I’m not saying it’ll replace a six-figure salary, but let’s do some quick math. SCHD currently yields around 3.5-4%. If you’ve got $50,000 invested, you’re looking at roughly $1,750 to $2,000 per year in dividends, give or take. That’s about $150-170 a month.
At the current price today $82.71 you could buy 604 shares with $50k. Dividend income would be $497.75 so roughly $1991 per year or $165 per month. I won't be living well on $165 per month.
You're thinking too small and missing the bigger picture here. You need to understand the power of compounding. It's like a snowball-barely anything in the beginning, but once it starts rolling, it grows like crazy. Sure, $165 a month won’t change your life right now. But that’s the starting point, not the finish line. Those dividends? They’re not just cash-they’re the seeds you plant and reinvest. This isn’t about getting rich overnight; it’s about setting yourself up for growth down the road. Compound that dividend, and let it snowball into something way bigger than you ever thought possible. That’s the real game.
Great catch! But let's clear this up: the word 'will' is all about the future. It doesn't mean 'right now,' it means what can happen if you start today and stay consistent. The title's a promise for what's possible, not a guarantee of instant results. Keep that mindset, and the future's yours! 😉
This dude is so full of crap. Per the title there is no mention of time, age, cost of living, etc. I'd like to know how at 57 years old SCHD is ever going to pay me more than QTDE let alone replace a job income.. 50k of SCHD=165 a month, 50k of QDTE = 1571 a month. Splain how I'm better off with SCHD. Why retire in 30 years when you can retire in 4 years? 4 years? Yes 4 years and thats after figuring in 25% taxes.
Im 23 years away from 65 and after 2.5 years of building SCHD I currently have 1030 shares. I would feel comfortable at 3k share but getting another 2k shares is no easy feats since I’m more focused on in growth now for SCHD is no longer in the 60’s bucks. I would grab 500 shares the next black swan or bear market scenario! once 3k shares achieved, I would stop put money into SCHD and just drip dividend til 65 year old.
At your age you should be in a low fee index total stock fund. It will grow much faster. At retirement dividends may work as part of a your investment portfolio. Dividends are NOT free money, the fund price declines with each dividend payment.
One of my favorite ETFs. Not quite at $50,000 yet but getting very close and buying 1 share per week. Should be there in two years or so unless I accelerate.
Absolutely. It’s all about putting enough cash to work for you. If a stock like JEPQ is paying a 10% dividend, you’d need $500K invested to generate $50K per year. It’s simple math-scale your investments, and the income scales with it.
@JerryRomineStocks What's the risk factor though? SCHD seems like a safer option but other dividends seem like it might not last many years. (Assuming)
Your analysis is SPOT ON …. Only hoping that the economy stays good all those years but still worth a try. I am going to set this up with my son as the beneficiary and let it roll on over the years. Thank You!
Here’s the deal-uncertainty is the norm. Most people freak out because they don’t have a plan, but that’s not an excuse to sit on your hands. The key is having a strategy that thrives in any market. Can you recommend a better plan or strategy?
I will invest 200k this month and add about $1000 a month, I am currently 43 years old, retired from military with retirement pay 10k a month and still currently working for the government with TSP account of 150k that I can also take out when I am 59.5 years old. Mortgage is also paid off now I am just trying to get into ETF and last time I was in Mutual Fund back in 2008 and stopped due to the market crash.
$120k a year from military retirement? Please explain, I would like to share this with my nephew who will graduate from HS next year. Ty for your service 👊🏽
Question about dividend taxes. I'm in a high tax bracket ($300k+ a year). I want to invest a decent portion ($100k cash now, plus about $20-30k a year) in SCHD and reinvest all of the dividend, but it looks like I get taxed on the dividend. Wouldn't I be better off to invest in VOO or something else for now, and when I retire in 20 years shift over to SCHD and cash out on the dividend then? Thanks
Since you’re in a high tax bracket, reinvesting dividends from SCHD is going to hit you with taxes every year, even though you’re not touching that money. So, if you want to minimize your tax burden now, you’re better off sticking with something like VOO, which focuses on growth over dividends. That way, you only get taxed when you sell, not every year. Then, when you retire and your tax bracket is lower, switch to something like SCHD to cash in on those dividends. It’s all about maximizing tax efficiency and growing your wealth over time. Of course I'm not an advisor and just sharing my thoughts. 😉
Man I love your channel, I’ve managed to put 38,700 dollars into my portfolio in 4 months, if I can get a 12% return year over year, and continue to invest at this same rate I’ll have a million dollars in 5 and a half years , I’ll be 32 years old , I hope I can do it!! My biggest position is Nvidia , I actually only hold 2 positions, Nvidia and voo, I’m strongly considering going all in on Nvidia or taking my position out of voo and putting it into pltr
In a Roth IRA most will build the amount with an annual contribution. But, you can talk to your CPA to see if it makes sense for you to do what is called a "Back Door Roth IRA".
Thanks. 👍 Any thoughts on AVGO? It dropped on earnings and all of the semiconductor stuff is down. An NVDA and AVGO buying opportunity today and prior to upcoming cuts?
Especially when all indicators are screaming recession, not just a pullback but an honest to god recession. I'll be dead before I could retire off schd. I play in HIGH yield income etf's currently pulling +/- $1300.00 a month on 20k invested and buying back in with every cent. The only thing I drip is QDTE, DIVs from the rest I save as dry powder for red days to buy back into what's paying the best. Am I a yield chaser? You Bet! Life's to short to pull your dink waiting for the future. Seize the day tomorrow may never come. Good luck boys and girls I'm done here.
Buy PBR A instead. Petrobras preferred shares are paying a current dividend of 18.68%. With $50,000 you could purchase 3,825 shares giving you an annual dividend income of $9,340. A quarterly income of $2,335 and a monthly income of $778.33. Now thats a dividend stock worth its weight in gold. This figure also doesn't include ex dividends which can be quite large.
I like the content overall here, but you need to slow down with the "these estimates are based on actual historical data". No that is not true. You are taking SCHDs 13 year performance, and extrapolating to 30 years and claiming it is SCHDs 30 year performance. We have no idea what SCHDs 30 year performance looks like.
Hey, appreciate the feedback! Let’s get one thing straight-when I say estimates are based on historical data, I’m talking about exactly that: estimates. We’re not pretending SCHD has a 30-year track record; we’re using the past 13 years as a benchmark. It’s about making educated guesses, not wild promises. No one’s got a crystal ball, but historical data is the best shot we’ve got at setting expectations. So yeah, it’s an estimate, and that’s all it needs to be. Thanks for keeping us on our toes!
Great video! Could you please do a video on IQQQ? Seems like IQQQ has a way higher yield and return. So I wonder what a 10K initial investment + $200 a month would look like in 10, 15, 20, 30 years?
Look, I get where you're coming from. At 23, your biggest asset is time, and yeah, growth stocks can make sense. But here's the deal: investing isn’t one-size-fits-all. The Roth IRA is a tool for tax-free growth, and whether you fill it with SCHD, SCHG, or SPLG depends on your game plan. You don’t invest just because someone told you what worked for them. You invest based on where you want to be in 10, 20, or 30 years. SCHD might be counterproductive if you're chasing high growth, but if it fits into a diversified strategy that balances risk and return, then it's not a bad move. At the end of the day, it’s not about picking the 'right' stock-it's about having a strategy that aligns with your goals and sticking to it. So, instead of following a blanket statement, ask yourself: what’s the outcome I want, and how does this choice get me closer? Then, execute relentlessly. That’s how you win.
