How to Make $1,000 Per Month in Dividends!
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- เผยแพร่เมื่อ 15 ส.ค. 2022
- How much do you need to invest to make $1,000 per month in dividends?
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You'll need quite a bit of cash invested to make $1,000 per month in dividends, but I'll show you how to do the math yourself. This way you'll know roughly how much cash you'll need invested today to make $1,000 every month in dividends. This is for illustration purposes only and I wouldn't put all my eggs in one basket, but you can run these numbers with any stock that pays out dividends to get an estimate of your long-term goals. Hopefully your investments continually grow in value, as well as their dividends.
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#honestfinance #dividends #shorts
Warren Buffett's perspective on dividends is that they may not be beneficial if a company has better uses for its capital to promote growth. Instead of focusing on dividends, he suggests investing in companies with growth potential. However, some investors see dividends as a way to generate income. It's possible to create a portfolio that generates a dividend income of $50k-70k with a $1 million investment.
You're right! Compound interest is powerful, but many people underestimate it or lack patience. Investing in ETFs and index funds can be a reliable long-term strategy. Hiring an investment advisor can also help accelerate wealth accumulation. It's important for the average person to understand and utilize these options effectively.
That's right, I've been backed by a financial advisor for almost three years now, I started with over a hundred thousand and I'm just $19,000 away from making half a million profits from compounding and dividends.
Please who is the consultant that assist you with your investment and if you don't mind, how do I get in touch if you don't mind
Sonya lee Mitchell is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
I just googled her and I'm really impressed with her credentials; I reached out to her since I need all the assistance I can get. I just scheduled a caII.
A more realistic calculation is to use 3% dividend yield in a well diversified dividend portfolio. If you want to be even more conservative, use a 2.5% dividend yield.
2.5 is pretty low id say 4%
@@Fp30501 2.5% to be conservative. From my research, it’s difficult to find a lot of established companies that have paid at least 4% dividends diffidence consistently. Yes some do exists, but the point is to diversify and have many companies in a dividend stock portfolio.
Right I was thinking that. If you had at least 10 stocks that you can see growth, it'll cost less with the same if not more of a ROI.
Or not
So basically I would need 4 X the money … I would need 500,000 to make 1,000??? How tf is this dumb ass shit investing. I need a real way I can work my 10k 😢 any tips?
Be careful I once invested in a company that was paying 12% then their stock fell down 30 % it gave me a life lesson dont run after yields.😂
I understand the pain, but any stock can fall 30%. Netflix fell by more than that a year or two ago. All I'm saying is that it isn't limited to high dividend yields. While your value fell by 30%, dividend investing isn't about the value of your portfolio, it's about the monthly or quarterly income.
This stock he’s looking at is now worth $5 🤦♂️
Running after dividend growth rate is way better.
It took some years of learning before getting to this, and grateful I did.
1000 a month in dividends would allow me to quit my full time job and go back to part time work doing what I love. $150000 invested seems doable, light at the end of the tunnel type shit. I’m not even trying to get rich I just want to quit State Farm lol
This is extremely risky and a stupid way to go about it. Imagine your monthly income relies on ONE stock to never go down. Even if you diversity your portfolio, you'd be lucky to reach 70% returns consistently. You should stay at your day job because you have no clue what you're doing.
Keep your head up Jake
@@ramonalvarez9179do you know what a part time job is Ramon?
@@jd4064bruh I haven’t been called Jake the whole 10 months since I started and all of a sudden you’re like the 3rd person to call me Jake in the last week 😭 😂
Acquiring a stock is easy, but buying the right stock without a time-tested strategy is incredibly hard. Hence what are the best stocks to buy now or put on a watchlist? I’ve been trying to grow my portfolio of $160K for some time now, but my major challenge is not knowing the best entry and exit strategies. I would greatly appreciate any suggestions.
@@ConnieKelly54 I have been considering going the same route, could you share more info please on the advisor that guides you.
@@ConnieKelly54 Thank you for the lead. I searched for her, and I sent her an email. I hope she gets back to me soon.
Find a good dividend ETF that has a nice track record. Then you won't have to think about which stocks to invest in. FDVV Has stock price growth of 47% in the past five years, a 3.77 dividend yield, and an expense of only .15. This stock he is recommending is down over 50% in the last 5 years.....yikes!
