SCHD: SIMPLE $1,250 per month forever - PASSIVE INCOME
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- Опубліковано 9 січ 2025
- SCHD is the best ETF for high dividend yield and low risk investing for beginners in dividend investing. Index funds and ETFs are my favorite form of investing in the stock market for passive income.
#schd #dividendetf #dividendinvesting
*not financial advice
Started investing more seriously this year at the age of 30 and I'm loving SCHD so far.
Right on bro. Im 40 and just started in october last year. Just got 1x dividen share already. Feels great!
Nothing stays the same. Diversification is key
Yes. Schd is ETF is a diversification in a package. Actually all ETF is just that, except a package selected by others.
@@kito1san Question, I’ll be 20 soon, I want to start investing in Voo and some dividends like schd, but I don’t really want to wait until 59 1/2 to start taking out money I want to be closer to 50. Do I open a brokerage or Roth ira
This is what I do on the first of every month in my Roth IRA...I put $500 into schd which is my $6,000 per year!
Heck yes!! Gunna pay off
So you open a roth and put $500 a month into schd?
Can you buy 100k worth of schd or does it have to be only 6k a year? I’m trying to understand. Thank you
@@tank6469 you can buy as much SCHD as you'd like! Unlike tax deferred retirement accounts, there is no annual contribution limit. Thank you for your question and great luck investing!
@@ptrs41653 thank you I appreciate your response
Love it. I’m invested in this ETF, O and MAIN right now
My favorites $SCHD $O $MAIN $JEPQ
Yieldmax is supposed risky, but i make more money in dividends look CONY, MSTY, NVDY, IWMY, ULTY if you investing like 10k on this shares you receive almost 1k for month and for year 13k.
Much better than SCHD. I invest in higher that 3.5 dividend. There's much better than this.
Same here
MAIN is one that I put money in every month.
This doesn't take price appreciation or dividend growth into consideration. Both will grow over the course of 20 years, resulting in a much larger dividend payout per year.
Yup totally!
I’m investing $500 each week into SCHD and DGRW and reinvesting all the dividends. By 2026 I’m hoping to make it $1000 each week cause I will finish my degree and hopefully get a good paying job.
Whars best broker do you use, can you help me?
I'm kinda impressed that a college student is dumping $26k annually into this stock. How is it going so far?
As much as you think schd is good. But you have to ensure that schd portfolio (stocks) is stable or going up to make any gains or get any dividends. If not, it will tank along with it. So in general, looking at S&P in general will give you an idea how your schd will do.
@@KingRoyale_ schd is Charles Schwab ETF. However other brokerage will have their version of ETF. You don't need a broker for ETF. You can buy with your open account or with any brokerage open.
Doing it this way is the slowest way to become a millionaire. I’d suggest large growth stocks like semiconductors which have high returns and in 10 years you win be a millionaire which then you can sell off the stock and buy all schd where you can receive the dividends
I need to get started asap I'm 36 and I'll be 37 in the next month and a half, and I have no retirement. Scary moments right now
No worries. I didn't get serious until I was around your age and by only investing 6% of my paycheck to 401K I grew it to over a million before I hit 60 so you have time.
I didn’t start until I was 39. In November of 2018 my 401k balance was zero and now in November of 2023 my balance is 180k.
Never too late to start brotha
JEPY for you sir
Learn a skilk and make money. Investing is good for long term solution but short term you need to earn a better income. That 20 year giving 15k dividend per year is shit because of inflation. If you earn around 70.000-100k per year and start investing other like "silence investor, flipping house, renting house. You earn way more than this dividend crap"
Keep grinding man your gonna get tons of views with these formats.
Thanks brother!
This is my favorite. Hesitating to buy but now I’ve heard you I’m buying
My goal is to bump the $300 a month I’m putting away (in more than just SCHD, but all dividend payers) up to $1000 over the next 3 years. Then hopefully retiring by 2035 in my 40s. Little videos like this just reinforce my drive to pull it off.
I like it my friend!
Take inflation into consideration. Good luck.