I’m rolling over a 401k to my traditional IRA and I’m thinking of putting all 215k into schd. I’m going back and forth between 50 percent schd and 50 percent schg or 100 percent schd.
SCHD NAV since inception is 13.39%(annualized) and that doesn't include the dividends. So in this case 💯%. Don't trust me? Check it out from the source. www.schwabassetmanagement.com/products/schd
Investing for dividends is like rolling a snowball downhill. At first, it’s small, slow, and doesn’t seem like much. But as it rolls, it picks up speed, gaining size and momentum-until one day, it's massive. That’s how dividend investing works. Early on, it might seem underwhelming, but give it time and let compounding do its job, and you’ll see the real power. Let’s say you’re five years from retirement and want to live off those dividends. Simple-plug your numbers into the MarketBeat dividend calculator. Check what your returns could look like in five years. If the numbers excite you, it’s worth pursuing. If they don’t, you’ve got your answer. Either way, you’ll know what path to take.
Hi Jerry, that is great information & much appreciated for my kids & grand kids. However what strategy do you recommend for someone in their 60"s with 10-15 years hopefully more time frame. Thanks in advance for all your great finnancial info.
Hey, you’re welcome! I hear this question all the time, so here’s my take: I’m planning to live to 100, and you should too. Even if you’re 65, that’s still 35 years to play the game. If you make it, great-you’ll have built a solid nest egg for your family. And if you kick the bucket early? No harm, no foul. The way I see it, you’ve got every reason to stack that wealth like you’ll hit 100 and enjoy the ride while you’re at it. Plan for the long game, live for today, and let the compounding do its thing.
The calculation could help more folks if you use a Tax rate of 21%-24%. More folks doing such research are in that bracket and it would make it more realistic. All told, it’s a great video!
It's that good but you should not have just 1 etf. It's should be a core holding like a mix of spy, qqq and schd. Personally, I treat my schd as my bond holding. It's actually safer than bond. That's just crazy. Take a look at the long term bond tlt.
My concern is whether I can continue to sustain my standard of living with $550k and avoid outliving my savings. Every withdrawal makes me a bit unsettled
Totally hear you on that! Starting earlier definitely gives a huge advantage, but here’s the good news-it's never too late to start making smart financial moves. The key now is maximizing what you have, being strategic with withdrawals, and making your investments work for you. There are ways to structure your portfolio for steady income while preserving your capital, like focusing on dividend stocks or ETFs like SCHD that can provide passive income without depleting your principal as quickly. And remember, it’s all about sustainability, not just growth. Keep learning and adjusting as you go-it’s a journey, and every step forward counts. Appreciate your openness, and know that you're not alone in this!
SCHD and JEPQ might sound like just another set of tickers, but they play two completely different games. SCHD is your classic dividend hero-it’s all about reliable, high-quality U.S. companies that pay consistent dividends, making it great for stability and income. Think of it as your steady performer that’s built to weather storms. On the flip side, JEPQ is like the high-stakes, high-reward player that uses a covered call strategy on the Nasdaq 100. It's more aggressive, offering high income potential but with higher risk and volatility. So, if you’re looking for smooth and steady cash flow, SCHD is your guy. If you’re up for a little more action and the potential for big returns, JEPQ’s the one you want. The real question is: are you playing it safe, or are you swinging for the fences? I own both. 😉
Hello, thanks for the information. If one want to put 50k into market like JEPI and VOO and SCHD. What account should I open. Roth is only limited to 6k yr. What should I do?
If you're looking to invest $50k in funds like JEPI, VOO, and SCHD but are limited by the $6,500/year Roth IRA cap, consider opening a taxable brokerage account for the bulk of your investment. This account has no contribution limits, though you'll pay taxes on dividends and capital gains.
This video gives such a simple explanation without considering inflation, growth rate. It does not need 14 odd minutes to explain! I wasted my 14 minutes. Take care.
Just discovered your channel with this video. I already own shares of NVDA and MST. I'll also add AVAV to my portfolio. But I'd like suggestions on long-term opportunities to explore that could make solid additions to my $250k portfolio for stable cashflow.
As long as the growth of SCHD (or other divident stocks) consistently beats the inflation rates, your money WILL increase with this method. EXPONENTIALLY faster if you reinvest the profits back into the same stock rather than pull it out and spend it. If it grows about 8% per year... 8 × $10,000 is a greater number than 8% × $5,000, so the more money you put in, obviously you start at a higher return, but it ALSO means, you grow significantly faster as well. (i.e. if inflation is at 5% but my investment is growing at 9%, my money is growing faster than the economy by 4% at that time.) My stocks are growing at an average rate of about 20%, but that's because I'm in some more risky *short-term* stocks at the moment, which i'm okay with risking in my 20's. The inflation rate back in 2022 averaged about 8% when the average over the last 10 years has been closer to 3%. I grew about 14% that year, which means i had an increase in my income for 2022 just from my stocks. I also had a 9-5 job at the time so i had income from that as well.
If someone has already built up a substantial nest egg by investing in VOO, and is ready to retire, would it be safer for them to just transfer those assets to SCHD and live off and depend on the income in retirement? Or, should they just keep the nest egg invested in VOO. Looking for income with principal protection and less volatility at this point. Or, should they just divide the portfolio 50/50 into both?
Look, the goal in retirement isn't to make a killing-it's to avoid getting killed. If you've already built up a big nest egg with VOO, that's great, but now it's about preservation and income. Here's the deal: VOO is growth-focused, low dividends, high volatility. Not exactly ideal when you’re looking to live off your portfolio. Switching to SCHD gives you more cash flow, which is key if you’re looking for income, but it's not without risk. So, what's the play? You hedge. Go 50/50. This way, you're keeping some skin in the growth game with VOO but also tapping into the consistent dividends from SCHD. It’s like having a safety net and a launchpad. You get the best of both worlds-steady income, less volatility, and you’re not overexposed to one approach. And remember, in retirement, it's about playing defense as much as offense. Balance is your best friend here. So, split it, sleep easy, and keep that nest egg working smart for you. * I am not a financial advisor and am just sharing my thoughts.
Just start. I have a few links in the description that give you a few free stocks but more importantly is that you take the first step. If you are really new to stocks Robinhood is nice because they have a user friendly platform.
Thanks for sharing your knowledge … So if I invest $50,000 this month September … From October next month how much will I get every month .. Approximately ..Please need all to answer my question . Thanks in Advance 🙏
Will Schwab be around in even 20 years? My brokerage account has switched hands 3 times in 20 years and each of those merged or went under. Some of us have been around long enough to see some things.
Most people have it in taxable accounts and you saw the forecasted results in the video based on the historical performance. Regular accounts are fine and IMHO tax advantaged accounts are better, at least for me.
Portfolio turnover is about 27% due to annual rebalancing so there will likely be capital gains short and long term, but I don't know if ETF structure reduces this tax liability. I have it in our Roths. I would have lower turnover investments in a taxable brokerage like voo or QQQ or individual stocks, but that's what I would do.
