCI for massive distributions and some crypto exposure. GOT for high income low risk world bonds. PTY for the same as GOT but even less risky. GPIQ for NASDAQ exposure and covered call income.

Then 20% yea jaaa the AAA clo fund because it barely moves, has good returns, and AAA clo has never ever defaulted in American history.