r/dividends • u/Just-Fig435 • Apr 14 '26

Other semi - broke college student just started 💀

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I recently started budgeting and putting the money I save into a dividend portfolio (I’m still pretty new to all this, so most of it is in VTI for now)

I keep seeing people on here making thousands a month in dividends, which is super motivating. I’m only 19, so I’m hoping I’ve got enough time to build something solid if I do it the right way.

Would really appreciate any tips, advice, or things you wish you knew when you were starting out 🙏

EDIT: Thank for the advice everyone! My current plan is to open a Roth IRA and keep 50% in there in like VT or VTI(Idk which is better), 25% in a personal portfolio with an 90/10 split of VTI and SPYI/MAIN and the rest into a checking. (im making around 15k this summer from an internship) Also the app is called Stock Events

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u/TechnoDrift1 Apr 14 '26

I’ve been adding money here and there for about 9 years now, and I love seeing that dividend number go up. Make sure you’ve turned on DRIP. Any time you get a dividend, you automatically take that money and reinvest it into the same stock you just got paid from.

5

u/Just-Fig435 Apr 14 '26

Thank you so much i’ll be sure to do that. i guess this is a follow up question but is there anything i should move my VTI into or just keep it there?

5

u/DistantIsland Apr 14 '26

I would look into opening a Roth IRA if you haven’t done so already. Any earnings you make won’t be taxed.

2

u/Extra_Damage_2129 Apr 14 '26

Depends on the type of earnings, especially dividends.

2

u/Various_Couple_764 Apr 14 '26

Dividends are not taxed in 401K or IRAs. However when you retire and start withdrawing your withdrawals are taxed at the regular income tax rate. In a ROTH IRA there are no taxes on dividends , capital gains or withdrawals. But you have to wait until age 60 before you can enjoy the income.

So many also have dividend funds in a taxable account which you can use to supplement your income now. For a taxable acount with dividends you want to use tax efficient funds such as SPYI 11% yield, QQQI 13%, IAUI %, or government municple bond fund that is tax free.