Throw it all on a high volume,high market cap stock while the entire market is in a bullish uptrend. Then sell after a $1 price increase. (And im actually being serious)
checkout SPYI, its a pretty good Dividend ETF
if you're new paper trade if you're going to trade commons and learn supply and demand and how to understand the market on the stocks you're trading
entering something blind is a good way to lose money
Investing can be a very impactful way to grow your money, especially when you consider the three main factors that play a role in how much wealth you build: rate of return, how much you invest each month and, of course, time.Big ups to everyone working effortlessly trying to earn a living while building wealth. I’m 50 and my wife 44 we are both retired with over $3 million in net worth and no debts. Currently living smart and frugal with our money. Saving and investing lifestyle made it possible for us this early even till now we earn monthly through passive income
Glad I came across this comment section. I was struggling to decide what to do with a good amount of money in the bank doing nothing. I would be happy if you could advise me, as I am ready to go the passive income path.
I highly endorse the services of Regina Louise Collaro, a US-based financial advisor and consultant. Partnering with an international organization, she has been instrumental in guiding my financial journey with unwavering support until my goals are met. Selecting the right financial consultant is as crucial as finding the right life partner, as both can significantly impact your life's trajectory. I'm grateful to have found the perfect financial consultant who has helped me achieve my financial objectives, from education to nearing retirement.
I value your recommendations. It's challenging to locate a trustworthy person. I could really use your investment advisor after seeing how much money you've made through investing. If you don't mind revealing her information, that is.
you can easily find her information by doing a quick search. Feel free to reach out to her directly with any questions you may have
This is a shocker seeing Regina Louise Collaro is being mentioned here. I always had mixed feelings about hiring a lnvestment advisor. For the record, I started working with Regina in 2019, and she manages about 70% of my lnvestments, while I manage the other 30%. My philosophy is that I care more about my own money than anyone else, but she made me accept that they have wealth of information on current conditions and future trends
Amazing. “I HAVE THE BEST FINANCIAL PLANNER EVER”
The first step to building wealth is figuring out your goaIs and risk toIerance - either on your own or with the heIp of a financiaI pIanner, and foIIowing through with an inteIIigent pIan, you wiII gain financiaI growth over the years and enjoy the benefits of managing your money.
I am fortunate I made productive decisions that changed my finances (gathered over 1M in 2years) through my financiaI planner. Got my 2nd house in Feb, and hoping to retire soon.
researvh this, if you care
FinanciaI-PIanner Rebecca Mart-Watson (in fuII
l’m amazed to partake on this, lt has rekindled the fire to my goals.
Good way to show the math but you need a lot more with safer investments!
$135,000 is a very achievable goal. And if you continue to reinvest that $1,000 every month. You could be a millionaire in less than 6 years.
Now do that with a good company like JNJ. It's $406k 😂
agreed @@o.c.g.m9426
How less than 6 years? Even if you compound it would take about 15 years.
Damn how much are you putting away yearly in your investment account 20k?
@@Leon_Miller yeah pretty much. It’s between 15k and 20k.
I have been a dividend focused investor for a long time. This does not mean I don't own growth stocks, I do. A well rounded portfolio should be a mixture of both categories. One way to minimize the anxiety out of stock market investing, is to make sure you keep a large cash cushion. I invest in the market, but never put all my money in market.
Dividends are dope. Personally, I sometimes use my dividends to buy other dividend and growth stocks for diversification instead of reinvesting in the same stock. To each their own methods though. The good thing is that you’re investing in the first place and that’s what’s important.
In my opinion, it was much easier investing back in the 60s but it’s a lot trickier now, those making consistent profit in these times are professionals reason I’ve been using an advisor for the past 5 years to consistently build my portfolio in preparations for retirement.
this is incredible! how can I vet your advisor, mind sharing info, if you please?
Finding financial advisors like Sharon Lee Peoples who can assist you shape your portfolio would be a very creative option. There will be difficult times ahead, and prudent personal money management will be essential to navigating them.
Need money to make money
Ok. And?
?@@absolutelyfookinnobody2843
Hope this helps with some basic math. Enjoy :)
Watch more dividend videos: Dividend Investing
th-cam.com/play/PLOmIpJDqCR-I0Iy8QzGmwobNomYdey1Xe.html
Only about $7k with tacby
Thank you for this short!
