How You Can LIVE OFF DIVIDENDS Much Faster With SCHD + JEPI
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- เผยแพร่เมื่อ 8 ก.พ. 2025
- In this video, we will be discussing how you can live off dividends much faster with the help of SCHD and JEPI. If you're interested in maximizing your dividend income and retiring early, this video is for you! We'll be diving deep into SCHD and JEPI, and we'll explain how to use these two dividend ETFs in your portfolio to maximize your dividend income and retire much earlier than if you were to invest in something like VOO, the Vanguard S&P 500 ETF.
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The ideas and opinions presented in this video are meant for informational and entertainment purposes only, are not intended to serve as a recommendation to buy or sell any security in any account, and are not an offer or sale of a security. They are also not research reports and are not intended to serve as the basis for any investment decision.
In how many years are you hoping to retire and live off your dividend income? Let me know in the comments below! 👇
I have about 18 years to go but have 15 thousand already invested in the Roth, trying to get about 18 a year in dividends before retirement, the 401k is on auto pilot just in a target date fund but I'm planning to move it into the Roth because it's also a Roth 401k that's the plan anyway
Nice! Plenty of time to stack that dividend income
I'm 42, have about $20k in my Roth, not currently invested, just in cash, trying to figure out the best way to go.
I have a 40-45000 thousand dollar stock account that usually pays around 3000 dollars in dividends a year- DRIP allows the dividends to be reinvested. I have a few retirement accounts that can be combined (roll over) that total around 10000 dollars. I do contribute to my employment retirement account. I'm 45 and hope to retire in 15-20 years.
I’m 44 so I’m hoping to retire in 20 years or so. I have both 401k with employer matching, and IRA
My plan is to invest as much as I can into dividends paying stocks, bc I love stock picking (but I also have VYM, JEPI & SCHD )
Schd at 3% and jepi at .5% of portfolio. Have 5 yrs to go. Just broke 78k of dividends ea yr and hoping to get to 82 by yr end. Goal is 115k a yr by the time I’m retired and with 34k a yr social security, should be ok. Appreciate all the information in your videos. Thanks Ryne
Bob that's so awesome, hearing how much you're bringing in with dividends is truly motivating. Thank you so much!
Danggg what is your portfolio value
@@vincentchuvc much higher last January unfortunately 😀 average yield at 3.9%
78k 🎉uff i be retired in mexico
@@Bob-ut holy sht nice work what did you do to get to a 2 million dollar portfolio?
SCHD + JEPI + O. The 3 holy trinity, this is financial advice.
Hahaha O is a great addition as well
How come?
Depending of your time horizon, if you’re in your 20s that’s not a great strategy at all, but if you’re in your 50s-60s it’s great
why is your 20's bad for this strategy? @@gioclinaz
Jepi in the IRA, SCHD in the regular brokerage account, and Realty income in the HSA. 😎
The biggest thing though is that with SCHD, it will keep growing nicely even if you withdraw the dividends forever, while JEPI only grows if you reinvest the dividends.
I think it's too soon to tell whether or not that's true. Since JEPI's inception, they've actually done a pretty solid job of increasing their annual payout. That could change with time though, and only time will tell
@@rynewilliams That is very true! Its very hard to compare when its so new.
@@brandtc.7991 Totally!
Swap JEPI with JEPQ
Loving SCHD and learning about JEPI. Great information buddy!!🤘
You’re the man!
I own SCHD and DIVO as part of my portfolio, along with individual dividend paying stocks. I’m slowly building a position in JEPI as I’ll be retiring in 15 months 😁
Nice! That’s so cool you’ll be able to retire in 15 months
That’s incredible! Congrats
Congratulations!!!
Great video, Ryne. The simple truth is that funds like SCHD are solid funds to just scale up and then just kickback!
You said it best man!
I believe Jepi is targeting 7 to 9 percent yield. so we may need to recalculate this after a few years. Great video
Thanks Paul - I'm interested to see what JEPI looks like after being around for some more time.
These two ETF's make up my entire portfolio. 60% SCHD 40% JEPI Good video!
Nice!