I like that this calculation is off of one initial 50k investment. I don't like that I don't have 50k and it's not likely that I'll be alive in 30 years, lol
this will help someone if 18 or younger and starting to invest not someone who is around 50 or so and it only pays quarterly you would still have to work your next 30 to 40 years before you can retire off of
Here’s the real question: how long are you planning to live, and do you have money you can let sit and compound over time? Now, I’m not saying SCHD is the end-all-be-all, but honestly-do you have a better plan? If you do, great. If not, maybe it's time to start thinking long-term and letting your money work for you.
Have you been saving or no? Since you are older and have a chunk of cash already you can deploy it into anything you want. If you don’t have a chunk of cash saved then now is the time to start saving.
You’ve got a few plays here: Option 1, you might already have 50K sitting in your Roth IRA. Option 2, the backdoor Roth IRA-ask your CPA about that one. And Option 3, the Roth 401K. Here’s the deal: you can add $30,500 a year-$23,000 standard, plus a $7,500 "catch-up" if you’re over 50. So, take a wild guess how much I’m maxing out in my Roth 401K? You know I’m all in!
The catch-up is $8000 this year... Also, if you reinvest the dividends it should take a little less time... last but not least, remember that the $$ you contribute to the Roth has to be earned income. So, if you're in your 50s most likely you don't have 30 years to contribute... and you'll need to start withdrawing in 15 years or so...
Best bet is to have a planning session with your CPA to see what's best for you. I'm blessed and have a great CPA and he runs different scenarios and tells me where contributions make the most sense based on my financials.
I would expect the buying power of the dollar to drop by at lease half in 30 years. But even with that said you still make out really good and grows way faster than inflation.
That would not surprise me either. Unfortunately there is nothing we can do about inflation of the buying power of the dollar. But, we can control our investments and we should be able to stay ahead.
Fidelity allows me to do both. I have 16% taken from my paycheck, plus company match, and transferred to a brokerage link account, where I am able to purchase shares of SCHD every week.
I’m wondering if there might be better dividend growth funds that provide more than just 3 1/2% per year it isn’t even give what you get in the money market fund
For ETFs, the dividend yield you see is what you get-it’s net of fees. That means the management expense ratio (MER) and any other fees the fund charges are already baked into the yield. So when you’re checking that yield, you’re looking at your actual take-home, no need to subtract anything extra.
I'm new to this, so let me make sure I understand. The numbers look good, but are they keeping up with inflation? Everything in the future is going to cost more, so while the numbers are accurate, it's important to keep things in perspective. Right?
Alright, so here’s the deal. SCHD looks good on paper-solid dividends, great returns-but you’re right to ask if it keeps pace with inflation. Here’s why that matters. Every dollar you have today loses buying power over time. Inflation is a silent tax that eats away at your gains if you’re not factoring it in. So, if the growth of your investments doesn’t outpace inflation, you’re technically going backward, not forward. But here’s the kicker: it’s not just about beating inflation, it’s about compounding and the power of time. Let’s say you’re growing your SCHD holdings for 30 years. That compounding is the secret sauce that takes modest returns and turns them into life-changing money, especially if you’re reinvesting dividends. Eventually, you’ll have an account big enough that you can live off just 4% a year-the “4% rule”-without ever touching the principal. That’s how you make SCHD work for you, inflation and all.
Total return should be your goal. VTI beats SCHD. Total return since inception (11/2011) with a $50K investment------ VTI: $2,726,564 SCHD: $2,457,682. Dividends are NOT free money. (Nothing special about VTI, any low fee, total market index EFT will yield similar results).
Talk to your CPA and see if a “backdoor Roth IRA” makes sense for you. And if you’re self-employed, don’t sleep on the Roth 401K option-you might be able to stack both.
The S&P historical return is ~11% yearly. Schd is showing around 13% so actually Schd is better. Combine with the dividends Schd would yield better growth. But I do 50/50 in both. Very diverse and only 8% crossover.
According to the fund profiles, total returns are as follows - SCHD 3 year: 6.54%, VOO 9.33. 5 year: SCHD 13.60 VOO 15.89. 10 year: SCHD 11.59, VOO 12.94. Lifetime: SCHD 13.36, VOO 14.52. A combo would be better than putting everything into one single profile fund.
You are using the last 13 years to estimate a 13% annualized stock price appreciation, but this was perhaps one of the best bull markets in history over the last 13 years. It is unrealistic to use that expectation to forecast stock price appreciation over the next 30 years.
I get where you’re coming from-thinking the last 13 years were exceptional, and they were. But here's the thing: using historical data isn’t perfect, but it's the best shot we've got at making educated decisions without just guessing. We can’t predict the future, but the alternative is pulling numbers out of thin air. Historical trends give us a framework; they’re not a guarantee, but they’re better than flying blind. It’s about playing the odds, not trying to be a fortune teller.
What if some of the stock companies inside the fund decrease their dividend or eliminate their dividends completely over time, will SCHD still able to payout the 3.42% dividend every year?
Let’s be real-nothing is guaranteed, but these numbers are all based on historical performance. SCHD constantly adjusts its holdings, and that’s the whole point of buying an ETF like this-it’s professionally managed, so you don’t have to worry about picking stocks or tweaking your portfolio. They do the heavy lifting for you.
Let’s keep it real-comparing SCHD to the S&P 500 is like comparing apples to oranges. Different tools, different risks, different plays. The S&P 500 is higher risk, riding the ups and downs of the entire market, and that’s where your big gains-or big losses-come in. SCHD? It’s the steady Eddie. Lower risk, solid dividends, built for stability. It’s not designed to crush the S&P 500, and that’s okay. They serve different purposes. So, stack your SCHD, enjoy the ride, and let the S&P 500 do its thing. Different tools for different goals.
*This channel must be meant for people over 40. Those of us in our mid 20s do not have $50k laying around. I'm sure this is sound financial advice but the message is targeted (not for all)*
"Since inception" is pretty much at the start of the biggest bull run...Yeah lets use those numbers and assume the same growth in the next 10 years lol.. good luck
This all checks out. However, what will the buying power of $78k/year be 30 years from now? Certainly not something that people can plan to live off of; it will take a LOT more than $50,000 to ever "beat your full time job". I'm not shitting on the idea (I'm buying SCHD myself), but the title/premise of the video is very misleading.
$50k in SCHD beats a full-time income? It would have to pay 400% dividends annually. It’s a fine part (perhaps 25%) of a balanced portfolio but it ain’t replacing any income anytime soon.
Let’s clear this up: the title says 'will' because it's based on historical data projections. That’s the whole point-using past performance to guide future expectations. Yes, we all know SCHD is a solid addition to a portfolio, but here’s the kicker: past data helps us understand why it could continue to be a winner. It’s not about hype; it’s about informed decisions backed by numbers. So, if you’re brushing it off because of a title, you’re missing the bigger picture. This isn’t just opinion-it’s data-driven insight and projections.
That's nonsense, and honestly, it’s not likely to happen. But let’s say it did-there’d be loopholes, no doubt. Politicians are pros at writing themselves, and friends, a free pass or finding the back door. And hey, if they’re going to tax unrealized gains, then we should absolutely be cashing in on tax breaks for unrealized losses too. It’s got to cut both ways.
