SCHD is my number 1 holding. Currently at 3000+ shares. I have already retired, I'm 44 and love this ETF. I don't use the divis to live, will do within the next 5 years. Want to give it more time to grow!. Every share counts, keep up the good job accumulating guys!
@@ivanZ.4 Hey I think it should be close to 300-400 weekly should go to about 100k with 8-10% compounding. 1000 will do double of that. but that in 15 years would be like 300k something
My brother and I secretly buy shares of this for his sons (who are 3 and 5) on their birthdays and Christmas. Whenever they feel ready to move out of the house is when we'll reveal the brokerage account and give it to them.
I did this for my niece and nephews. Never gave them Birthday or Xmas gifts. When they turned 21 I turned the accounts over to them and they all had a nice chunk of change ($6k+). I asked them if they remembered that I never got them birthday or Xmas presents and they all said no. I’m now the favorite uncle. 😂
I opened a roth ira for my daughter and my brother did it for his kids and we contributed 12000$ in the past 2 years..I was looking for an additional fund in addition to VTSAX ..I like the idea of putting 50% in SCHD and 50% in VTSAX..my only advise to you is to teach your kids about money from an early age, show them how compound interest can work in their favor..in most cases when they don’t understand how long it takes money to grow, they would not understand the value of money and blow it all away..our kids know they have a retirement account already and have money in it..if we don’t contribute another penny into their account, at an 8% growth rate..they will have 1.5 million in their account by the time they are 70 years old..
@@combatdouglas1306 you are right..If kids are given money or assets but they don’t learn how to manage money or understand how money works, they will squander it away..I am doing the same thing this gentleman is doing but I am sitting down with my daughter and showing her the account and explaining why I am doing what I am doing so she understands it and can continue to put money into a roth account in addition to learning about Real estate and other asset classes..this way she gets to learn the foundational lessons about money and see in real life how compound interest works by evaluating her roth ira accounts..keeping it a secret is actually going to be a bad idea
What I like best about retiring off just SCHD is that no individual stock research is necessary. I kind of enjoy the research but my wife has no interest in it whatsoever. Given our ages, I am almost certain to go before she does (and sadly, I could have a heart attack or get hit by bus tomorrow). My parting gift to her will be a stress-free investment "portfolio" which will pay her living expenses for the rest of her life.
@@SolCalRosa VOO is a reasonable option, although I chose SCHD for two reasons 1) it has a substantially higher yield and I feel a lot more comfortable spending dividends than selling shares (rational or not, that's how I feel), and 2) on a valuation basis, the VOO is a lot more expensive and thus more likely to underperform over the next 10 years or so.
Just started investing (from India). Currently at 3k (with 39.45 shares). Plan to put 200 $'s every month to begin with. I am 30, and the plan is to keep investing for the next 15 years 🤞. Great video mate!
@@NolanGouveia Shall keep you posted about any major developments. I have been doing the same in India with various mutual funds (sitting at a decent retirement corpus). You are incredible though, it's thanks to you that I thought of starting in the US as well. Godspeed 🙌
I really love SCHD. I bought in in March of 2021 ($78). I have a total of 24K invested (18K between two Roths and 6K in a brokerage account). For 2023 I am investing another 18K in SCHD (6K per Roth and 6K in a brokerage account). Luckily, I am well balanced between VTI, SPY, VYM, and other ETFs. Over the last 20 some odd months, SCHD has not disappointed and while I am down in the position, I am only down by $3 dollars per share from where I originally bought in. I have friends who talk about their 20-25% loss over the last 1-2 years and for me? SCHD has done very well. I expect good things for SCHD over the next few years.
@@jacobgomer Apologies for how I articulated that. Over the last two years, my total contributions to SCHD, within two different Roths (mine and wife), has been 18K (about 9K a piece total - FY21 (6K) -FY22 (3K) contributions). For this year's contributions (FY23), I added another 6K per Roth in SCHD and another 6K into my brokerage account, however I did switch from the 6K to SCHD to VOO in the brokerage account. The last 1K for Fy23 contributions, 500 per Roth for a total of $6500, went into VTI/VOO. Hope that clarifies.
I’m building a an investment portfolio for retirement with those ETFs VXUS (International Stocks): 15% VOO (US Stocks): 40% SMH (Semiconductors): 20% VNQ (Real Estate): 15% BND (Total Bond Market): 5% 5 % cash I’m not considering SCHD as it does overlap with VOO
Excellent video! I have 959 shares of SCHD in my dividend portfolio and 1670 shares in an IRA. SCHD has recovered much more than the broader market. I think there is more upside in QQQ/VTI/VOO. I am of course going to DRIP my upcoming dividend from SCHD on 12/12/22 back into SCHD.