Thanks for comparing these two funds! Have a total of about 400 shares of Jepi in 2 accounts. Building up Jepq now and looking to add Schd to my portfolio
Thanks for your video Ryne!!
Thank YOU Gman! Your JEPI position is very impressive
JEPI and SCHD will help make my dreams of quitting my 9-5 job one day a reality.
Absolutely man! Do you have large allocations of both of these?
@@rynewilliams A couple thousand each yea...and growing!
That's awesome! It really seems to be a solid combo
Amazing video brother! Covered so many important bases here!!
Thank you my dude!
Been adding both very heavily . Just picked up around 50 shares of schd adding to my position every week and Jepi as well. Tomorrow morning is another day of it :)
That's awesome!
Congratulations!!!
I think I can speak for all of us on here and we appreciate the videos. I have been watching your videos since 2020 when I started investing. I’m 25 years old with a almost 40k $ portfolio. Thank you for the recommendations and gains since 2020. Great videos, keep up the GOOD work 👍🏼✌🏼🫡
Derrick that really means a lot, thank you so much! And hats off to you for getting started with your portfolio so young. Keep it up my friend, and thanks for all of the support!
I have both of these ETF. I have a few others as well (DIVO and XYLD). I like having a mix of ETFs for cash flow and individual stocks for growth. Was able to pick up KO, O, MO, and PFE.
That makes sense! Also, great pickups with all of those individual stocks
Starting out, kinda looking to just make an m1 with this schd+jepi. So thank you for the video really helped with my decision.
Thank you for watching! I'm glad the video helped
Been adding to both over the years. Compounding makes such a big difference.
It sure does!
I currently hold SCHD,SCHG,DGRW,DGRO,VYMI,JEPI, and JEPQ. With SCHD,JEPI, and DGRW being my largest holdings out of my ETF's.
Nice!
Schx 😊
Love your content and I own both. 1 thing you may want to mention is with JEPI we do have that "ordinary income" so steering people towards their roth or traditional IRA for that investment is a good suggestion. Now I am listening to this in the background as I do some research on MPW so I apologize if you mentioned that and I missed it, but I don't think so. Keep em coming brother!
Thank you my friend! I didn't mention that in this video, but I recently put out a more in depth video on JEPI where I cover the tax implications
I like mpw
Question, would it be a good idea to have SCHD in your Roth IRA? I would just let the dividends reinvest back in until I'm ready to retire- that is if that's allowed. Thanks, I'm a newby learning!
@@ebells33 yea that’s not a bad idea. I have SCHD in my Roth IRA too
Thanks much, I appreciate your response.
Trading Decoded brought me here. Great video. JEPI is new to me. Havent seen anyone else mention it before you. Can't believe it's been around for 3 years now.
Wow that's very cool! Did they share this video link or something??
@@rynewilliams Yes, some of the group members were asking about recommendations for dividend investing (the group focuses on trading SPY options), and the mod recommended and shared the link to your page.
@@talonkarrde2578 oh wow, that’s super cool! Was this on Discord or something?
In 3 yrs when I retire from my job at age 58 I plan on transfering my 457 plan into my fidelity account, hope to be around 70k, plus my vacation,comp ect payout of 25-30k. I will put it in dividend paying stocks to boost my monthly pension. These two funds look good..
That's an awesome move Lance! You'll be rolling in the dividends
Great contents. Thanks. I own SCHD, VYM, VOO, and VTI.
SCHD, VYM, VOO, and VTI are the cores from my portfolio. I like diversification with these 4x ETFs.
SCHD and VYM are for dividend play. VTI and VOO are not for dividend play; they are for growth. Let go!
Love it!
Though in terms of growth, in the examples above the VOO scenario's "growth" was way below the SCHD route. Am I mistaken?
So wouldn't SCHD make more sense for both growth and distribution aspects?
I believe you have way too much overlap here. I see no reason to own both VTI and VOO. I would stick with one of those. I like VOO more.