You’re welcome
Thank you very much for this informative, short, simple calculation of monthly div. More success to you.
if you buy 67k of "O" reality group you will make $14000 a year. thats pretty good if you can put aside 67k in your 30s. come back 20 years later and youll have at least $600k.
Oh yeah, that’s smart
I do not know what formula you used but your math is extremely incorrect. O is currently at a 5.67% dividend. If it stays that way the entire year 67k would generate $3,798 a year. To reach $14k profit you need a ~20% dividend and anything with a dividend that high is going bankrupt.
I have that stock, been in the red for years
@@terrinyc29you must have bought at a HIGH time. I’m down close to 400 dollars, but make close to 50 a month on it with an average cost of 55.03. I’ll start to worry if it goes below 45
@@terrinyc29thats what I was wondering. The higher the yield wouldn't it signify a red flag? Is it really beneficial to receive a great dividend but have a failing stock? Wouldn't you be ultimately losing money which would lower the amount you would then be getting for your dividends.
Well now I know what to do if I win the lottery 😅
Don't buy this buy Dividend aristocrat 😂
scam@@peterking167
The serious answer to what to invest in if you win the lottery are Bonds that pay just above inflation. Safest possible place to put money, and your bankroll is so large that even a tiny amount of interest is financial independence.
Once you have enough bonds to cover basic living outside of poverty, then you push the rest into dividends and growth and dumb lottery winner stuff.
@@IllegiblescreamI would just hit 60% into the s&p500 and 30 percent into bonds, and the 10% for you to enjoy
And if I had done that I would have lost 17.9% of my principal.........no thank you! Stock is down almost 60% since inception......yikes.
Thanks on the calculations
You bet
it's down to 6.36 today - so i only need 106000, The problem with dividend stocks lately is that they are losing capital at the expense of dividends.. I have 3 stocks that are staying level and 2 stocks that are eating me alive.. I hate to put all my eggs in one dividend basket..
What stocks eating you alive rn
Thank you🙏🏻
You’re welcome 😊
By the way, just because I have an ISA stocks and shares account, I also invest UK dividend stocks monthly in UK even the yearly contribution cannot over than £20,000. But thanks for sharing
QYLD has been great for me. It went down from my purchase price but I'm making about 12%div
Love the honesty
Problem is he cant predict splits, he cant predict price appreciation, he cant predict dividend increases... So hes telling the truth but not the full truth, lot of stocks split, alot, which gives you more shares. Hes making it more simple then it really is.
Those changes usually help
How you come up with that amount of money if you didn’t count the share price.
Good Detailed video buddy! glad I seen this just found your channel, keep up the good work..
What if that company tanks? Where will that 135k would go?
Why you spread it out over well known company’s who have a long histhistory of good dividends
Bro, just get a ETF or real estate stocks. They are at Lowe's.
Great video
Thank you
Say you bought like $2000 with of a stock like that 3 days before dividends are paid out, then sold all the stocks after receiving dividends. Could you do that?
Whoever is thinking about doing this… DO NOT. Use a savings account and you will get a better return with absolutely no risk. Only fools chase dividend yields
Only fools use a savings account with barely any yields
How do I find out which stocks pay monthly dividend vs quarterly ?
what kind of risk that dividends have?
Banks are giving guaranteed 5%
but its not invested
@@teddyruxpin7876 and it's giving you 5% interest with no risk
Not were I am from is less than 1%
Yeah… put all your eggs in the same basket! What could ever possibly go wrong?! …GE retirees everywhere love this plan!
Or you can just simply do math like this
12 000/ 8.83% = 135 900$
Much more easier...
How’s it work if it’s not a monthly one?
12000/.0883 = $135,900.34
Don’t buy a stock with 8% dividend lol
Really? There are some decent stocks with that high of a yield. There won't be much growth, but that's not the point of dividend investing. Altria for instance, ticker MO, has been steady in the $40-$50 range for a while and yield is between 6-8% depending on price. Plus, they have been growing their dividends at least for the past couple years.
Ares Capital ( ticker ARCC ) is another stock that has been stable around $17-$20 per share and yield has been around 8-10%.
There are definitely some that don't do well and their dividends fluctuate a great deal ( ORCC is one ).