If you would just invest in tech stocks you would make way more. Dividends are the slowest way to make momey
@@paulmiljus The perk of dividends in my opinion, is not having to sell. I don’t have to worry about a market dip messing up my retirement. I make growing dividends regardless. (And the dividend snowball only starts slower. Look at Buffet & Munger 🤷🏻)
Nice bro! I pull my whole salary almost 100k in brokerage accounts and max out my 401k every year while living off my wife’s paychecks. Should be able to retire in 10 years too! We invest in technology stocks semiconductors, and in 10 years well rebalance and put everything in schd and live off the dividends without selling too much off the principal and our accounts will still keep growing!
I always go back and fourth with either investing in VOO or SCHD. I think I ultimately stay with VOO because it has more diversity, a slightly lower expense ratio, and a slightly higher return in the long run.
You could always do both!
Yeah do 50/50.
VOO doesn’t have diversity when apple is 8% 😂
Apple 8% ?
Do both. I do schd, Voo, and VGT monthly.
@@NickOloteo schd is or was 14% in financial sector which to me is much too high
Thanks for explaining it in an understandable way
You’re welcome
I'm 36 and started in Feb, I'm getting close to 30k investment.
I put them all on recurring investment so i don't have to deal with them every week, currently at $550 a week.
I wish i had know and started earlier too guys, but it's never late.
Hey I’m 18 and I’m soon leaving for the navy. Are you invested in multiple other companies, mutual funds, or just schd?
@ahappyorange hey, yes I have invested in multiple different companies.
But, I started by just different ETFs, like VUG, VOO, VTI and once I saw the return I started to read about the companies and diversify my investment.
SPLG is another great ETF that I would look into if you are starting.
@ahappyorange i have replied to your comment before, I don't know how it's not here.
I haven't put anything towards schd. Mostly, I invested in VTI, VUG, VOO, MSFT, TSLA, and AMZN.
A couple of my friends call me a safe player, but I would rather be safe than sorry.
Take a look at SPLG rather than SCHD, I think that has more potential than SCHD.
GOOD LUCK.
$700 a month for IRA to SCHD and then $300 a month for my brokerage account. I need to diversify my ETF’s a little more as SCHD isn’t as tech heavy as it used to be but SCHD is still going to be the main position I’m holding
Look into SCHG then!
29 now my goal has been to invest 1500 each month between my wife and i 500 goes into schd and 1,000 split between vti and qqq, hoping to switch to part time work at age 40 with this strategy lord willing happy investing guys 🙏🏻💪🏻
Great moves! I like it
You have the same goal than me 👏
Professor, got a question,
I have in my employer 401k 100% is going into state street 500 (i believe this is the closest thing similar to VOO/SP500) and in my roth ira is full going to schd for long. 401k per year is to estimate about 16-20k into it where as my roth ira is at 6-7k per year. Whats your thoughts on this?
I have a similar one for dividend growth. Started 2 years ago and love it.
SCHD BABY🎉
🎉🎉🎉🎉
How did you get the 12%?
@@annea.1765 looking at the historical rate of appreciation each year on average!
If i put 100k now how be year
What about JEPI and JEPQ?
100k at $7 at psec, .06 monthly div = $857 or 10285 year. Just some food for thought
Psec isn't qualified right?
just bought more psec today at $5.10 cents
I saved 80k in my 20s in 5 years. I wished SCHD existed then. I mostly managed my stocks myself back then and did well.
Hi there!! Great content I just found your channel. How do I learn how to invest please.
I have no idea😨
Keep watching these videos!
Thank you for responding. I sure will😊
My goal is to retire at 40 years old. I already have a small business and my job. I have only been investing in ETFs for about 3 months. If I had known this before, I would already have more money invested. Well, my plan is to invest. I hope it will be like I think, 1000dlls per month. In schd I don't know if there is any limit per year investing in that ETF
Why so early, what are you gonna do with your life
@@skatergrl13 travel lol
You’d need to invest a little more aggressively if you plan on retiring at age 40. Schd isnt going to cut it, its also one of the slowest ways to get rich.
