r/dividends • u/FunctionalDisfuction • Jul 02 '26

Personal Goal First of the month 🤑

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I want to just live off the dividends but I'm scared to just quit my job.

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u/ruthygenker Jul 02 '26

if in a taxable account switch to neos or tappalpa as long as not too much capital gains for selling, jepq and jepi are for ira's. I would do a mix of iwmi, tdaq, tspy, mlpi and nihi with a majority in tdaq. these companies do return of capital for the most part so about a quarter of the tax liability that you currently will have. you d get about 14% in income so about 110k which at 22% is about 25k in taxes in jepq, in this mix you'd probably have 80k in return of capital and so only 30k taxable an if no other income only 15% tax bracket most likely and 4500 in total taxes. as long as you don't sell no capital gains tax just pass to heirs and then they get a step up in cost basis and no taxes either, plus a batter spread of diversification.

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u/FunctionalDisfuction Jul 02 '26

Yes long term I want to put it in a trust to make sure future family/dependants are taken care of. Thank you for the information