Correct, why would you when you can get a 25% dividend from say A ETF LIKE YMAX ..
What about the ones that say 30 day yield? For example if the 30 day yield is 1.6 does that mean it pays 1.6% of the value of the stock I own per month?
Who about to do all of that when dividends are paying $2.00 or more 😂😂
Only about $7k with tacby
last time they paid was in october.
How many shares to buy?
135k to make 1k/month, so only be 13.5k to earn 100/month from that point reinvesting that 100 each month ontop of what you where investing already leade to a very quick gain to that 135k
Yeah, but I wouldn't use Prospect Capital ( PSEC ). Ares Capital ( ARCC ) isn't monthly, but price and dividends are more stable. They pay quarterly.
Great! Now all i need is 136 thousand dollars! 😂
So hypothetically if I had monthly paying dividend such as O (Realty Income). I wanted to make £100 off that investment monthly. Realty Income currently has a dividend yield of 5.73% of this comment being published. Using this method you explained, I would do 100 × 12 = 1200. Then 1200 ÷ 0.0573 = £20,942 to make that a monthly dividend.
Is this correct?
Remember the difference in American dollars to GBP though
How do I get qualified dividends only?
can you buy stocks a couple of days before dividend yield day and then sell after they pay you? all articles say you can but there has to be a catch
No, you have to buy before the ex-dividend date.
Will done
What if the stock pay once a quarter dividend?
So let’s say I have the money to buy that particular share making me 1000 dollar every month do I pay the amount once and I will have the money every month and also how do I withdraw the 1000 does it directly come to my account?
if I have that kind of money then I will buy atleast 2 3 bedroom houses on loan and rent will be more than 1000 usd a month after monthly loan payments!!
So a lot of videos say to invest money every month like lets say they say to put 150$ a month do i put it in the same stock or does it go to different stocks im confused also technically you're losing money till you make money ?
There’s always risk, but sp 500 index is a good option.
@@HonestFinanceI got a question, currently the sp 500 is up, should I just start investing right now, or should I wait until they take a dip to start investing
And how do we know that if they are paying monthly or quarterly??
Check dividend history on any stock website
The problem is that so many of these high-yielding dividend stocks are extremely risky and you could either lose the dividend, have your invested $$$ burn away, or both.
Buy solid dividend-growing stocks like UNH and V and HSY and MCD instead.
Yall if it has an 8% dividend.. run. As fast as you can. In the other direction. Dont touch anything with an 8% yield with a 10 foot pole. Please i beg of yal
Forgetting about the compounded dividends each month, + eps, + dividend reinvesting, + that monthly salary added to the equation....
Dividend investing just do not do it until you have made your first million. It really is not for those with less capital.
Or put 50000 on s and p 500 and make the same monthly. Take the rest of your cash and go buy a house in Hawaii and have fun😅
Ima try that
Please don't help to hurt the Hawaiian peoples any more than they already are currently. Many of the natives don't have a place to live in their own state because people keep buying it all up, and they're being forced off of their own land. There are so many other wonderful places to buy property in.
I like this stock Agnc the dividend 14.15%
Why is it so high
@@mikelopez4148 bro I don't know, but check it up. Anyway I'm buying it they pay two times pe month
Hi 👋 I Looked Up Prospect Capital & There Dividend Yield Is Much MUCH Lower Than What You're Saying 🤔👩💻🧐 Why Is That?❓❓❓
The yield fluctuates, so it could’ve changed over the last couple months
Do you go on a financial app like stash or acorn to find these stocks
Robinhood app
Simple. Invest $48,000 into IEP.
or you can just divide $1000 on how much div you getting then multiply it the stock price
It’s a good way to do it if you have that kind of money
Easy peasy. Why doesn't everyone do this?
What is the difference between a Hight Yield Savings Account that pays 5 % compounding interest vs. a 3 % stock dividend?
A savings account is guaranteed and insured. You can not loose your money. Stocks go up and down, so if you're getting 3% on 100k today you could be getting 3% on 70k next month... Or if the stock goes up you could be getting 3% on 200k.
Be careful, high yield probably means issues in the company, think twice.
Also, calculate the tax..
Good luck
Should only take about 15 years with my current plan. Might have to find a different plan.
Okay I just started messing with dividends, but I thought the amount you're paid depends on how many shares you have?