@@boodles07 Very good point, thanks. VTI owns all, small, mid, and large cab. VOO owns 500+ large cab. Sometime, Voo did quite well, other times VTI beated VOO to the punch. These two are like the double dragon twin. My tag team champion, the double dragon, VTI+VOO. From the surface, they look very similar, but undeneath surface, they have unique set of skills. Both are just amazing in different time, etc... 2-D-Moon
I own both SCHD and JEPI for these reasons!
Nice!
I put about 5% of my income into Roth TSP so I don't really buy many ETFs. But my stock picks are usually part of the major ETFs. I just prefer to pick my stocks. More fun to me
I'm with you there. I really have fun picking stocks. My main portfolio is pretty much all individual stocks, and then I have a Roth IRA with ETFs
I own 12 dividend stocks along with VTI right now. I am now looking at adding JEPI and VPU into my portfolio. There is one other ETF worth considering which is VBR that is a small cap dividend paying fund.
Sounds like you have some solid diversification
Great video, Ryne!
Something I never understood is why anyone would take something like VTI or VOO (with their respective 0.03% expense ratios) over SCHD?
I would gladly take SCHD's 0.06% expense ratio if doing so meant not being exposed to the lower-quality names in VTI and VOO.
SCHD is like focusing on "the good", whereas VTI and VOO are like taking "the good, bad, and the ugly".
VTI and VOO's as well as VYM's "take the good, bad, and ugly" approach hurts long-term returns.
JEPI is great; JEPQ can be better if investors closely watch the performance of JEPQ's top 10 holdings (e.g., if AAPL and MSFT, which collectively make up almost 19% of JEPQ, are having a bad day, then JEPQ might be on the watchlist to buy).
SCHD+JEPI = Fantastic Combo.
Frugal J
Thanks for sharing all of that J - it does seem to be a great combo!
I started in SCHD a few years ago and enjoy filling that one up. I did it in my normal brokerage account, but might move it into my IRA instead. Better for taxes overall.
Nice!
Love SCHD and JEPI will factor into our plans later in life, but don't expect JEPI's dividend to remain nearly as high. Almost their entire dividend is directly tied to underlying volatility, and JP Morgan has stated they expect JEPI's long term dividend to settle in somewhere more in the 6-8% range. JEPI was launched during near record levels of volatility hence why the current dividend is so high.
JEPI's dividend is also incredibly tax inefficient so there will be a large tax drag if held in a taxable account. Doesn't mean I don't like what they are doing, but it's not as simple as buying a bunch of JEPI for a long period of time and thinking it will work out great. There are some other factors to consider.
Would you mind explain why you mean by “incredibly tax inefficient” and “large tax drag if held in a taxable account”? What type of account would you recommend putting it in? I’ve been trading stocks for 8months now so it’s all pretty new to me and I want to start a dividend portfolio
@@MichaelSmith-fj3sz sure thing. The dividend for Jepi consists of two parts, the qualified dividend that is paid from the underlying stock holdings, and the covered call premiums. These premiums are what make up the majority of the dividend for Jepi. Qualified dividends are generally taxed at long term capital gains rates (0, 15, 20%) while the premium is taxed at short term capital gains which is whatever your tax bracket is. By holding Jepi in a taxable account, you would owe short term capital gains of every dividend that is paid to you, therefor dragging down your real after tax return fairly significantly if you are in a moderate to high tax bracket. Holding in a tax efficient account like a roth or tradtional IRA would minimize the tax drag, but then has other considerations.
@@emericaunited1 ok makes sense. So say I have JEPI in a Roth account. It makes dividends and I have it set to reinvest dividends back into the stock. Then say after awhile maybe 30 years down the road I turn off dividend reinvestment. Will the dividends then get put into my brokerage account and will I be able to withdraw the dividends into my bank account?
@@MichaelSmith-fj3szYes, if you are at least 59.5 yrs old you will be able to withdraw (without penalty) those dividends from your Roth into whatever bank account you have linked to your brokerage.
Make sure to note that you need to do this in a Roth IRA as JEPI is non qualified dividend.
Seeing those annual dividend numbers if very motivating. Thanks for the video!
Thanks Judy! I appreciate you watching and commenting
Perfect Combo!, love both and also a little bit of JEPQ.
