05-22-2015, 07:21 PM
$60k per year on $1 million is 6% return. To get that with just dividends you'll be reaching for yield and probably taking undue risks. If you didn't want to spend the principal, you could get a reasonably blended rate of about 3.5%-4% using REITs & higher yielding stocks. You could also add spending down the principal on top of the income received to get that amount with some judicious planning.
I can hear some drooling coming the financial adviser corner.
I can hear some drooling coming the financial adviser corner.
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“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan
“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan