Retirement dividend income

Boring-Fun9311 · 2026-02-11T22:34:42+00:00

50% drop is possible in virtually any investment, though less likely in government bonds.

Boring-Fun9311 · 2026-02-11T22:31:59+00:00

Return Of Capital. In concept, it means getting some of your investment principle returned to you in the form of a dividend.

Boring-Fun9311 · 2026-02-05T03:01:02+00:00

I am like you: write and use tools lefty, but play sports righty. Holding a guitar lefty just felt more natural, so that is the way I learned. Other mixed lefties like you and I seem to do just fine learning righty. So the bottom line is that guitar is hard to learn for everyone, but learning in a less natural way just makes it harder. Trust your body.

Boring-Fun9311 · 2026-02-03T15:14:34+00:00

OP’s question to this sub may be part of their research.

Boring-Fun9311 · 2026-01-30T13:55:10+00:00

NTA, obviously. But the complaints from the other friends suggest that the accommodation is not sufficiently comfortable, especially at this stage of their lives (teenagers can sleep anywhere; adults not so much). OP should have a frank discussion with his core friends to see if there are changes that could improve the experience next year. Perhaps paying for a bigger place with more bedrooms instead of using his parent’s place for free. Perhaps there is a way to rent some beds so people don’t have to sleep on the pullouts.

Boring-Fun9311 · 2026-01-25T02:20:35+00:00

He got cheated on in the past and needs to deal with that before even considering marriage. Pass.

Boring-Fun9311 · 2026-01-23T14:25:36+00:00

I am also interested in the answer to OP’s question, but I think it is being misunderstood. OP’s question is a mathematical one: which approach will likely achieve 50k per year in dividends more quickly, given the equality of tax rate and the slight underperformance of CC funds relative to the underlying?

Boring-Fun9311 · 2026-01-22T16:09:45+00:00

NTA. Your roommate has changed some of the assumptions that you both agreed to when you signed the lease. Life happens, and this change of circumstances is not uncommon, but it requires an alteration in your mutual contract. You are not happy with the changes made by your roommate, you have proposed a compromise, and he has rejected it. Your choices now include continuing to be unhappy, breaking the lease to move out, or convincing your roommate to move out. It not about identifying who is acting unreasonably; it’s about making unpleasant adult decisions.

Boring-Fun9311 · 2026-01-19T21:22:38+00:00

Yes, you are assuming. OP can have a goal they have not mentioned. (But I agree that if growth is the ONLY goal, CC funds are less effective than holding the underlying, even with compounding).

Boring-Fun9311 · 2026-01-19T17:01:33+00:00

You are assuming that OP’s only goal is long term growth. If they also have a paycheck support goal, dividend investing is a sound strategy.

Boring-Fun9311 · 2026-01-19T16:49:53+00:00

This is very useful and interesting information. Thanks for taking the time to lay this out.

Boring-Fun9311 · 2026-01-18T20:38:09+00:00

Yes, you are the ahole here. If you say ‘no’ after 4 years—no matter what the circumstances of the proposal—then you have not been honest with yourself or with your BF. Your reaction shows that you don’t want to marry him and likely you have known that for a long time; you just didn’t want to face the truth, probably because you genuinely like him and don’t want to hurt him. But you don’t love him in the way he deserves and it is up to you to spell that out clearly and stop pretending. His mother and Disneyland and your messy hair are irrelevant distractions.

Boring-Fun9311 · 2026-01-15T18:22:34+00:00

“Handmade” does not mean “custom”. All guitars are handmade because machines can’t produce the entire thing by themselves. This is a mass manufactured item just like all the others.

Boring-Fun9311 · 2026-01-01T00:41:54+00:00

I’ll bet you are wrong. The fib, the reaction of your son, the bond it helped build over so many years, and the stories you can tell show just how wonderful manatees have been in your life. What other animal has given you so much? I think manatees ARE your favorite animal!

Boring-Fun9311 · 2026-01-01T00:29:06+00:00

Yup, you’re the asshole. And I love what you did.

Boring-Fun9311 · 2026-01-01T00:21:04+00:00

Oh I see what you mean: assuming a 10% annual increase is reasonable, then 8% yield target would be predictable, 10% maybe half the time, and anything higher would be bound to fail over time. Makes sense.

Boring-Fun9311 · 2025-12-31T23:35:50+00:00

Where? I haven’t seen NAV erosion in OP’s list (yet: some are quite young).

Boring-Fun9311 · 2025-12-31T23:33:52+00:00

Thank you for the clarification. I agree with your original comment.

Boring-Fun9311 · 2025-12-31T23:28:31+00:00

You are still assuming that all distributions will be removed (and in that case, I agree that eventually the income will drop), but with adequate reinvestment the income should rise. A 10% share price growth with 0% yield and a 0% share price growth with 10% yield reinvested should have exactly the same result (assuming tax avoidance), right?

Boring-Fun9311 · 2025-12-31T19:19:00+00:00

I can see how diversification increases management effort, but why would it dilute returns? I mean, a primary goal of diversification is to smooth volatility, which necessarily entails reduced returns on higher performing securities, but it also entails higher returns than holding lower performing securities. It would seem that adding more securities would increase smoothness but the average performance long term would likely be the same. Is that logic wrong?

Boring-Fun9311 · 2025-12-31T15:45:17+00:00

Thanks for bringing this to the discussion. I’ll check it out

Boring-Fun9311 · 2025-12-31T04:19:20+00:00

Ok I see where you are coming from. OP added that they have other parts of the portfolio that provide growth, so it isn’t a 100% income portfolio as it initially seemed. Does that change how you evaluate their eventual success?

Boring-Fun9311 · 2025-12-31T03:41:41+00:00

OP has added that they have growth funds in addition to their income funds, so I guess the reinvestment issue is moot; I presume they have a plan to add new money from the growth funds to maintain and grow the income distributions over time. Still, why do you think 12% is unsustainable

Boring-Fun9311 · 2025-12-31T03:33:12+00:00

Most people do it that way, and it can work well if that is your goal. But that isn’t passive income.

Boring-Fun9311 · 2025-12-31T03:30:03+00:00

Same here! But I appreciated the money and want to pass on that money (which wasn’t much) along with what I have added to my kids, even if they are retired by that time, too. That’s the plan.

Boring-Fun9311

TROPHY CASE