@@ismaelmadrigalwhat would you say are some good stocks you would think to invest in and how aggressively?
I have 2 of this shares so far and it gives me $1.41 each month. I will add more in it soon.
But how important is the income to you right now? If you invested it into something like QQQ, XLK, or XSD-all of which have outperformed SCHD in total return (even if you only look as far back as the newest one's inception date, you could liquidate those when you need the income and then likely be able to buy more shares of SCHD than if you had invested into SCHD from the beginning.
I think u mean $1.41 every 3 months...they pay quarterly. I have almost 7 shares and I get $1.36 a month (last payment was $4.09)
@@LIG87 he doesn’t mean either of those… on 2 shares he only makes $5 annually.
$0.41 per month is his actually yield. $1.25 quarterly, for 2 shares
Speak them facts bro at least you ain’t Cap. I too starting out small building up.
@@vincent8900 but you actually dont want the price of the etf to increase too much for a DRIP strategy as if the price increases then you’ll be able to purchase less shares
You forget that the yield should be higher, because you get dividend increases on the older investment costs, so the percentage will be even better.
Yup totally!
Bought 1 share last month, just bought 3 more. First dividend of 0.75 to occur next week. Also heard about 3 to 1 split with it.
Jepi and jepq solid and 12% dyvident 😮
jepq is a trap. jepi is better its a value one.
Jepi is 6.88 and is only a JP Morgan product. Expense ratio higher. It's only a 5 year old product. Where did you get 12%?
Monthly div stocks worth checking out, for example
21 and I recently decided that I should get into ETFs so I put 1000 into SCHG and 500 in SCHD. Not much but only going to add more from here!!
Should i buy schd for my roth ira
I do!
What is the best source for beginners to learn about dividends…. Book, or videos, or website… I would like to start this for my son.
UA-cam. Or reddit/wallstreetbets
Can you do a video/calculation like this for JEPQ?
Very attractive info, if I do 1000 a month instead of 500, will be able to double the 15,000 a year in 10 years? I would definitely do that over real estate.
By the way, thank you very much for all the amazing info, I really appreciate it
i put about 5k across a spread of different etfs every month i only started recently but ive just managed to get my first property investment through an incredible mortgage e-sale
Can u make a video on where to put these investments. In a regular brokerage account versus tax deferred retirement accounts. If one needs the money now for the FIRE movement versus not needing the money until later past retirement.
As we all know different generations have a different mindsets. Older folks likes to work all their lives, versus millennials would love to live at the moment, not having to be tied to a 9-5job. My point is, we can work anywhere, not having to be tied in a single location, and would love to have an extra income coming in. Given these dividends are taxed as well with within different tax margins. With that said location plays a crucial role as well. In some places they are tax friendly.
How do you reinvest the dividend, is there an automated way?
Yes. Most brokerages give you the option free… premium option just to do that
Maxing my 401k match with my employer now and i just started contributing to a Roth IRA as well. Ill have to keep SCHD in mind.
Just bought my first shares of this ETF
You said that the 1250 monthly income would come from reinvesting the dividends but then how would you get that monthly income if you can’t cash out the dividends?
You will have been reinvesting the dividends up until that point but once you have a sizeable enough amount of principal then you can stop reinvesting the dividends and take the cash
Ok so then how would that affect the growth of the ETF on our portfolio?
@@squidgaming7724 you would get whatever the stock appreciation is.
should I invest SCHD daily or weekly or put everything into one etf or stock? I currently have couple of etfs in my Roth IRA
What is the calculator you use to model the returns?
What if start with $1000? How much would the dividend be in 30 years?
Also try to invest in tax advantages accounts. Your dividends are taxes even when reinvested if I recall.
What's the alternative for Europeans?
Schd not available.
Should I buy only SCHD for my dividend ETF portfolio or combo with anothers indexes?