You're missing something very important to consider, which is INFLATION. If you're living off 50K per year today, how much would you need to live the same quality of life in 30 years and then how much would you need to invest on SCHD to achieve that goal.
You’re missing the big picture here-the total balance and how it’s grown over time, plus you’ve got options like the 4% rule. Look, inflation is one of those things we can’t control, but what we can control is our investing strategy. Don’t like the SCHD example? Fine, but the real question is, do you have a better play? If you’re going to criticize, bring something stronger to the table. What’s your plan that beats this? Let’s hear it.
today median class salary is around 70k, and for a 50k per year its below middle class. so 30 years later and having 50k salary you are consider poor... lol
@@JerryRomineStocks $50,000 now equals $162,169.88 after 30 years in purchasing power with an average inflation rate of 4%. Figured with a Forward Flat Rate Inflation Calculator.
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Good stuff. I've owned SCHD for 6 years now. I started buying at $49 per share.
Great job!
We need it back to that price.
@@killersentra Nooooo! Only up, up, and away.
@@killersentraIt will be that price in two weeks
@TomScott__ LOL! Yeah, buying the dip would still mean we bit a good amount of 💵 at this point, haha!
I’m not saying it’ll replace a six-figure salary, but let’s do some quick math. SCHD currently yields around 3.5-4%. If you’ve got $50,000 invested, you’re looking at roughly $1,750 to $2,000 per year in dividends, give or take. That’s about $150-170 a month.
At the current price today $82.71 you could buy 604 shares with $50k. Dividend income would be $497.75 so roughly $1991 per year or $165 per month. I won't be living well on $165 per month.
You're thinking too small and missing the bigger picture here. You need to understand the power of compounding. It's like a snowball-barely anything in the beginning, but once it starts rolling, it grows like crazy.
Sure, $165 a month won’t change your life right now. But that’s the starting point, not the finish line. Those dividends? They’re not just cash-they’re the seeds you plant and reinvest.
This isn’t about getting rich overnight; it’s about setting yourself up for growth down the road. Compound that dividend, and let it snowball into something way bigger than you ever thought possible. That’s the real game.
I understand the compounding part, but the title of this video doesn't say it will beat your job in 30 years, it makes it look like it means now. 😊
Great catch! But let's clear this up: the word 'will' is all about the future. It doesn't mean 'right now,' it means what can happen if you start today and stay consistent. The title's a promise for what's possible, not a guarantee of instant results. Keep that mindset, and the future's yours! 😉
This dude is so full of crap. Per the title there is no mention of time, age, cost of living, etc. I'd like to know how at 57 years old SCHD is ever going to pay me more than QTDE let alone replace a job income.. 50k of SCHD=165 a month, 50k of QDTE = 1571 a month. Splain how I'm better off with SCHD. Why retire in 30 years when you can retire in 4 years? 4 years? Yes 4 years and thats after figuring in 25% taxes.
Im 23 years away from 65 and after 2.5 years of building SCHD I currently have 1030 shares. I would feel comfortable at 3k share but getting another 2k shares is no easy feats since I’m more focused on in growth now for SCHD is no longer in the 60’s bucks. I would grab 500 shares the next black swan or bear market scenario! once 3k shares achieved, I would stop put money into SCHD and just drip dividend til 65 year old.
In the calculations, a share price appreciation of 13% does not seem realistic. That's higher than the total return has been over the last 10 years.
not only that but the dividend yield also increases on top of that so add 11% to the 13% :)
good luck having 14% compound growth for 30 years
I adjusted my own calculation down to 7% for price appreciation. Still respectable.
@@cashonly2539 who cares?
13.28% share price appreciation is way too high. It hasn’t even broke 7% over the past 3 years..
true however 7% would be still acceptable for me
I absolutely love SCHD i add to it every mo. i plan to live off the dividends alone from SCHD in 20 years and never sell a share.
Nice. I hope you reach your goals.
same here!
At your age you should be in a low fee index total stock fund. It will grow much faster. At retirement dividends may work as part of a your investment portfolio. Dividends are NOT free money, the fund price declines with each dividend payment.
@@RedKnuckles-w2x the fund price or balance?
@@uselessvideo the fund price
One of my favorite ETFs. Not quite at $50,000 yet but getting very close and buying 1 share per week. Should be there in two years or so unless I accelerate.
Congratulations!
so at the current price 84 dollars a share, and it will only takes you roughly 11.5 years to get 595 shares (aka 50k dollars worth). GL
@unclelong213 share price is likely to increase 6-7% per year. Plus this only represents 6% of my portfolio.
Is there a way to get 50k in dividends per year within the next 5 years?
Absolutely. It’s all about putting enough cash to work for you. If a stock like JEPQ is paying a 10% dividend, you’d need $500K invested to generate $50K per year. It’s simple math-scale your investments, and the income scales with it.
@JerryRomineStocks What's the risk factor though? SCHD seems like a safer option but other dividends seem like it might not last many years. (Assuming)
SCHD is safer and lower risk. It's all about finding a stock or ETF that you believe in and your risk tolerance.
Your analysis is SPOT ON …. Only hoping that the economy stays good all those years but still worth a try. I am going to set this up with my son as the beneficiary and let it roll on over the years. Thank You!
You're welcome @LukeGeorge-n6g! 🙏
Definitely SCHD. A good Schwab product.
SCHD is a proven steady winner and you know what you are getting.
In order of preference: SCHD or JEPQ?
JEPQ or any other income fund, and take some of your income returns to buy SCHD or whatever else. I also like CGGR and SCHG.
This is great advice for a 20something with a decent job in a world with no uncertainty .
Here’s the deal-uncertainty is the norm. Most people freak out because they don’t have a plan, but that’s not an excuse to sit on your hands. The key is having a strategy that thrives in any market. Can you recommend a better plan or strategy?
@@JerryRomineStocks BTC
I will invest 200k this month and add about $1000 a month, I am currently 43 years old, retired from military with retirement pay 10k a month and still currently working for the government with TSP account of 150k that I can also take out when I am 59.5 years old. Mortgage is also paid off now I am just trying to get into ETF and last time I was in Mutual Fund back in 2008 and stopped due to the market crash.
$120k a year from military retirement? Please explain, I would like to share this with my nephew who will graduate from HS next year. Ty for your service 👊🏽
@@juliocs5483 an high ranking officer
@@juliocs5483He said he is still working
@@ilocanodetoy2225 🫡 trying to retirement just like you!
Question about dividend taxes. I'm in a high tax bracket ($300k+ a year). I want to invest a decent portion ($100k cash now, plus about $20-30k a year) in SCHD and reinvest all of the dividend, but it looks like I get taxed on the dividend. Wouldn't I be better off to invest in VOO or something else for now, and when I retire in 20 years shift over to SCHD and cash out on the dividend then? Thanks
Since you’re in a high tax bracket, reinvesting dividends from SCHD is going to hit you with taxes every year, even though you’re not touching that money. So, if you want to minimize your tax burden now, you’re better off sticking with something like VOO, which focuses on growth over dividends. That way, you only get taxed when you sell, not every year. Then, when you retire and your tax bracket is lower, switch to something like SCHD to cash in on those dividends. It’s all about maximizing tax efficiency and growing your wealth over time. Of course I'm not an advisor and just sharing my thoughts. 😉
@@JerryRomineStocks Very good, thank you for the answer. Much appreciated!
