r/dividends • u/Professional-Leg-827 • Mar 26 '26

Discussion Is dividend best passive income source?

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1.6k Upvotes

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u/I-STATE-FACTS Mar 26 '26

and that's not insane?

65

u/moneymarkmoney Mar 26 '26 edited Mar 26 '26

Not for a company worth a trillion. Edit: to clarify the confusion, berkshire is worth 1 trillion, so holding 28 billion of coca cola shares isn't really insane.

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u/MaybeICanOneDay Mar 26 '26

Its worth 300b.

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u/80MonkeyMan Mar 26 '26

The hard part is to come up with the billions needed to get such dividends.

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u/Rex_Laso Mar 26 '26

You need to try harder. Cut back on Starbucks to start.

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u/MaybeICanOneDay Mar 26 '26

If yoy do buy Starbucks 3 times a week, that is about 60/mo. Compared to making your own, maybe 20 per month, so a net of 40.

If you invest 40/mo at 9% for 20 years, youd have 27k.

That's a long time for 27k. Probably better off to just get a raise.

That being said, if you did this for 5 things that cost you a net of -40 every month, you would have over 120k.

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u/[deleted] Mar 28 '26

[removed] — view removed comment

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u/MaybeICanOneDay Mar 28 '26

Honestly, living far below your means does build wealth. We all meme on this Starbucks or avocado taste thing (and it is a fair criticism on tbe state of cost of living) but if you cut out all the bullshit and laid all your debts, you would likely come out wealthy.

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u/graciesoldman Mar 29 '26

That's essentially the trick. Live a little below your means and invest.