I’d start with SCHD and then after a couple months you may want to add in another index or two but I’d definitely start there
Everyone forgets to tell you that when you receive a dividend, the share price goes down. $100 share price minus $1 dividend = $99 share price after the dividend. Then you pay tax on the $1 dividend. Dividends are not the same as being paid interest.
Not accounting for taxes that have to be paid, when you withdraw the money that you are gaining in dividends
What’s another account that I can use that has no investment limit like more then 6k a year
401K, HSA, regular brokerage accounts
I see people calculating SCHD dividends differently… one of which focuses on Expected Annual Dividend Amount Increase (%) per year with a Dividend Tax Rate at 15%… have you calculated dividends this way before?
Ya that can make sense if you’re planning on using the dividends and not reinvest
@@NolanGouveia gotcha. In case you don’t get enough of this, thank you for always making the time to reply to our questions in comments 🙏
Got a question…. $40k - $50k in schd at 3.35% or Sofi highs or savings account at 4.5%?
What site are you using to calculate the earnings?
*and how much of this is taxed if we actually start to spend the dividend money we earn?*
If I have $200 to invest every month should I put it all in schd or some in swppx? I'm 58.
Would it be a smart move or still have a foundation or growth? My thing is since we can only contribute about $581 a month for the annual max of $7000 how can we invest this $500 in a Roth if we still need to make room for a foundational and growth etf?
Wouldn’t you make more doing that in a high yielding savings account with 5% a year ? I could be wrong. Please educate me if anyone knows
Exactly. I’ve made that for last two years. However in a Roth they might be better off.
Should we both invest and have a IRA? Or just pick one?
I think your question is surrounding investing in a brokerage account vs investing in a retirement account? And if so, yes both!
Invest in a Roth IRA first, then once maxed out for the year do a brokerage acct after that.
Hello.
Thank you for your videos great info and tips.
Can you please tell me a etf alternative for the SCHD for Europe investors?
Thank you for the help.
Soon! Working on it
Ist available in germany too, Look at different Brokers
Should i put it in roth ira or regular brokerage? Im 34 abd just starting.
Depends on when you need the money. Roth is great for avoid the tax on dividend but can't touch it til 59 1/2. On a brokerage account you'll pay ordinary income tax on each divendend payout unless it's qualified, which you'd pay capital gains tax.
I think I’m a bit lost here. In my acct I’m all cash invested in the SPAXX and I think it’s making me 4.9? And making aprox $1500 a month on $300K. Make it make sense.
Should dividend accounts be in an IRA or a ROTH?
What about the withholding tax?
Brother would you put this in a regular brokerage if your trying to retire before 59 ? or Roth it ?
I have it in both!
Is it better to invest in multiple dividend ETFs or just commit to one like SCHD?
That’s up to you and your strategy! I like to hold 3-5
How do you pay the taxes on your dividends accounts
Starting after Labor Day, I like this idea. $500/mo fractional shares or dollar cost whatever you call it.
I wonder if Vanguard has something like this
VYM is the closest and it’s a good one!
Hmm, 1.5k a month after 120 months of 500 input plus reinvesting the dividends, I don't like this math but thanks for doing it
Right I’d rather put 10,000 in Doge coin or something
How much do I need to invest in this.
Whats the ñame of the calculator?
What account are you investing in ?
If SCHD is paying 3.5% dividend yield, but a High Yield Savings Account is paying 5% interest, is my money better in the HYSA?
Compairing stocks vs cash is compairing apples vs oranges. Different asset classes
Wouldn’t yield and stock price fluctuate? Like %, stock price and yield none of them are constant then how can you take today’s return and say its for rest of your life? Let me know if I am missing anything
Same question here
How did you come up with that annual interest rate
Hey Nolan,would it be optimal in your general opinion, to have growth stocks (qqqm) (vug) as well as Voo and schd in Roth IRA for a 33 year old. Thanks for the quality content.
Definitely! That’s what I have in mine!
Or buy a rental with a 20% down payment and cash flow it month one $300-500 month while the home appreciates
What if you keep investing what you make from dividend?