In your opinion, would be best to buy now or wait for the split?
In the big picture I doubt it will matter much. I recently bought if that helps.
Great question. Heard the announcement today about the split coming up❤
Man I love your channel, I’ve managed to put 38,700 dollars into my portfolio in 4 months, if I can get a 12% return year over year, and continue to invest at this same rate I’ll have a million dollars in 5 and a half years , I’ll be 32 years old , I hope I can do it!! My biggest position is Nvidia , I actually only hold 2 positions, Nvidia and voo, I’m strongly considering going all in on Nvidia or taking my position out of voo and putting it into pltr
I love to hear stories like yours from the younger generation, smart person , keep it up!
Youre 26-27, and had $38,000 of disposable income within 4 months of paychecks? ... sigh...
Would it be better to invest in JEPI?
@@bukursglass6990 Nice. I have 180 shares of NVIDA with an average cost per share of $15.00. It's one of my favorites.
Becareful putting all your eggs in one basket or one company
Thanks Jerry, love your content and your channel. And love me some SCHD.
Much appreciated! Thanks Dony!
Just curious, how would you contribute an initial deposit of 50k into a Roth account?
In a Roth IRA most will build the amount with an annual contribution. But, you can talk to your CPA to see if it makes sense for you to do what is called a "Back Door Roth IRA".
What’s your thoughts on XDTE and QDTE?
My thoughts: yes
Chart on xdte looks terrible
Thanks. 👍 Any thoughts on AVGO? It dropped on earnings and all of the semiconductor stuff is down. An NVDA and AVGO buying opportunity today and prior to upcoming cuts?
For the last 13yrs, we're in a raging bull market. To say this fund will yield 13% per year in the next 30yrs seems way too optimistic.
Amen
Especially when all indicators are screaming recession, not just a pullback but an honest to god recession. I'll be dead before I could retire off schd.
I play in HIGH yield income etf's currently pulling +/- $1300.00 a month on 20k invested and buying back in with every cent. The only thing I drip is QDTE, DIVs from the rest I save as dry powder for red days to buy back into what's paying the best.
Am I a yield chaser? You Bet! Life's to short to pull your dink waiting for the future. Seize the day tomorrow may never come.
Good luck boys and girls I'm done here.
@@pjscafe I agree
Buy PBR A instead. Petrobras preferred shares are paying a current dividend of 18.68%. With $50,000 you could purchase 3,825 shares giving you an annual dividend income of $9,340. A quarterly income of $2,335 and a monthly income of $778.33. Now thats a dividend stock worth its weight in gold. This figure also doesn't include ex dividends which can be quite large.
A very strong dividend but the stock has been down 9% in the last 6 months. One to watch.
@@JerryRomineStocks that makes it an even stronger buy in my opinion. I own alot of shares
Nothing wrong with doubling down on a high conviction stock.
Hi Jerry
Would like to receive about $2500-3k a month in dividends.
Is this possible?
Cant pay a dividend that high for very long. PRB appreciation is far below VTI with a Standard Deviation of 67%. No thanks
Great video 💯. Thanks for using actual numbers
You're welcome @lc2sasuke! 🙏
Great Video! SCHD Growth Div. ETF is in my S.D.-ROTH IRA!!
Nice. I plan on buying more in my retirement accounts. 🙂
I like the content overall here, but you need to slow down with the "these estimates are based on actual historical data". No that is not true.
You are taking SCHDs 13 year performance, and extrapolating to 30 years and claiming it is SCHDs 30 year performance. We have no idea what SCHDs 30 year performance looks like.
Hey, appreciate the feedback! Let’s get one thing straight-when I say estimates are based on historical data, I’m talking about exactly that: estimates. We’re not pretending SCHD has a 30-year track record; we’re using the past 13 years as a benchmark. It’s about making educated guesses, not wild promises. No one’s got a crystal ball, but historical data is the best shot we’ve got at setting expectations. So yeah, it’s an estimate, and that’s all it needs to be. Thanks for keeping us on our toes!
Great video! Could you please do a video on IQQQ? Seems like IQQQ has a way higher yield and return. So I wonder what a 10K initial investment + $200 a month would look like in 10, 15, 20, 30 years?
The IQQQ is still too new to have historical data to run the numbers.
@@JerryRomineStocks Thank you!
schd in a roth in your 23’s is counter productive. At that age you should all out in SCHG and SPLG.
Look, I get where you're coming from. At 23, your biggest asset is time, and yeah, growth stocks can make sense. But here's the deal: investing isn’t one-size-fits-all. The Roth IRA is a tool for tax-free growth, and whether you fill it with SCHD, SCHG, or SPLG depends on your game plan. You don’t invest just because someone told you what worked for them. You invest based on where you want to be in 10, 20, or 30 years.
SCHD might be counterproductive if you're chasing high growth, but if it fits into a diversified strategy that balances risk and return, then it's not a bad move. At the end of the day, it’s not about picking the 'right' stock-it's about having a strategy that aligns with your goals and sticking to it. So, instead of following a blanket statement, ask yourself: what’s the outcome I want, and how does this choice get me closer? Then, execute relentlessly. That’s how you win.
I’m rolling over a 401k to my traditional IRA and I’m thinking of putting all 215k into schd. I’m going back and forth between 50 percent schd and 50 percent schg or 100 percent schd.
Run the numbers for yourself on both to help you decide.
I wouldn't prioritize schd inside an IRA.
A qualified dividend paying asset is most tax efficient in a taxable brokerage.
But that's just me 😅
I’m considering this same thing when I retire in 12 years. And when you’re at age for RMDs to hit the dividends will count towards your RMd.
Just put 10k in bito futures see if it's better
❤First time watching. Thank you soooooooo much!
You're welcome @beverlycurtis2255! 🙏
Good presentation. What is the percentage of success to gain +11% / anum? These probs would be good for every investment risk.
SCHD NAV since inception is 13.39%(annualized) and that doesn't include the dividends. So in this case 💯%. Don't trust me? Check it out from the source. www.schwabassetmanagement.com/products/schd
I was thinking of dropping 50K into SCHD and retiring in a couple years. Could I realistically see any dividends from this?
I'm already 62 yrs.
Investing for dividends is like rolling a snowball downhill. At first, it’s small, slow, and doesn’t seem like much. But as it rolls, it picks up speed, gaining size and momentum-until one day, it's massive. That’s how dividend investing works. Early on, it might seem underwhelming, but give it time and let compounding do its job, and you’ll see the real power.
Let’s say you’re five years from retirement and want to live off those dividends. Simple-plug your numbers into the MarketBeat dividend calculator. Check what your returns could look like in five years. If the numbers excite you, it’s worth pursuing. If they don’t, you’ve got your answer. Either way, you’ll know what path to take.
I’m 59 and I would love to see the answer to this question
Put in bitcoin
@@ronijefferson5758 Put in bitcoin
Hi Jerry, that is great information & much appreciated for my kids & grand kids. However what strategy do you recommend for someone in their 60"s with 10-15 years hopefully more time frame. Thanks in advance for all your great finnancial info.