I have 54k in SWPPX that I won’t touch for 20 years. It’s my early retirement fund that I plan to not contribute another penny towards. However, I have 14k in SCHD, and it’s been my plan to solely fund it (with DRIP of course) from here on out, and your video perfectly describes why 👍
You neglected to mention that SCHD does not include any REITs, so, after 60days, the dividends would be qualified dividends and taxed at a lower rate, or not at all depending on your income level.
I use my 401k as my “growth” portfolio which is matched by 6% (S&P500 fund) and I invest heavy into SCHD in my ROTH IRA as my “income” portfolio 🙌🏼 best of both worlds
100% of my roth 401k that I max out yearly goes directly into schd. I diversify with a roth ira I max yearly and an individual retirement fund I invest in tech.. I have 20 years to go.. and its been growing well beyond my expectations, my salary don't even compare at this point
Not asking for Financial advice. I am 61 and considering retirement next year your thoughts on jepi and schd in Combination For dividend income in retirement , Thank you
Just finished watching my 2nd full length video... I'm speechless... This information is soooo good! OMG .. it's addictive! However, I'm sad.. I'm a late starter in investing and saving. 💔 I'm a black American and this type of stuff I never heard about... unfortunately, it was never taught to me and I had no idea this type of stuff existed. This is something I should've did in my 20's 💔... I'm now 42.. I believe it's not to late for me to start! This video hits home with me when you mention about generational wealth... Passing it down to children and grandchildren... THIS IS SOMETHING I WANT!!!! EVEN IF IT MAYBE FOR A SHORT TIME! I PRAY FOR AT LEAST A GOOD 20YRS. OR SO TO BUILD AND TO PASS ON SOMETHING! I wanna say thank you for your help because you have no idea the guilt I feel .. that I am feeling for not starting this journey earlier in my life. Just know you're appreciated ❤️ again ..thank you so very much
First off, thank you for the kind words! Second, it is DEFINITELY not too late! Third, everyone starts somewhere and little by little it grows. It’s all about getting started and then staying disciplined. You got this!
@@NolanGouveia good morning.. yes indeed.. and thank you again.. just finished another video.. I will definitely keep you posted on my journey. And absolutely correct...it's about getting started for sure.
You are never too old to start! I am starting much later than you. I may not make as much, but I started! And will also teach my children and also any body who will listen. We should be taught this when we are younger. Good luck to you and yours! Much prosperity and peace!
I've been DCAing into SCHD which is heavy on Financials, Technology, Consumer Goods, and Healthcare plus I purchase SPYD along with it. SPYD is the State Street high dividend ETF which is heavy on Financials, Utilities, and Oil & Gas. The expense ratio for SPYD is .07% and it pays a higher dividend than SCHD at the moment. I still like SCHD for its lower asset turnover ratio which saves on tax burden of the fund.
Great Video! I have a quick question regarding dividend etfs in a roth IRA. I know that with vanguard you can have your dividends reinvested back into the original etf but lets say when I'm 40 and my dividends are making enough for me to live off of am I able to withdraw those dividends from my roth ira account into my bank account tax free / penilty free or do I have to wait until I hit 59 1/2 years of age to withdraw those dividend? Becasue in Vanguard it doesn't seem to have the option to have dividends go directly to your bank account rather than reinvest or go to your settlement fund.
It's actuality crazy to think, this is all you need to retire. Something so simple..... no stock researching, stressing over the market, cpi, jobs data, inflation....schd is all you need. Boring? Sure, but it's the system to success!
If your making 10k a month on dividends, theoretically, you could buy a 10k CD every month for 12 months. Then you would have 12 CD cooking for 5 or 10 years while you continue getting dividends. Eventually all those cds will mature yielding an additional profit. Provided that there will be good CD yield to begin with. Who knows maybe the banks will be hard up enough to give decent CD yield rate.
The numbers are off. You are assuming a 12% return when the s&p has historically returned 10%. I really like SCHD and it is definitely one of the best dividend funds available but the chances of it returning a full 2% more than the S&P is slim to none. It will track very similar to the it but won’t be a fully 2% more.
New to investing, starting in my late 40s. Have a good job now, likely able to invest 4k/month and likely more in the near future with 3-4 month of saving in a HYSA. With the market doing what it’s doing and the stock on a downturn, are you still bullish on SCHD? I realize we are aiming for longevity and not getting spooked with temporary drops. Great content, learning so much!
4:30 Hey professor, I was hoping you would clarify this for me? The $89K is the compounding return over 10 years, but that doesn’t necessarily mean dividends are paid on that full return, right? You are only paid dividends on the total number of shares you have. Over 10 years you would have roughly 660 shares paying $2.60 per share. Am I thinking about this correctly? Sorry, new to dividend investing!
