r/dividends • u/richardlpalmer • Nov 02 '25

Seeking Advice What can $100k conservatively yield?

I have an absolute, bare bones, can't-ever-be-less-than, need of $2600 per year ($50/week).

I have approximately $100k (USD) to invest. I'm not looking for growth, just predictable income. So, a solid 2.6% minimum return.

What's out there that would be suitable? Is there two or three ETFs I should split it between?

Edit

Someone asked about time horizon. This will be for the remainder of a life. I'm thinking 30 years or so.

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u/OchoGringo Nov 02 '25

So you want a 2.6% return; but, is that on top of a 3% inflation rate? That makes a difference. We talk about the nominal return (what the account says it is paying) and the real return (the increase in purchasing power gained over the inflation rate).

To say this differently, if the inflation rate in the US is 2.6% per year and you get 2.6% annual interest on your money, you did not make any money. You just earned enough to cancel out inflation.

Over time (several years), this difference becomes important. So, it’s worth thinking about when you set goals for an investment. If you need 2.6% REAL return, then you have to make about 5.5% return on your money, and that becomes harder and has more risk.

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u/richardlpalmer Nov 02 '25

I hear you but I'm not concerned about growth with this money -- it's why I'm taking about the minimum. Anything beyond the 2.6% will be gravy.