Hey, you’re welcome! I hear this question all the time, so here’s my take: I’m planning to live to 100, and you should too. Even if you’re 65, that’s still 35 years to play the game. If you make it, great-you’ll have built a solid nest egg for your family. And if you kick the bucket early? No harm, no foul. The way I see it, you’ve got every reason to stack that wealth like you’ll hit 100 and enjoy the ride while you’re at it. Plan for the long game, live for today, and let the compounding do its thing.
The calculation could help more folks if you use a Tax rate of 21%-24%. More folks doing such research are in that bracket and it would make it more realistic. All told, it’s a great video!
Any comments on this concept regarding the split?
Not really. SCHD is still the dividend standard. While the dividend is not that bid it is very safe and stable.
So, I bought $15000 worth of SCHD. I have it set up to DRIP. How long until I'm making $2000 per month from this investment?
Is SCHD really that good iam confused between VOO, spy or jpeq
Everything in this video is based on facts and the historical performance of SCHD.
It's that good but you should not have just 1 etf. It's should be a core holding like a mix of spy, qqq and schd. Personally, I treat my schd as my bond holding. It's actually safer than bond. That's just crazy. Take a look at the long term bond tlt.
I’m going to pass 1,000 shares within the next couple of months!
Nice work!
I wish they taught investing at school level. There is so much advantage to doing this!
My biggest regret is that I started so late.
There's always time to learn.
My concern is whether I can continue to sustain my standard of living with $550k and avoid outliving my savings. Every withdrawal makes me a bit unsettled
Totally hear you on that! Starting earlier definitely gives a huge advantage, but here’s the good news-it's never too late to start making smart financial moves. The key now is maximizing what you have, being strategic with withdrawals, and making your investments work for you. There are ways to structure your portfolio for steady income while preserving your capital, like focusing on dividend stocks or ETFs like SCHD that can provide passive income without depleting your principal as quickly.
And remember, it’s all about sustainability, not just growth. Keep learning and adjusting as you go-it’s a journey, and every step forward counts. Appreciate your openness, and know that you're not alone in this!
Great content as always. SCHD or JEPQ? you covered both
SCHD and JEPQ might sound like just another set of tickers, but they play two completely different games. SCHD is your classic dividend hero-it’s all about reliable, high-quality U.S. companies that pay consistent dividends, making it great for stability and income. Think of it as your steady performer that’s built to weather storms. On the flip side, JEPQ is like the high-stakes, high-reward player that uses a covered call strategy on the Nasdaq 100. It's more aggressive, offering high income potential but with higher risk and volatility. So, if you’re looking for smooth and steady cash flow, SCHD is your guy. If you’re up for a little more action and the potential for big returns, JEPQ’s the one you want. The real question is: are you playing it safe, or are you swinging for the fences?
I own both. 😉
@@JerryRomineStocks very well explained Jerry. Thanks a lot
I plan to have both. You nailed the picks
Hello, thanks for the information. If one want to put 50k into market like JEPI and VOO and SCHD. What account should I open. Roth is only limited to 6k yr. What should I do?
If you're looking to invest $50k in funds like JEPI, VOO, and SCHD but are limited by the $6,500/year Roth IRA cap, consider opening a taxable brokerage account for the bulk of your investment. This account has no contribution limits, though you'll pay taxes on dividends and capital gains.
This video gives such a simple explanation without considering inflation, growth rate. It does not need 14 odd minutes to explain! I wasted my 14 minutes. Take care.
I’ll send a time refund ASAP. Watch your inbox!
Just discovered your channel with this video. I already own shares of NVDA and MST. I'll also add AVAV to my portfolio. But I'd like suggestions on long-term opportunities to explore that could make solid additions to my $250k portfolio for stable cashflow.
As long as the growth of SCHD (or other divident stocks) consistently beats the inflation rates, your money WILL increase with this method. EXPONENTIALLY faster if you reinvest the profits back into the same stock rather than pull it out and spend it.
If it grows about 8% per year... 8 × $10,000 is a greater number than 8% × $5,000, so the more money you put in, obviously you start at a higher return, but it ALSO means, you grow significantly faster as well.
(i.e. if inflation is at 5% but my investment is growing at 9%, my money is growing faster than the economy by 4% at that time.)
My stocks are growing at an average rate of about 20%, but that's because I'm in some more risky *short-term* stocks at the moment, which i'm okay with risking in my 20's.
The inflation rate back in 2022 averaged about 8% when the average over the last 10 years has been closer to 3%. I grew about 14% that year, which means i had an increase in my income for 2022 just from my stocks. I also had a 9-5 job at the time so i had income from that as well.
😀😎😆
How is the yield going down? 1.90% by year 30??
Should have started with the dividend shares and investment funds 10 years ago.
But better late than never.
Definitely better late than never. I'm still buying dividend stocks and ETFs and I'm 54.
If someone has already built up a substantial nest egg by investing in VOO, and is ready to retire, would it be safer for them to just transfer those assets to SCHD and live off and depend on the income in retirement? Or, should they just keep the nest egg invested in VOO. Looking for income with principal protection and less volatility at this point. Or, should they just divide the portfolio 50/50 into both?
Look, the goal in retirement isn't to make a killing-it's to avoid getting killed. If you've already built up a big nest egg with VOO, that's great, but now it's about preservation and income. Here's the deal: VOO is growth-focused, low dividends, high volatility. Not exactly ideal when you’re looking to live off your portfolio.
Switching to SCHD gives you more cash flow, which is key if you’re looking for income, but it's not without risk. So, what's the play? You hedge. Go 50/50. This way, you're keeping some skin in the growth game with VOO but also tapping into the consistent dividends from SCHD.
It’s like having a safety net and a launchpad. You get the best of both worlds-steady income, less volatility, and you’re not overexposed to one approach. And remember, in retirement, it's about playing defense as much as offense. Balance is your best friend here. So, split it, sleep easy, and keep that nest egg working smart for you.
* I am not a financial advisor and am just sharing my thoughts.
I have the same question. I think once i retire in 10 yrs or so, I may do 50/50 in VOO and SCHD for continued growth and safe divvy investments.
Dude that’s pretty much same or better with a lot of securities. It’s not exclusive to SCHD only.
You made it sound like you found a magic bullet. 😂
Just realized thats with just parking 50k and leaving for 30 years thats actuality awsome
The power of compounding is amazing. We just have to give it time.
I don't know where to even start. What accounts should I open and where
Just start. I have a few links in the description that give you a few free stocks but more importantly is that you take the first step. If you are really new to stocks Robinhood is nice because they have a user friendly platform.
Thanks for sharing your knowledge … So if I invest $50,000 this month September … From October next month how much will I get every month .. Approximately ..Please need all to answer my question . Thanks in Advance 🙏
50,000$ x 3.4%= around 1700$ yearly dividends give or take. But if you reinvest those dividends quarterly that’s where the snowball starts.
@@Kevinw4040 Thanks a Billion 🙏
If Charles Schwab doesn’t make it what will become of SCHD?
@@kellylee514 it should continue since the brokerage is separate from the ETF.
How do you reinvest on autopilot???
If you are talking about DCA then most platforms will let you setup a recurring order. Just google recurring order plus the brokerage you use.
Will Schwab be around in even 20 years? My brokerage account has switched hands 3 times in 20 years and each of those merged or went under. Some of us have been around long enough to see some things.
Schwab has been around almost as long as I have been alive and expect they'll be here when I'm gone.