No worries! You would be correct with this thinking, however the dividend has increased each year and is expected to continue to increase each year so you’d take dividend growth in to consideration
I am setting up a 3 ETF portfolio in my IRA, but just swapped out VTI for VOO. The 3rd ETF is FTEC. Part of me thinks that SCHD and FTEC would cover the market as well. VOO has just slightly outperformed VTI over the last 5 years or so and has an automatic selection process to weed out under performers, same ER.
With money market funds like VMRXX giving 4.52% yield (Soon above 5% after next couple rate hikes) with no risk at all, investing in equities is less appealing. But I like SCHD, VYM and DGRO for diversification
Great knowledge, Professor G. I'm starting to invest at 22 years old, and i was wondering what you think of investing in a taxable broker like robinhood and paying annual taxes on it in the hope of being able to retire earlier than 59.5 the roth ira would require me to wait 🤔
Hey Professor G, Starting late here, in my mid 40s. Would love to know what impact it might have to front load some of those contributions. For eg putting in half the amount up front and contributing only $2500 a year instead of the $5000. Would it have the same effect on a 20-30 year outlook? Which approach would be better?
Unless I missed it--which I easily could have--you forgot to account for inflation which usually is around 2% on average per year over the long run. I usually factor that in by reducing it from my estimated rate of return. Other than that, great video!
Prof, as I am watching the financial sector saga unfold, I am wondering what will happen to SCHD if Schwab went bankrupt? I am seeing SCHW stock go down with each passing day (as of May 4, 2023). Please let us know once you research on this. Thank you so much!
Is it wrong to have MORT or SRET or SCHH alongside to SCHD? Looking for higher dividends. Or divide the money will affect negatively to the portfolio growth?
Hi. Very very nice videos, realy!! I have a question regarding the value og this SCHD etf. Value of this dividend ETF stock seems to be on its the top as value. Is it then smart to put money, like 500 every month, on this one since the value over time can go deep down and therefor eat up dividend and etc value? Thank you.
Love your videos! As a Canadian, I realize some of the rules are different and there may be better ways in the approach of buying/selling particular ETFS. Could you direct me to some sources that might explain this to me before proceeding with investing in an ETF such as SCHD? Thank you, and I look forward in hearing back from you soon :)
Some of the companies inside SCHD are already with high PE ratio , I love this ETF but it go lower when the fed pivot , many investors will jump in to Nasdaq and this will go 10 to 20% down in my opinion in 6 to 12 month. But your plan Long-term is A plus
@Henry Tang yes the prediction came true now I'm Buying some SCHD but I will tell you something if you want to create money then you need growth, like Tesla NVDA, SOFI PLTR my plan is sell this growth stocks in 10 years and then moving it in to something like this fund for the dividend, but this fund will not make no one rich fast , if you got already the money then schd is good option
Professor G, can you show me how to do the compounding calculation? If I have a measly 50k in my vanguard portfolio, and dropped it all into Schd. I contribute 1k a month for the next next years. Yeah, I'm getting old, want to call it quits at 65, 66 if possible. What I will get in monthly/annual income to live off?
Would it be good to invest in both SCHD and QQQm from now until retirement? And when it comes to retirement, only sell QQQm and go down to SCHD or you think ETF+ individual stocks are better than holding 2 ETFs
Would you have more if you took from the growth of an ETF stock portfolio with very little dividend focus versus taking the dividend payouts from a dividend focused ETF?
What r u doing to offset the tax drag in brokerage? Given the yield and dividend payouts, to me it makes sense for tax favorable accounts (trad or roth)
Even though you said not to invest in schd, just because someone (YOU) :-) said so, I just did. I dropped a couple hundred, money I would have used for hair/eating out/clothes....for a month. I already have SWTSX & SWIS....so what is a few more Benjamines
Are the dividends taxed at the source before the fund pays them to the investor? FYI, I am European resident, but if taxing at the source is done by the fund, it won't matter the residence...Please let me know if you know the answer
I wanna have a video both comparing and combining $JEPI/$SCHD different percentages 1/4 one 3/4 the other or 2/4 of each or what works best because I love research but still am not going to beat the market
Haha I appreciate that! I am actually starting to research REITs more in depth to be able to make an informative video soon. For now, I do like the dividend but the taxes on them are higher too so there are pros and cons. I definitely like REITs in a ROTH IRA though
What is the calculation for someone 60 years of age and wants to retire this month. He currently has no investment in SCHD. If he could put a lump sum of $500K in today, how much passive income would that generate for him on a monthly basis?
Hi Professor G. 😊 thank you very much for this channel. Quick question: is it good to start investing in etfs that pay dividends (and therefore you pay taxes) or better to start compounding as mu h as you can and then switch in the future to dividends etfs? Thank you 🙏
SCHD is my number 1 holding. Currently at 3000+ shares. I have already retired, I'm 44 and love this ETF. I don't use the divis to live, will do within the next 5 years. Want to give it more time to grow!. Every share counts, keep up the good job accumulating guys!