Solid...I actually haven't done any research on JEPQ but it seems to be another popular ETF
I want to invest, wich platform do you use to invest? I want to start asap. Thanks mate
I personally use Charles Schwab and M1 Finance
15 years currently 50% vgt 50% vug. Was going to wait till year 15 and then put 75% at 18.5% weights in 4 etfs jepi jepq schd spyd. Question becomes is it best to wait for the dividend etfs as I don’t need the income now, but will in 15 years.
Going heavy on JEPI . 50 percent is Jepi while the other 50 percent is everything else. Once I feel I have enough JEPI the long term plan is buying more potions of what I already have to eventually notake it as JEPI heavy.
I think that's a great plan. Use the income from JEPI to buy other things...nice
Great video 😎
Thank you man!
This video really got my interest -- definitely need to begin my SCHD position soon, and the JEPI shortly aterwards. My single stock method came up short for 2022.
It's a good way to go. I feel like I have a really good balance between ETFs and individual stocks. Those weekly contributions into SCHD really pack a punch
I like PEY, DIV, and SPHD for monthly cashflow.
Thinking about doing this strategy on my wife’s ROTH IRA. At the beginning of each year, max the account and go the 50/50 route.
My roth, taxable, 401k are focused on growth
Not a bad way to go. The risk with JEPI is that it pays a variable dividend, so the cash-flow will fluctuate on a monthly basis
Great video. Cheers from Switzerland.
Thank you so much!
Hey Ryan great video!! Wondering, I heard you mention call options for jepi could explain exactly what are options thanks
Hey Danny, here's a really good article that explains it in much greater detail than I ever could. Hope this helps: www.investopedia.com/terms/c/calloption.asp
Thanks
Coming into retirement within the next 3-5 years. Working on migrating from 60/40 portfolio to building in SCHD, DGRO, VNQ and to add JEPI or monthly dividend growth. Any thoughts as to percentages of each fund to the overall portfolio? I have seen many examples of various 3 funds, two funds on Utube. Have not found a video on migrating some of the growth funds to dividend positions. Any help would be appreciated
Ive seen this video like a million times lol i love it can you do other videos similar to this as far as 2 stocks to invest in and what the amount combined in dividends will be after 10 20 and 30 years
Haha man I'm so glad to hear that. I'll have to think of some others like it to do
Love the content 😎👍🏻
Thank you so much!
I hear people say things (I don't think you said it) "Don't throw all your eggs in one basket" in regards to only investing 100% into SCHD. I don't understand why they say this though. SCHD is 100 companies you're investing in. Doesn't Buffett and Munger say to research hundreds of stocks and then only invest in the top 10-20 for diversity? I'd think investing in just SCHD is perfectly fine from a diversity stand point.
When it comes to SCHD, I think you'd be alright putting your eggs in that basket for the exact reason you mentioned.
I have been adding a little to SCHD VOO and JEPI weekly in my Roth IRA. Few individual stocks in it as well. Ideally I'd like to retire at 55 (13 years) but I bring in about $250 currently in monthly dividends. Obviously that needs to grow a lot before I can retire 🤣
Haha I get you. I bet that number will be much larger in 13 years though. I'm thinking about selling JEPI in my taxable and rebuying it in the Roth
@@rynewilliams I have 22.5 shares in taxable and 4 only in Roth. Might get it to 25 in taxable and then only add to IRA. I've considered selling stuff in my taxable account, just so I could max out the Roth IRA lol.
Is there a particular reason you hold it in both accounts?
@@rynewilliams I actually bought JEPI in a taxable account like the month after JEPI was introduced. Added a little over time. In December I started a Roth and have been buying mostly in that for tax benefits. I actually haven't added any money to my taxable account since December. Just used dividends to buy more. Been trying to add as much as I can until I hit the Roth IRA limit and then switch back to investing in the taxable account
Ahh that makes sense!
What about if your young enough 39 and still have some time on your hands ? Should I invest into jepi? New subscriber BTW 😎
If you do, I would keep a small allocation of JEPI. It's not a bad ETF, and seems to be the top one out of all the covered call ETFs, but its long term performance still has yet to be tested
Kudos, great video.
Thank you my friend!
How come no one breaks down the taxes? When to buy to ensure schd is qualified dividend?
Now there is a certain amount that could be taxed a zero for capital gains but that may go away in a few years.
The over view is great but need the specifics.
This is Exactly what i'm doing schd and jepi are my two big'est holdings and i also have vnq for realestate, and 5 other single stocks,I like the 3rd setup but im wondering are you adding any money above the 10 thousand?
Nice! And to answer your question, in this example, we'd be adding $100 every single week in addition to the initial $10k investment
SCHD offers qualified dividends, JEPI does not. For most investors (not all) this will make a big difference on net earnings after tax. The quick answer (for most) JEPI dividends are taxed as ordinary income, SCHD are taxed at the same rate as cap gains.
Have all of JEPI in the Roth side of my 401k. 5 or less years to retirement!
I've come to this conclusion as well. I am generally successful hand picking and selling covered calls on dividend stocks. But i'm in a chapter in life where its exhausting and just hard to find the time to research. plus I have a feeling the returns are similar over the long run anyways
I get you. I'm glad you're coming into a strategy that works better for you
Hey man thanks for your videos! Do u recommend having 2 Roth? Making 1 a dividend portfolio? Or just maxing 1 Roth IRA and maybe opening a brokerage account or traditional IRA? Thank you in advance!
I would say the latter. No matter how many Roth IRA’s you have, your contribution limits will still be the same.
@@rynewilliams If you don’t mind me asking do you have your dividend account in a brokerage account?
Awesome video ❤Could you please do similar video for Vanguard VHYL for UK audiences??
I've got a video in mind for VHYL - seems like the UK SCHD equivalent
@@rynewilliams VHYL looks similar to VYM I guess
Love the new thumbnail design!
Thanks my dude! This one took me a while to put together haha
@@rynewilliams contrasting colors. Nice gradient. Well done. Hope it gets a good CTR!
I'm running 3 mainly jepi schd and rc.
Nice!
I hold SCHD, SCHG and JEPQ .
Hey Ryne. I don’t know what’s going on with Jepi. They announced monthly dividend this month $0.41 per share, which is much less then even 11% of annual yield. Maybe you know why they are so mysterious? Or maybe along the year there are some higher monthly payouts?
JEPI pays a variable dividend that’s determined by the success of their options strategy. It seems this month wasn’t as successful as previous months. I’m not personally concerned about it at this point
@@rynewilliams ok
Planting little trees.
That's what it's all about
What do you think of jepq. Is it worth considering. Can't find a vid of you covering it.
I haven't covered it yet...but truth be told I haven't done much research on it
@@rynewilliams I actually like that you said that. You were honest in that you didn't know anything about it and won't mislead us so thank you. This is the first video of yours I've seen and I wasn't sure I'd subscribe since it's difficult to find trustworthy opinions on sensitive subjects like this. But I'll subscribe.
Hi! Thank you for video. Is it in your spreadsheet possible to do same calculation as in video?
Thank you! The spreadsheet shown in this video is just one I made for the sake of demonstration in the video. My portfolio tracking spreadsheet can show your portfolio’s annual dividend yield and stuff though
Rob Berger has a video ("JEPI vs XYLD vs VOO") where he says that VOO is the winner.
Don't own any of these ETFs but may buy a small amount of JEPI at some point. I agree with you that owning shares in both makes sense. I definitely would never go 100% JEPI.
Yea I wouldn't go 100% JEPI either
Who makes your button down shirt? Looks good.
Thank you! It's a ralph lauren shirt that I thrifted a few years ago
Hi Ryne! I have 12 shares of SCHD and 6 of JEPI. Great info video on both. Will try to add 1 share of JEPI a week for now along with 1 share of INTC. I also try to pick up 1 share of ORI and .25 share of CME per week, I love their once a year dividend bonus. Any thoughts on those two? Take care bud :)
Thank you my friend! And I'm honestly not familiar with either ORI or CME
I love ORI. I started buying in 2020 and have around 710 shares. The special year Dividend is so much fun.