@@JerryRomineStocks That would be nice. The CEO said last year was his roughest. 15B in losses on bond investments also.
Would you recommend SCHD in a taxable brokerage account?
Most people have it in taxable accounts and you saw the forecasted results in the video based on the historical performance. Regular accounts are fine and IMHO tax advantaged accounts are better, at least for me.
Portfolio turnover is about 27% due to annual rebalancing so there will likely be capital gains short and long term, but I don't know if ETF structure reduces this tax liability. I have it in our Roths. I would have lower turnover investments in a taxable brokerage like voo or QQQ or individual stocks, but that's what I would do.
Ready to invest into SCHD what other ETF I can pair the SCHD to maximize dividend return.
You do not want growth, you want total return. VOO, VTI from Vanguard or equivalent.
Pure dividends - JEPQ. Growth QQQ or QQQM. Technology VGT or SMH.
@@JerryRomineStocks QQQ has a 0.61% divdend QQQM has 0.66 VGT 0.64%
I like that this calculation is off of one initial 50k investment. I don't like that I don't have 50k and it's not likely that I'll be alive in 30 years, lol
Might be time to get a side hustle?
Hi, how calc. Know how much schd paid div? And of What amount is 3,42% ?
this will help someone if 18 or younger and starting to invest not someone who is around 50 or so and it only pays quarterly you would still have to work your next 30 to 40 years before you can retire off of
Here’s the real question: how long are you planning to live, and do you have money you can let sit and compound over time? Now, I’m not saying SCHD is the end-all-be-all, but honestly-do you have a better plan? If you do, great. If not, maybe it's time to start thinking long-term and letting your money work for you.
Have you been saving or no? Since you are older and have a chunk of cash already you can deploy it into anything you want. If you don’t have a chunk of cash saved then now is the time to start saving.
I just hit 600 shares 🎉
Nice!
@@lostboi3974 do you hold schd in a taxable account? If so are you concerned about the capital gains tax?
A Roth IRA has a limit of 7K per year so it will take you like 8 years to put 50 on SCHD
You’ve got a few plays here: Option 1, you might already have 50K sitting in your Roth IRA. Option 2, the backdoor Roth IRA-ask your CPA about that one. And Option 3, the Roth 401K. Here’s the deal: you can add $30,500 a year-$23,000 standard, plus a $7,500 "catch-up" if you’re over 50. So, take a wild guess how much I’m maxing out in my Roth 401K? You know I’m all in!
@@JerryRomineStocks If you are maxing out your employer 401k and your $7k roth ira and you're under 50 is there any other tax deferred options?
The catch-up is $8000 this year... Also, if you reinvest the dividends it should take a little less time... last but not least, remember that the $$ you contribute to the Roth has to be earned income. So, if you're in your 50s most likely you don't have 30 years to contribute... and you'll need to start withdrawing in 15 years or so...
Best bet is to have a planning session with your CPA to see what's best for you. I'm blessed and have a great CPA and he runs different scenarios and tells me where contributions make the most sense based on my financials.
@@JerryRomineStocks if your Roth 401 is fortunate enough to offer Schd that’s great.
I have 100k in SCHD. My goal is to see where it’s at when I turn 60 years old. I’m 42 right now.
Well done! Did you run the numbers through the calculator?
1.388m
I would expect the buying power of the dollar to drop by at lease half in 30 years. But even with that said you still make out really good and grows way faster than inflation.
That would not surprise me either. Unfortunately there is nothing we can do about inflation of the buying power of the dollar. But, we can control our investments and we should be able to stay ahead.
I'm starting with $250K along with $5K annual contribution in a tax deferred account. YOLO!
😀😎😆
So instead of throwing money into the 401k you can throw that into Schd !!
Fidelity allows me to do both. I have 16% taken from my paycheck, plus company match, and transferred to a brokerage link account, where I am able to purchase shares of SCHD every week.
I’m wondering if there might be better dividend growth funds that provide more than just 3 1/2% per year it isn’t even give what you get in the money market fund
There are others like JEPQ and JEPI. Don't forget that stocks can also appreciate and the dividends are reinvested to buy more of the ETF.
What about the fees the ETF charges? 0.06%. After the fees are taken out, the dividend rate would drop to 3.42% - 0.06% = 3..36%, correct?
For ETFs, the dividend yield you see is what you get-it’s net of fees. That means the management expense ratio (MER) and any other fees the fund charges are already baked into the yield. So when you’re checking that yield, you’re looking at your actual take-home, no need to subtract anything extra.
@@JerryRomineStocks ok. Thanks for clarifying.
I'm new to this, so let me make sure I understand. The numbers look good, but are they keeping up with inflation? Everything in the future is going to cost more, so while the numbers are accurate, it's important to keep things in perspective. Right?
Alright, so here’s the deal. SCHD looks good on paper-solid dividends, great returns-but you’re right to ask if it keeps pace with inflation. Here’s why that matters. Every dollar you have today loses buying power over time. Inflation is a silent tax that eats away at your gains if you’re not factoring it in. So, if the growth of your investments doesn’t outpace inflation, you’re technically going backward, not forward.
But here’s the kicker: it’s not just about beating inflation, it’s about compounding and the power of time. Let’s say you’re growing your SCHD holdings for 30 years. That compounding is the secret sauce that takes modest returns and turns them into life-changing money, especially if you’re reinvesting dividends. Eventually, you’ll have an account big enough that you can live off just 4% a year-the “4% rule”-without ever touching the principal. That’s how you make SCHD work for you, inflation and all.
Total return should be your goal. VTI beats SCHD. Total return since inception (11/2011) with a $50K investment------ VTI: $2,726,564 SCHD: $2,457,682. Dividends are NOT free money. (Nothing special about VTI, any low fee, total market index EFT will yield similar results).
SCHG is better than VTI
@@FluxMD Twp different types of funds. SCHG is a growth fund and has more volatility.
@@WaldoOtto-f9h SCHG total return is better than VTI, in response to the initial post
@@FluxMD You are comparing a total market fund to a growth fund. Not apples to apples.
@@WaldoOtto-f9h the post is comparing VTI to SCHD. Blame him
Market beat will not allow you to get to the calculator without signing up for a subscription. I loath misleading adds.
Try this link. www.marketbeat.com/dividends/calculator/.
You didn’t add any annual contribution or the actual ETF in the calculator
There are 3 different scenarios shown in the video. Watch all three. 😉
Thanks for sharing
You're welcome @joseromero9933! 🙏
I wish there was a way to put 50k into a Roth IRA aren't there yearly deposit limits?
Talk to your CPA and see if a “backdoor Roth IRA” makes sense for you. And if you’re self-employed, don’t sleep on the Roth 401K option-you might be able to stack both.
@@JerryRomineStocks I'll definitely do that thanks Jerry!
How do we put in $50,000 into a Roth IRA in 2024? The maximum a person can put in is only $7,000 if under age 50.
You can't. You can only max it out each year. Just put it in your brokerage account, yeah you’ll be taxed, but it's part of the game. Get busy.
Talk to your CPA to see if doing a "Back Door Roth IRA" is right for you. A Roth is just one of many account options.
I prefer VOO (S&P 500) Combined with MGK ( Mega cap growth). They blow away SCHD and many other ETFs. I'm sticking with them.