What’s a good weekly dollar amount to be aggressive for a 10 year plan 🤔
@@ivanZ.4 Hey I think it should be close to 300-400 weekly should go to about 100k with 8-10% compounding. 1000 will do double of that. but that in 15 years would be like 300k something
I’m 20 and I see a lot of potential in this etf and I’m glad I’m investing early!
So great! Goodjob getting started early!
My brother and I secretly buy shares of this for his sons (who are 3 and 5) on their birthdays and Christmas. Whenever they feel ready to move out of the house is when we'll reveal the brokerage account and give it to them.
That is so awesome!!! What an amazing gift!!
I did this for my niece and nephews. Never gave them Birthday or Xmas gifts. When they turned 21 I turned the accounts over to them and they all had a nice chunk of change ($6k+).
I asked them if they remembered that I never got them birthday or Xmas presents and they all said no.
I’m now the favorite uncle. 😂
I opened a roth ira for my daughter and my brother did it for his kids and we contributed 12000$ in the past 2 years..I was looking for an additional fund in addition to VTSAX ..I like the idea of putting 50% in SCHD and 50% in VTSAX..my only advise to you is to teach your kids about money from an early age, show them how compound interest can work in their favor..in most cases when they don’t understand how long it takes money to grow, they would not understand the value of money and blow it all away..our kids know they have a retirement account already and have money in it..if we don’t contribute another penny into their account, at an 8% growth rate..they will have 1.5 million in their account by the time they are 70 years old..
You will cripple them.
That is experience talking.
Platinum spoon babies go broke quickly.
Where is daddy then ?
@@combatdouglas1306 you are right..If kids are given money or assets but they don’t learn how to manage money or understand how money works, they will squander it away..I am doing the same thing this gentleman is doing but I am sitting down with my daughter and showing her the account and explaining why I am doing what I am doing so she understands it and can continue to put money into a roth account in addition to learning about Real estate and other asset classes..this way she gets to learn the foundational lessons about money and see in real life how compound interest works by evaluating her roth ira accounts..keeping it a secret is actually going to be a bad idea
What I like best about retiring off just SCHD is that no individual stock research is necessary. I kind of enjoy the research but my wife has no interest in it whatsoever. Given our ages, I am almost certain to go before she does (and sadly, I could have a heart attack or get hit by bus tomorrow). My parting gift to her will be a stress-free investment "portfolio" which will pay her living expenses for the rest of her life.
Exactly! That is such an important benefit! Great thinking sir
Yup that’s what it’s all about.
Awesome Husband
Why not voo?
@@SolCalRosa VOO is a reasonable option, although I chose SCHD for two reasons 1) it has a substantially higher yield and I feel a lot more comfortable spending dividends than selling shares (rational or not, that's how I feel), and 2) on a valuation basis, the VOO is a lot more expensive and thus more likely to underperform over the next 10 years or so.
I love simple investing. Thank you, Professor G!
🙌🙌💰💰
Thank so much!!! My favorite investment channel. You make it easy to understand!!
Happy to hear it!
Just started investing (from India). Currently at 3k (with 39.45 shares). Plan to put 200 $'s every month to begin with. I am 30, and the plan is to keep investing for the next 15 years 🤞. Great video mate!
Perfect plan my friend!
@@NolanGouveia Shall keep you posted about any major developments. I have been doing the same in India with various mutual funds (sitting at a decent retirement corpus). You are incredible though, it's thanks to you that I thought of starting in the US as well. Godspeed 🙌
@@trpdelhi happy to help!
I really love SCHD. I bought in in March of 2021 ($78). I have a total of 24K invested (18K between two Roths and 6K in a brokerage account). For 2023 I am investing another 18K in SCHD (6K per Roth and 6K in a brokerage account). Luckily, I am well balanced between VTI, SPY, VYM, and other ETFs. Over the last 20 some odd months, SCHD has not disappointed and while I am down in the position, I am only down by $3 dollars per share from where I originally bought in. I have friends who talk about their 20-25% loss over the last 1-2 years and for me? SCHD has done very well. I expect good things for SCHD over the next few years.
SCHD is so great!
How are you able to put 12k into roths? i thought the limit was $6,500 a year
@@jacobgomer Apologies for how I articulated that. Over the last two years, my total contributions to SCHD, within two different Roths (mine and wife), has been 18K (about 9K a piece total - FY21 (6K) -FY22 (3K) contributions). For this year's contributions (FY23), I added another 6K per Roth in SCHD and another 6K into my brokerage account, however I did switch from the 6K to SCHD to VOO in the brokerage account. The last 1K for Fy23 contributions, 500 per Roth for a total of $6500, went into VTI/VOO. Hope that clarifies.