@@pg3wg Hey Paul, you are right, the special dividend is fun! I had 10 shares in September and was happy to get $10.00. Currently have 37 shares. I try to pick up 1 a week. 710 shares is awesome!!!!!! Buys a lot of beef jerky lol. Thanks for your view on ORI :) Take care
I have a majority of a pie in SCHD + (VIG, VYM, VPU, & JEPI) used as different exposure reducing funds if SCHD's short term performance slows for a period of time. Portfolio outcome hopefully a 6% growth + 4% dividend.
Nice!
Hey Ryne, will Jepi and O have similar tax treatment? Which one has better tax advantage?
They’re both taxed as ordinary dividends!
Hi Ryne. Couple things to point out for people. 1) Receiving $40k in dividend income in 10 or 20 years seems like aw great number NOW. But what is $40k going to buy you in 10 or 20 years with inflation? And 2) I believe JEPI dividends are taxed as ordinary income whiole SCHD are taxed as qualified dividends. Paying tax on qualified dividends is lower. Then there is the matter of what account you should hold these investments. A Roth IRA would be the best for SCHD and JEPI since you are not paying tax on the distributions. VOO, SPY, IVV would be ok for a taxable account since the dividend would be lower but you get the capital appreciation.
Thanks for sharing that!
At the end of the day income is income. If you want to continue working and just keep these in a roth IRA to finally get it tax free when you retire great. But if you come into a lump sum of money and can invest it into dividends to live off of before retirement why not? There is the psychological tax of having to go to work everyday or the tax your going to pay on ordinary income whether you earn it on a paycheck from work or through dividends with the freedom to do what the hell you want to do whenever you want to do it. I choose the latter option any day of the week.
Well said my friend
I have SCHD and just started adding JEPI in my Roth. Hard to judge at this point. Plan on adding monthly but not sure on the total percentage on each fund to the whole portfolio. I plan on making SCHD part of my core and JEPI as a satellite holding. 5-15 %, 10% for me would be approximately $25,000. Anybody else ? What are your percentages?
Quick question should one be investing if they have debts? Such as Car note, Medical bills, credit card bills & student loans bills?
There are different opinions on this, I'm sure, but I think it's okay to be investing as long as you can still effectively pay down your debt. Getting rid of your debt is so important, but so is investing, so if you can effectively do both at the same time, I don't see an issue with that
Question if you invested in like VOO could you get the number that you would need inside of SCHD and JEPI faster to be able to retire on dividends? It seems like your portfolio ends up larger in VOO in the later years compared to just doing SCHD and JEPI. So I'm wondering if investing in VOO first to the amount needed inside of SCHD and JEPI would be faster?
Whether or not it would be faster depends on a myriad of variables, but that’s certainly one way to go about it. There’d be nothing wrong with doing that at all!
Hello, I am wondering if I am 27 now if I invest 2-5 ETFs will I be able to make good returns? Or must it be an individual stock portfolio? Sorry, I'm not good at English😅
ETFs are just fine my friend!
I’ve already got 3-4 shares of Jepi so I think this week I’m gonna buy a couple more with 1 of Schd. I’m more so focused on the monthly pays from JEPI to increase it’s standings on its own and probably gonna buy 1-2 shares a week of Schd to get that value increase plus the quarterly dividends! Great vid as always! What’s your take on buying individual stocks? I have a few varying from 12-40 shares and they bring in some okay money but not great. Should I keep investing in them too or focus on the ETFs for awhile?
It’s hard for me to say which one you should focus on, but sounds like you’re doing great
@@rynewilliams yeah I think it’s come along well! Got like 40+ shares in Eni, ford, 13 in Pfizer, 8 in Kroger, 3 or so in VYM, 4 in Jepi, 13 in AT&T and I think 9 in DOC so I’ve got a pretty decent mix of varied stocks in different industries and thinking for now I think my plan is to get Jepi and Schd when I start buying it to get those to 40 like I did ford and Eni
Hey @ryne, do you ever use the robo advisor on Charles Schwab? I'm curious
I do not! Have you ever used it?