How is SCHD any better than SPYI?
what site are you using to forecast the future payouts?
Wait a minute Question where you get 3.5 from and the dividend yield says 3.7 I’m confused
I used 3.5 as a conservative approach since the dividend fluctuates slightly
@@NolanGouveia ok I got you I’m learning a lot appreciate you I be sure to comment more often
@@mrsinnizter I’m here to help where I can my friend!
Hi, can you tell me which calculator do you using pls?
It’s a free compound interest calculator on Google!
I don’t understand why you think this is such a big deal. Interest rates on a CD are currently higher. And QYLD, is almost 12% yield per year. What am I missing that makes this such a great ETF?
Are these percentages fixed or will it change over time? I have used many dividend calculators online but it appears results are different due to percentage change.
Dividends change yes
@@NolanGouveia what would be a good indicator to know when I should pull out of it if it tends to go south quick?
If you have $5,000 to invest. Which dividend etf would you choose? SCHD still?
What if I invested 100,000 in the beginning will my annual dividend payments start after one ☝️ year of investing 600 a month
OR you could buy T bills and make 5.6 percent and have no risk. As in zero
T bills?
@@Fuerya Us treasuries, for 20 years the government has forced the average American to purchase stocks like SCHD due to artificially low interest rates that the US set, now rates are normal you can buy US government debt and they will pay you money back for your purchase.
Yes you are correct. However, if you project the future, you will have much more if you buy SCHD and reinvest and wait many years….. price appreciation and the dividend.20 years equals f u money in a foreign country.
@@rons2079 I’m with you in my case it’s easier for me to keep T bills I’m intending to unload my savings brokerage to buy a multifamily property that I would live in. So for me short term 3 years zero risk 6 percent is very solid.
Is it better to have SCHD in my roth ira or just 401k brokeragelink? I currently have SCHD in my 401k, VOO in my roth ira and QQQM in my roth 401k.
I see interest rate put is 12% ? Is that realistic in upcoming years ? How is 12 % calculated
Hey Nolan, can you please suggest an alternative dividend ETF for Canadian investors? Is there a Canadian equivalent of SCHD?
Gunna make a video for those outside the US this coming week!
You need to adjust these numbers for inflation.
Loosing money when inflation is higher than the dividend
Agreed and that sucks, but it’s better than having inflation and not having a dividend!
the market lost around 17 percent . SCHD lost in 2022 around 3 percent
So how did you get this number I do a dividend calculator and the numbers are not close
What's the alternative for this in Germany?
Question, I’ll be 20 soon, I want to start investing in Voo and some dividends like schd, but I don’t really want to wait until 59 1/2 to start taking out money I want to be closer to 50. Do I open a brokerage or Roth ira
Save money, invest in companies you know like Bank of America, Ford, GM etc.
AVOID PENNY STOCK LIKE A PLAGUE!.
Then with around 3k to 5k you can start selling puts at $30 per month or every 2 weeks on these strong stock companies.
So then you can start making some income. $30×12=$360 this may be your income using $BAC (Bank of America) out of around 5k now.
Keep buying that stock to get more shares.
Learn 2 skills only Cash secured puts, and covered calls this is all you need to start the game. Very simple but you can make it big over the long term
@@fernando9175what would you say was the best video you watched or advice to study when choosing stocks and doing puts like you say… idk what a put is or option 😩
$SCHD and $SPY, my bread and butter.
💪💪
Thank you so much for the content but I am little confused . Let’s say I invest 500 dollars every month and interest is 3.5 percent . So in 10 years I would have invested nearly 60k so the dividend I would be getting is 3.5 percent of 60k right , how is it 3.5 percent of 100k . Can you please explain
Anything similar to SCHD for only canadian dollar investors??
VIG OR SCHD? Or both?
That's if they keep paying the dividend 🤞🏿, they can change there minds about how much dividends they'll pay.
Got SCHD market value of $1000 hope get more at $70 or below 😬
Nice work and yes me too!
What’s best uk high etf that can get on trading 212 with decent fees
is there a UK version of this?