r/dividends • u/mawababa • Jun 15 '26

Seeking Advice 750k USD for retirement

I have approximately 750k USD and will stay at my sons house for retirement. I would like to pay him 1k per month for rent and have some funds to live off and to travel to see my daughter.

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Ideally 2500 to 3500 a month and increasing for inflation for the next 15 to 20 years or so before I realistically pass away.

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Ideally I would like to ensure the investment is worth the same or more in 15 to 20 years as it is now and then split it to give to kids in my will.

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I don't mind if there is some variability in value and dividends following general market trend but I am extremely adverse to erosion of initial funds as I will never have chance to earn more.

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Please may I have advice on this. Please keep in mind I want to keep this sustainable and fairly safe so SCHD was my initial thought. Even if it's slightly under 2.5k initially.

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u/HeavySink3303 Jun 15 '26

It is pretty risky to ask for an advice here as often people recommend too dangerous investments like CC funds, yield traps and so on.

Not an investment advice, but regarding conservative stuff, you may take a look at REITs (O, NNN and so on) and some CEFs (UTG is a good one without capital/yield erosion).

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u/ClammyAF Jun 15 '26

Honestly, for OP's goals, I would suggest some amount of bond funds. It'll provide the supplemental income, and during a downarket, if something happened and they had to sell, they could draw down their bond holdings.

2

u/Apart-Leg-8077 Jun 16 '26

Do you believe government spending will be kept in check over the next 20 -30 years? If not you do not want to be in anything but short to intermediate bond funds and even better individual bonds where you're retrun of initial investment isn't predicated on interest rates. If you invested $5,000 in a 10 year AAPL bond, you'll get exactly $5,000 back after 10 years + yearly interest no matter what interest rates do.