It is.
@@Aaron-bb9rt so why does this sound like something different?
That’s correct. If one share pays out $0.25, then owning 100 would be $25.00
@@peace2all613 how is this any different lol.
youre calculating how much you would wanna make from dividends a month, in that sense the calculation that it gives you is how much money worth of shares you should have in the market to receive those dividends.
so, you will have a gain in 11 years?
136k..... nope. Don't hv it. Not even close. BUT....8.83% is a very good div. yield. There are some that pay TWICE THAT, meaning you cd get that 1k/month using HALF that 136k...or 67k. More doable.
Anything paying more than 4% isn't a good thing for share price. Stocks that are higher dividends means they have less reinvested into growth which ends up being more returned in stock prices
@@llk.6797 exactly
16% is not sustainable for most companies
Qyld pays 12 percent a year 1 percent monthly.
PSEC 8,18? lol..now 4,98...thats a huge capital loss..its a yield trap
Yep mjm now is at $5.25
You could also just invest about $19000 into TSLY and get about $1000 a month.
thats if its doing good right?
How ?
I'm Newbie in this but This is good compared to coca cola dividends.
Because of The dividend yield. Higher dividend yield doesn’t mean better. Coca Cola is more sustainable and if shit hits the fan your money won’t go poof while with the other company there is a chance that they need to cut the dividend because the company is not sustainable.
stock is now trading at $6/share, 25% decline for a taxed dividend
How about $50 a month on dividends? How can I achieve that?
Let me add something, and everyone feel free to reply. If you need to invest 135,900 to attract a dividend payout of 1000 per month or 12000 per year. Doesn't that mean it will take 11 years just to break even?
I wouldn’t say breaking even depending on the value of your stocks so let’s just say your stocks stay the same price and the dividend pay then after 11 years when you make enough money to cover what you put in you would have the value of your stocks plus the original money so you would have doubled
@@devinw832 well said
I figured if you invest 100,000 into a company, that will payout 10,000 a month. Then within a year, you will break even, and profit an extra 20,000. Because that's 120,000 a year.
Generally large companies w good track records will increase their dividends (typically every year) and the share price will go up as well. This isn’t a guarantee though.
@@peace2all613 where did you get $10k a month from 💀
So in theory, if you were to invest 10-20million, would that result in 100k-200k a month in dividends?
yes of course
RIGHT that a REAL deal
( for Me at least ) !!!!
$136k for $1k per month
Do the math ... it's only
going to take 136 THOUSAND MONTHS
to just break even !
That's assuming the company is still paying
the same , or more AND
assuming YOU are going be around for 136 thousand months !!!!!😂
Blackstone
What is the math for a stock that gives every quarter and has 12% for 1k per month. Thanks
sounds like QYLD. which would be around 90k invested for that monthly return.
Max thumbs up!
I thought it was going to be like 1/2 mil thats actually not bad
Anyone know any good investing app?
Not many stocks give 8% dividend.
Buy KITT
I just enter the amount in the calculator and bam now it looks like i have money🤷🏽♀️
Incorrect $100,000 in QYLD
what if stock price going down
Then the dividend yield will go up generally
have 1 mil in stocks, easy
300-500k
Dividends are taxed even if they're reinvested. You need to add that to the equation to find your NET.
Correct
@@HonestFinance are PSEC dividends qualified and taxed at max rate of 20% .
Thanks in advance.
Great question. I believe they are qualified according their info
@@sevensages5279 PSEC is a BDC which means its dividends are taxed as ordinary income, not qualified. It's also a dividend trap because it has been cutting its dividend and its share price is down from 10 years ago.
@@vincent8900 TY. I'll stick to the Aristocrats. 🎩
I just hit $1000 a month in dividends at 36 it is doable
PSEC is good monthly dividend stock
So that it isn't possible to win $11000,- investing $1000,- in s&p500 in 9 or 7 days?
Dividends are given every 3 months at most. Idk where the f you get dividends every month.
That's a risky investment 😉
How?
@@friedhotwings that much in one stock
@@Mister_Hassan oh lol
@@Mister_Hassan just go into diversify into different dividend stocks around the same yield
It’s already diversified. It’s an ETF.
1K times 12 (Boom) 😂
Funny how 135k most dont ever see half that let alone able to even invest half that smh america