The S&P historical return is ~11% yearly. Schd is showing around 13% so actually Schd is better. Combine with the dividends Schd would yield better growth. But I do 50/50 in both. Very diverse and only 8% crossover.
Diversity can be a great thing.
According to the fund profiles, total returns are as follows -
SCHD 3 year: 6.54%, VOO 9.33. 5 year: SCHD 13.60 VOO 15.89. 10 year: SCHD 11.59, VOO 12.94. Lifetime: SCHD 13.36, VOO 14.52.
A combo would be better than putting everything into one single profile fund.
@@Kevinw4040 This is not correct. VOO will be your better bet over SCHD in the long run. I have both in retirement.
i invest in discount mortgages, 1million portfolio produces 16 K per month on average
Well done. You've found something that works for you.
You are using the last 13 years to estimate a 13% annualized stock price appreciation, but this was perhaps one of the best bull markets in history over the last 13 years. It is unrealistic to use that expectation to forecast stock price appreciation over the next 30 years.
I get where you’re coming from-thinking the last 13 years were exceptional, and they were. But here's the thing: using historical data isn’t perfect, but it's the best shot we've got at making educated decisions without just guessing. We can’t predict the future, but the alternative is pulling numbers out of thin air. Historical trends give us a framework; they’re not a guarantee, but they’re better than flying blind. It’s about playing the odds, not trying to be a fortune teller.
What if some of the stock companies inside the fund decrease their dividend or eliminate their dividends completely over time, will SCHD still able to payout the 3.42% dividend every year?
Let’s be real-nothing is guaranteed, but these numbers are all based on historical performance. SCHD constantly adjusts its holdings, and that’s the whole point of buying an ETF like this-it’s professionally managed, so you don’t have to worry about picking stocks or tweaking your portfolio. They do the heavy lifting for you.
@@JerryRomineStocks ok. Got it.
Talk about being optimistic. Sure, I’d love Schd to absolutely annihilate the SP500, since I own more than 100k of Schd. I doubt it’ll happen, though…
Let’s keep it real-comparing SCHD to the S&P 500 is like comparing apples to oranges. Different tools, different risks, different plays. The S&P 500 is higher risk, riding the ups and downs of the entire market, and that’s where your big gains-or big losses-come in. SCHD? It’s the steady Eddie. Lower risk, solid dividends, built for stability. It’s not designed to crush the S&P 500, and that’s okay. They serve different purposes. So, stack your SCHD, enjoy the ride, and let the S&P 500 do its thing. Different tools for different goals.
What happens if Charles Schwab doesn’t make it? What does SCHD look like then?
I really don't see that as a possibility. But, if it did there are safeguards with SDIC and FDIC insurance to protect investors.
*This channel must be meant for people over 40. Those of us in our mid 20s do not have $50k laying around. I'm sure this is sound financial advice but the message is targeted (not for all)*
There are actually three scenarios given in the video. One that could apply to you. Did you see it?
This means you have 20 more years to accumulate.
A track record all the way back to 2011-it’s inception
👊
"Since inception" is pretty much at the start of the biggest bull run...Yeah lets use those numbers and assume the same growth in the next 10 years lol.. good luck
I hear you, but let me flip it on you-what's your plan? Do you have a better one?
This all checks out. However, what will the buying power of $78k/year be 30 years from now? Certainly not something that people can plan to live off of; it will take a LOT more than $50,000 to ever "beat your full time job". I'm not shitting on the idea (I'm buying SCHD myself), but the title/premise of the video is very misleading.
What is your best investment strategy ? All in or Dollar Cost Averaging for SCHD
For most people DCA to consistently grow your investment. For those that have the funds all in or a combination may work well.
What would be the value of $80k after 30 years
You can run your own numbers in the dividend calculator. It's really a good exercise to see the possibilities.
Thanks.
You're welcome
I'm at 137 shares.
💪
That’s great if you have 30 years. Own SPY and sell covered calls.
😀😎😆
What about vs JEPQ? 🤔
Another one I love. I have done a similar video in the past and may do another soon.
How about just DCA into bitcoin?
Apples vs oranges. But if you prefer bitcoin by all means go for it.
I retire in about 13-14 years so I will just stick with VOO.
That should do well too.
What if you are 58 years of age? Is it too late?
For me, no. I plan to live to 100.
Any income earned by not working for it is GREAT. Never too late to have to have investments payoff your monthly bills partially or in full.
$50k in SCHD beats a full-time income? It would have to pay 400% dividends annually.
It’s a fine part (perhaps 25%) of a balanced portfolio but it ain’t replacing any income anytime soon.
Did you watch the entire video?
@@JerryRomineStocks Yes but I also read the misleading title. We already know SCHD is a perfectly good addition to a portfolio.
Let’s clear this up: the title says 'will' because it's based on historical data projections. That’s the whole point-using past performance to guide future expectations. Yes, we all know SCHD is a solid addition to a portfolio, but here’s the kicker: past data helps us understand why it could continue to be a winner. It’s not about hype; it’s about informed decisions backed by numbers. So, if you’re brushing it off because of a title, you’re missing the bigger picture. This isn’t just opinion-it’s data-driven insight and projections.
@@JerryRomineStocks fair enough.
I said basically the same thing and am being called stupid by some.
I wonder what I will be able to afford with 70K a year in 30 years 😮
Me too! But don't forget how much your nest egg has grown and you'll have that as well.
50K(?)
Guess I got it made...... with 110K & counting(?)
If all goes as planned you are sitting pretty.
You betcha if I win on a scratch ticket. That is where my money is going.
I would love to see that happen and it would be a great story.
What do you think about Kamala Harris wanting to TAX unrealized gains??
IIRC doesn't matter unless you're super rich, 100m+. Still dumb as fuck but yeah, only hurts you if you're already filthy rich.
Uggh, she is such a tool
That's nonsense, and honestly, it’s not likely to happen. But let’s say it did-there’d be loopholes, no doubt. Politicians are pros at writing themselves, and friends, a free pass or finding the back door. And hey, if they’re going to tax unrealized gains, then we should absolutely be cashing in on tax breaks for unrealized losses too. It’s got to cut both ways.
@@a1gb4456 I can only dream of being affected by her unrealized gain tax. I'm about 99 million away from it.
@@a1gb4456 I heard she wants to tax unrealized Kohls cash.
You're missing something very important to consider, which is INFLATION. If you're living off 50K per year today, how much would you need to live the same quality of life in 30 years and then how much would you need to invest on SCHD to achieve that goal.
You’re missing the big picture here-the total balance and how it’s grown over time, plus you’ve got options like the 4% rule. Look, inflation is one of those things we can’t control, but what we can control is our investing strategy. Don’t like the SCHD example? Fine, but the real question is, do you have a better play? If you’re going to criticize, bring something stronger to the table. What’s your plan that beats this? Let’s hear it.
today median class salary is around 70k, and for a 50k per year its below middle class. so 30 years later and having 50k salary you are consider poor... lol
Some say all in, some say stay away…. This gives a little confidence in Schd
While those numbers sound impressive today. The next thirty years, with inflation figured in, will not show nearly as impressive results.
Possibly. Do you have a better plan you can share?
@@JerryRomineStocks $50,000 now equals $162,169.88 after 30 years in purchasing power with an average inflation rate of 4%. Figured with a Forward Flat Rate Inflation Calculator.