@Jacob Gomer I imagine a spouse
which platform can i find schd? Tried using 212
Excellent video! I always hear about VOO & VTI but it seems people in the US like SCHD. It’s good to learn. Thx!
Thankyou! Yes I love all 3 of those ETFs! All solid for sure
I’m building a an investment portfolio for retirement with those ETFs
VXUS (International Stocks): 15%
VOO (US Stocks): 40%
SMH (Semiconductors): 20%
VNQ (Real Estate): 15%
BND (Total Bond Market): 5%
5 % cash
I’m not considering SCHD as it does overlap with VOO
Excellent video! I have 959 shares of SCHD in my dividend portfolio and 1670 shares in an IRA. SCHD has recovered much more than the broader market. I think there is more upside in QQQ/VTI/VOO. I am of course going to DRIP my upcoming dividend from SCHD on 12/12/22 back into SCHD.
SCHD is more of an anchor etf with consistent payouts. VOO/VTI/QQQ has more drawdowns but great upside potential especially if you buy low
But thats amazing i aspire to have that many shares of SCHD one day 😂
Congrats on your accomplishments! That’s solid!
Does it matter which platform I use, for example etoro etc
@@jamesanderson6856 each different brokerage has different pros and cons it just depends on your investing style and type of accounts you’re gonna use
Love me some SCHD. Maxing Roth with 60/40 VOO/SCHD and dca every week into taxable with a 75/25 spread of the two as well
Sounds like an A+ plan to me!! Ya VOO and SCHD are easily my top 2 as well
Awesome video currently in very heavy single stocks I'm gonna be adding ETFs to build a more solid base on my portfolio SCHD looks 👍
Awesome!
Nice!! I have a 50/50 with schd and schg and I’m happy with it but in the future I just might do more with SCHD
Ya I like that strategy right now too though because SCHG is down so much like other growth funds so when the market comes back, SCHG will skyrocket
I have 54k in SWPPX that I won’t touch for 20 years. It’s my early retirement fund that I plan to not contribute another penny towards. However, I have 14k in SCHD, and it’s been my plan to solely fund it (with DRIP of course) from here on out, and your video perfectly describes why 👍
Great work! I like that plan
How much u make off dividends from SCHD?
@@SantiShorts13 over 3%
Nice! I have $26k SWPPX, $1500 SWTSX, and $2500 SCHD. Building all three. Hopefully adding $18k this year
You neglected to mention that SCHD does not include any REITs, so, after 60days, the dividends would be qualified dividends and taxed at a lower rate, or not at all depending on your income level.
Great point Karl! I’d include that on a more advanced post!
Schd is great I personally add a covered call strategy on top of it to enhance the yield by another 12% on top of the regular 3.6%
That’s a solid yield!
how? :)
Who’s in on the SCHD train?! 🚂🚞
I am. I buy $150 per week! I have 736 shares and $1829 yearly income!
@@WW-34 that’s huge! Congrats!
💯
@Bluegrass Buah Pukul heck ya!
50% of my roth
I use my 401k as my “growth” portfolio which is matched by 6% (S&P500 fund) and I invest heavy into SCHD in my ROTH IRA as my “income” portfolio 🙌🏼 best of both worlds
Great strategy!
100% of my roth 401k that I max out yearly goes directly into schd.
I diversify with a roth ira I max yearly and an individual retirement fund I invest in tech.. I have 20 years to go.. and its been growing well beyond my expectations, my salary don't even compare at this point
That was the best explanation I have come across of schd it covers everything
🙌🙌I appreciate this!
Not asking for Financial advice. I am 61 and considering retirement next year your thoughts on jepi and schd in Combination For dividend income in retirement , Thank you
@@g.ajemian4968 I actually have a video going over JEPI and other solid dividebd etfs coming out tomorrow morning stay tuned!
my number 1 holding is bitcoin,no 3rd party risk and has an average return of 146% a year
My core portfolio is SCHD SCHG AVUV BRK.B I also have an income of various CEF's for distributions to grow that core.
Nice!
I am now thanks to you. Starting late but better late than never right!!
Exactly! I love it!