@@rynewilliams no I haven't. I didn't know if it was worth a flip
@@kyleb1984 what’s it even do?
@@rynewilliams it manages your portfolio for you
@@rynewilliams I don't know too much about it I was just reading about it today a little
Sorry for the question:
Sorry for the noob question.
For your assumptions stated, when you say $100 weekly contributions, do you mean $100 in each? or $50 SCHD/$50 JEPI?
It looks to me like $50/$50 because the initial investment was split in half but I am a sucker for things getting confirmed.
No need to apologize at all my friend. My assumptions are considering a $100 total weekly contribution, so 50/50 each
@@rynewilliamsis it safe to assume that until retirement, both schd and jepi reinvest dividends into itself?
Any chance you could make a Canadian version of this ?
I'm honestly not very well versed in Canadian stocks. You guys can't buy SCHD or JEPI?
I am canadian , i do buy schd in my rrsp since i still got 25 years or so before retierement. ( no withholding 15% taxes on dividend in rrsp , so if for a long run do not use it in a tfsa).As for jepi , not sure if i will buy some since for right now i prefer to buy more share of what i already own.
Thanks as always Ryne!
The only piece of information I am still trying to figure out is the safety and security of both ETF's. Everything says they are extremely safe and well managed, but everything I read is based off the last 20 years of a major tech boom that looks like is subsiding, with little to no major breakthroughs in the next 5 or so years.
Another question, if you had $600,000 today, how much would you be willing to invest into a JEPI/SCHD split versus something else entirely?
Your concern is understandable! And regarding your question, with that amount of money, I personally would opt for the majority of that going to SCHD if it was the JEPI/SCHD split. Having said that, with that amount of money, I would maybe throw in something like VOO or VTI
I'm in the same boat as you are. I went 75% SCHD in Pre-Tax and 25% JEPI in the Roth side of my 401k.
Hi, what do you use for investing in JEPI And SCHD? I am currently living here in the Philippines.
I personally use both Charles Schwab and M1 Finance. I don't know if either of those are offered in the Philippines though
schd and jepi owner lets go
SCHD and JEPI just sound too good to be true. In my head im like why not just throw like $1000 minimum a month at these stocks, maybe $500 to each. Should expedite it quite a bit.
Man if you could invest $1000 into these you'd be rolling in the dividends in no time
@@rynewilliams haha if only😂 I also noticed JEPIs dividend is down around 1.2%
Everyone wants to retire early and that's great but what are ppl doing for health insurance? Sure I can live well below my means but I don't think as I get older, I wanna go without insurance
You can get your own health insurance policy pretty easily. You'd just have to account for that in your monthly expenses when you're planning for early retirement
@@rynewilliams True but unfortunately it can be pretty pricey
@@mcc5746 that is unfortunate, but what are you going to do 🤷
@@rynewilliams very true. Could always move overseas lol
What are the options for uk 🇬🇧 followers ?
There’s a fund call VHYL that looks like a potential substitute for something like SCHD
What’s the best platform to buy best with the least expensive fees
Most brokerages here in the US don’t have any fees. Robinhood, Charles Schwab, Fidelity, M1 Finance - these are all commission free
I plan on using a JEPI/SCHD combo when I get my total contribution amount up to around $200k. Jepi will bring on a great amount for reinvesting at this point!
That sounds like a solid approach man!
Ryne, what do you think about holding Jepi just to use the monthly dividend payout to purchase more Schd with???
I think if your ultimate goal is to purchase more SCHD, it’d make more sense to cut out the middle man (JEPI) and just directly buy more SCHD
How bout combine JEPI, SCHD and SVOL?
What do you think about SVOL? Better than jepi?
I really don't know much about SVOL to be honest!
@@rynewilliams ooh Thanks
Haha sorry I couldn't be more help for you there man
how do you calculate dividends? do you have a video? i thought i knew it but i think i got something off
Are you asking how to calculate the dividend yield?