Just finished watching my 2nd full length video... I'm speechless... This information is soooo good! OMG .. it's addictive! However, I'm sad.. I'm a late starter in investing and saving. 💔 I'm a black American and this type of stuff I never heard about... unfortunately, it was never taught to me and I had no idea this type of stuff existed. This is something I should've did in my 20's 💔... I'm now 42.. I believe it's not to late for me to start! This video hits home with me when you mention about generational wealth... Passing it down to children and grandchildren... THIS IS SOMETHING I WANT!!!! EVEN IF IT MAYBE FOR A SHORT TIME! I PRAY FOR AT LEAST A GOOD 20YRS. OR SO TO BUILD AND TO PASS ON SOMETHING! I wanna say thank you for your help because you have no idea the guilt I feel .. that I am feeling for not starting this journey earlier in my life. Just know you're appreciated ❤️ again ..thank you so very much
First off, thank you for the kind words! Second, it is DEFINITELY not too late! Third, everyone starts somewhere and little by little it grows. It’s all about getting started and then staying disciplined. You got this!
@@NolanGouveia good morning.. yes indeed.. and thank you again.. just finished another video.. I will definitely keep you posted on my journey. And absolutely correct...it's about getting started for sure.
You are never too old to start! I am starting much later than you. I may not make as much, but I started! And will also teach my children and also any body who will listen. We should be taught this when we are younger. Good luck to you and yours! Much prosperity and peace!
@@Indiodyssey Good!
I’m your same age and just now starting to catch on to these things too. You’re Awesome! 👏
Best to everyone here, at Every age 💕💫
I invest in a number of etf’s including schd. I think it best to diversify amongst a few different etf’s to reduce risk
Great!
Great stuff here! Favorite ETF for dividends by far
💰💰💰🤘
I've been DCAing into SCHD which is heavy on Financials, Technology, Consumer Goods, and Healthcare plus I purchase SPYD along with it. SPYD is the State Street high dividend ETF which is heavy on Financials, Utilities, and Oil & Gas. The expense ratio for SPYD is .07% and it pays a higher dividend than SCHD at the moment. I still like SCHD for its lower asset turnover ratio which saves on tax burden of the fund.
Nice ya I have been looking at SPYD. Good to know!
Yes I just started loading up my Roth Ira and taxable accounts with schd.
Nice!!
Great Video! I have a quick question regarding dividend etfs in a roth IRA. I know that with vanguard you can have your dividends reinvested back into the original etf but lets say when I'm 40 and my dividends are making enough for me to live off of am I able to withdraw those dividends from my roth ira account into my bank account tax free / penilty free or do I have to wait until I hit 59 1/2 years of age to withdraw those dividend? Becasue in Vanguard it doesn't seem to have the option to have dividends go directly to your bank account rather than reinvest or go to your settlement fund.
Thanks for all the info and research, awesome video!
Thank YOU for watching and commenting!
It's actuality crazy to think, this is all you need to retire. Something so simple..... no stock researching, stressing over the market, cpi, jobs data, inflation....schd is all you need. Boring? Sure, but it's the system to success!
Exactly! 📈💰
You'll have to factor inflation into the long term calculation as well,.
I have over 1300 shares of SCHD in my Roth IRA and my brokerage account.
Your videos are so helpful. Thanks so much.
I just started couple months ago doing 35 dollars a week. Plus I put in all the premiums I make on cash secured puts and covered calls.
Nice work!
Thanks for the advice, I have 5 shares so far
Great job!
If your making 10k a month on dividends, theoretically, you could buy a 10k CD every month for 12 months. Then you would have 12 CD cooking for 5 or 10 years while you continue getting dividends. Eventually all those cds will mature yielding an additional profit. Provided that there will be good CD yield to begin with. Who knows maybe the banks will be hard up enough to give decent CD yield rate.
Were i can find that SCHD calculator ?
The numbers are off. You are assuming a 12% return when the s&p has historically returned 10%. I really like SCHD and it is definitely one of the best dividend funds available but the chances of it returning a full 2% more than the S&P is slim to none. It will track very similar to the it but won’t be a fully 2% more.
We will see!
Great job at explaining Schd.
Thanks Cindy! Do you hold any?
SWPPX is my main great hope, but I manage to purchase one SCHD share per month. Accumulated 34 shares so far. 🎉🎉🎉 Aiming for 100
That’s so awesome congrats!!
New to investing, starting in my late 40s. Have a good job now, likely able to invest 4k/month and likely more in the near future with 3-4 month of saving in a HYSA. With the market doing what it’s doing and the stock on a downturn, are you still bullish on SCHD? I realize we are aiming for longevity and not getting spooked with temporary drops. Great content, learning so much!
Awesome work! Way to get after it! And yes definitely bullish long term on schd
Thanks so much, first shares are in the books!
@@plugger410 I like it!!
VT and SCHD are all that you need.
👊💵
I am investing in schd with vanguard started this year but did not realize i have to claim the reinvested div. 😬 thanks for teaching us 👍
Here to help! And great job!
How do you buy it through Vanguard? I can’t find it there.
@@bigshoe84 on a brokerage account where you can’t buy any stock, etf, cd you want
SCHD or VYM for me. Cash flow is king. No pressure to monitor and sell any stock
Yup I’m right there with you
4:30 Hey professor, I was hoping you would clarify this for me? The $89K is the compounding return over 10 years, but that doesn’t necessarily mean dividends are paid on that full return, right? You are only paid dividends on the total number of shares you have. Over 10 years you would have roughly 660 shares paying $2.60 per share. Am I thinking about this correctly? Sorry, new to dividend investing!
No worries! You would be correct with this thinking, however the dividend has increased each year and is expected to continue to increase each year so you’d take dividend growth in to consideration
Awesome, thanks for the clarification!
I’m DCAing weekly into SCHD. It’s a phenomenal ETF. The other position in my portfolio is VTI which I’m trying to do a 50/50 split.
🙌🙌🙌great news!
I am setting up a 3 ETF portfolio in my IRA, but just swapped out VTI for VOO. The 3rd ETF is FTEC. Part of me thinks that SCHD and FTEC would cover the market as well. VOO has just slightly outperformed VTI over the last 5 years or so and has an automatic selection process to weed out under performers, same ER.
Excellent strategy of growth and income! I am doing a similar strategy in my IRA.
I’m new to all this and still learning, what does it mean to “DCA”?
@@dudeman3393 dollar cost averaging is where you buy every month at the same amount no matter if the stock is up or down. Consistency is key!
What website are you using to calculate at timestamp 3:37?
Should I have schd in my Roth IRA or should I just have it in my Charles Schwab individual account? Or both
Where did you get the calculator?
Doesn't answer where you got calculate to use in this video
With money market funds like VMRXX giving 4.52% yield (Soon above 5% after next couple rate hikes) with no risk at all, investing in equities is less appealing. But I like SCHD, VYM and DGRO for diversification
True but remember that’s just short term while interest rates are high
Great knowledge, Professor G. I'm starting to invest at 22 years old, and i was wondering what you think of investing in a taxable broker like robinhood and paying annual taxes on it in the hope of being able to retire earlier than 59.5 the roth ira would require me to wait 🤔
I like that idea for sure but make sure you are also throwing some in a ROTH IRA too just so that you are getting the tax advantage!
@@NolanGouveia thank you for your knowledge 🙌📈
@@dariorocha6006 Thankyou for watching and commenting!
Hey Professor G, Starting late here, in my mid 40s. Would love to know what impact it might have to front load some of those contributions. For eg putting in half the amount up front and contributing only $2500 a year instead of the $5000. Would it have the same effect on a 20-30 year outlook? Which approach would be better?
Typically time in the market will be your best bet so the more you can get in to get it started and compounding, the better
Unless I missed it--which I easily could have--you forgot to account for inflation which usually is around 2% on average per year over the long run. I usually factor that in by reducing it from my estimated rate of return. Other than that, great video!
I appreciate that! Thanks for watching!
In every thread there is always captain obvious with the “inflation “ comment. Plan to worry about inflation when you have to worry about inflation .
@@NolanGouveia Someone is calling you out Professor G..... ua-cam.com/video/rvUUlkCZR8U/v-deo.html
Great but after 10 or 20 years our dividend yield will be higher than 3,5 % as we bought the etf at lower Price?
Thank you
Prof, as I am watching the financial sector saga unfold, I am wondering what will happen to SCHD if Schwab went bankrupt? I am seeing SCHW stock go down with each passing day (as of May 4, 2023). Please let us know once you research on this. Thank you so much!
General rule is to not worry about what happens this day or week - but to play the long game (5, 10, 20, 30 years)
Your money invested is insured
Is it wrong to have MORT or SRET or SCHH alongside to SCHD? Looking for higher dividends. Or divide the money will affect negatively to the portfolio growth?
Hi. Very very nice videos, realy!!
I have a question regarding the value og this SCHD etf. Value of this dividend ETF stock seems to be on its the top as value. Is it then smart to put money, like 500 every month, on this one since the value over time can go deep down and therefor eat up dividend and etc value? Thank you.
I believe that long term the value will keep rising yes!
@@NolanGouveia Thank you for you answere.
what happens if everyone invests in this? will their be too many shares? too many owners? is there a negative to this?
At 58 years old should I put my $100 a month in schd or Schwab state tax exempt money market account (snsxx)? Or Schwab S&P 500 Index fund?