@@rynewilliams yeah, for example, i used to just take SCHD's 13.75% average annual growth, calculate that with how much id contribute, compound it by 30 years, and from there see what the current yield amount is to that amount.. but i feel like i got something wrong. is that the way? or is there more? i have a growth portfolio, but now i want to get into dividend/income investing and from what ive seen here and other videos it looks like the way dividend growth is calculated, including future dividends, are different...
my 401k account has 2060 retirement fund etf. Do you think it is a better idea to take that money into SCHD / other etf? I know you are not financial advisor but just want to know your thoughts.
That's a tough question. I'm honestly not sure what 2060 retirement fund ETF is, so it's hard for me to say what's better
Sounds like a target date fund that assumes the person is going to retire in 2060. Target date funds are not aggressive enough in my opinion. I moved my money out of one years ago.
Would their be any negatives from investing solely in one of these etfs for a 100% of my portfolio?
I'd feel pretty secure with SCHD, but JEPI comes with more risk. There is always the risk that the yield goes down over time due to the options strategy not being as effective. Also, the dividends from JEPI are taxed as ordinary income, so that's another negative as well. If you're investing in a Roth IRA though, you can avoid the tax issues
@@rynewilliams thank you so much for the added info! Let’s just say I had a pretty rough 2020-present in the market.. feels like I’m going through a cruel rookie hazing initiation that won’t end!😝 Since stumbling on your channel tho, it’s helped assure me going the slow/steady route is the best. Thanks again for the content!
@@brianmunroe7034 Brian I’m so glad to hear that my friend. You’ll find your groove, just keep at it, and keep learning. The journey to retirement through investing is a long one, but offers many learnings experiences along the way. I’ve had my fair share of them myself, and am bound to have plenty more haha
What about QYLD?
Not a bad one!
Love the dragon ball z reference haha
Hahaha I'm glad someone appreciated that 😂
So if I'm early 40s, and I have about $20k to invest,, a good move might be to put 70% into JEPI and 30% into SCHD ?
I would opt for a higher allocation of SCHD to be honest. I personally would feel more secure with a majority into SCHD
@@rynewilliamsit makes sense, though I like the idea of higher dividend payments that I can reinvest. 🤔
You have to hold JEPI in a tax advantaged account. Otherwise, post tax the return is going to lag the SP500
How do you separate your Roth IRA and taxable account?
My Roth IRA is just a collection of ETFs and my taxable is individual stocks. I also have JEPI in my taxable, but I'm thinking about selling it and moving those funds into the Roth
What about o?
Great REIT
Where can I find a calculator where I can calculate 3 etf's with 0 value starting amount?
Here's the link to the dividend calculator I use: www.marketbeat.com/dividends/calculator/
@Ryne Williams thanks much, I'm starting late in the game at 43, hard times during the pandemic depleted my 401k and savings, now that I know about dividends and investing thanks to Mr fain and helpers like you I would really like to see if I can fast track and do another 10-15 years and have a major part of my lifestyle covered by dividends
If JEPI is a Roth 401 choice in your company's plan, are the dividends just reinvested and technically increase the return?
I’m not sure how that works if it’s in a company 401k. I’d imagine they’re reinvested but I can’t be sure. It may be best to ask your HR department about that
@@rynewilliams thanks for the reply
I notice you keep up on replying so I'm now subscribed and binging to catch up
@@kdm28 thank you so much! I’m happy to have you along for the ride 🙌
Could you do a video with a portfolio of JEPI,SCHD,and O and see what the outcome of that would look like please?
I could possibly make one of those!
@@rynewilliams thank you. If you do make it that would be highly appreciated
can I ask how do you invest in these?
If you’re in the US, you can buy them using any brokerage like Charles Schwab, Fidelity, Robinhood, M1 Finance, etc.
You failed to mention that SCHD gives mostly qualified dividends and JEPI gives mostly ordinary dividends. This is an important difference tax-wise.
That’s covered in other videos of mine that go more in-depth on these ETFs. I have whole entire videos dedicated to each one. That information is for another video
@@rynewilliams I loved the video and have moved out of voo and into both of these before your content and i'm very happy that you created this video.
Thank you, I really appreciate that
What if you add in say qqq to mix
20% QQQ
24% SCHD
56% JEPI
How would that do I wonder
You could do that for sure