The dividend is like 3.2% with my income. I’m going to have to hold something higher than that. Just buy a REIT at 6-8% dividend
What is SCHD, in fidelity funds? Can you always give the equivalent funds in fidelity funds or so?
isn’t BND more safe than SCHD? Thoughts please
Love your videos! As a Canadian, I realize some of the rules are different and there may be better ways in the approach of buying/selling particular ETFS. Could you direct me to some sources that might explain this to me before proceeding with investing in an ETF such as SCHD? Thank you, and I look forward in hearing back from you soon :)
Some of the companies inside SCHD are already with high PE ratio , I love this ETF but it go lower when the fed pivot , many investors will jump in to Nasdaq and this will go 10 to 20% down in my opinion in 6 to 12 month. But your plan Long-term is A plus
💰💰💰
@Henry Tang yes the prediction came true now I'm Buying some SCHD but I will tell you something if you want to create money then you need growth, like Tesla NVDA, SOFI PLTR my plan is sell this growth stocks in 10 years and then moving it in to something like this fund for the dividend, but this fund will not make no one rich fast , if you got already the money then schd is good option
Love these vids
I appreciate that!
Love the cool
Look professor G
Haha thanks my friend
Do you option trade as well
Hello, thank you for your video. I live in Madrid, Europe. Could you please tell me which websites I can use to purchase this ETF in Europe?
Good information, I already hold SCHD looking to add either VTI or VYM to help balance out my portfolio.
Nice! If you already have SCHD, you may want VTI or VOO over VYM as VYM is too similar too SCHD
@@NolanGouveia Thanks, I was leaning more towards VTI as I was doing my research on the two etf's. 👍
@@Cryptoinvestor-pv4fy awesome! Keep up the great work!
Professor G, can you show me how to do the compounding calculation? If I have a measly 50k in my vanguard portfolio, and dropped it all into Schd.
I contribute 1k a month for the next next years. Yeah, I'm getting old, want to call it quits at 65, 66 if possible.
What I will get in monthly/annual income to live off?
earned my sub ty sir
Thanks for watching and I appreciate the feedback!
What site is that where he's doing his projections on SCHD investing? Trying to run some numbers myself since I'm in my mid 50s.
Thanks you for sharing this information and all you always do. What’s the difference between this ETF and VIG? 🙏🏻
Brother how about you get what you need $
As I was watching this I got a notification that I got my schd dividend🤣
Such a great notification haha!
Nice Barcelos Rooster, are you Portuguese?
Yup! 🇵🇹
@@NolanGouveia Would've never guessed.
Was wondering the same. The mystery is solved! 😊❤❤❤
Thx man great video. Putting almost all savings in SCHD and JEPI
Solid funds just make sure to keep some out for an emergency savings!
SCHD like options for EU investors?
Received my 1st dividend from SCHD $4 and change. #smallwin
That’s huge!!! Congrats!
Would it be good to invest in both SCHD and QQQm from now until retirement? And when it comes to retirement, only sell QQQm and go down to SCHD or you think ETF+ individual stocks are better than holding 2 ETFs
Yup I love that strategy and do it myself!
Roth IRA
Core:
SCHD 20%
VOO 20%
SCHG 20%
Satellites:
2-3 Sector strategy etfs 20-40%
0-5 misc undervalued stocks/etfs 0-20%
Looks like a solid portfolio to me!!
Great videos Doc G!
Thanks Steven!
Erm - in Europe this is only accessible for 'professional' investors 🤦🏻♂️
Any suggestions for the Europeans?
Would you have more if you took from the growth of an ETF stock portfolio with very little dividend focus versus taking the dividend payouts from a dividend focused ETF?
I’ll make a video on this but basically yes and no. You’ll have to pay more taxes in the end rather than little by little
What r u doing to offset the tax drag in brokerage? Given the yield and dividend payouts, to me it makes sense for tax favorable accounts (trad or roth)
I actually have it in taxable and nontaxable. Im ok paying the tax as the overall return is still higher than what we are seeing in most other places
Hi G, what's your take on rollover old 401k to brokerage link acct tied with 401k?
I have $3000 I’m looking to invest in schd based on the research I’ve done where is the best place to start to set this up?
Even though you said not to invest in schd, just because someone (YOU) :-) said so, I just did. I dropped a couple hundred, money I would have used for hair/eating out/clothes....for a month. I already have SWTSX & SWIS....so what is a few more Benjamines
It’s a great investment so I like it!
Are the dividends taxed at the source before the fund pays them to the investor? FYI, I am European resident, but if taxing at the source is done by the fund, it won't matter the residence...Please let me know if you know the answer
If I already have FSKAX FTIHX and FXNAX in my Roth IRA should I still put SCHD in my Roth as well? Thanks.
You don’t need to
@NolanGouveia I know I don't need to but could it be useful or no? Or should I just put SCHD in a traditional brokerage.
What platform or what software are you using to see how much you put in and what you will get out of investing in 10 or 20 yr time frame
$PARA is my favorite dividend stock right now
I wanna have a video both comparing and combining $JEPI/$SCHD different percentages 1/4 one 3/4 the other or 2/4 of each or what works best because I love research but still am not going to beat the market
hello!! you are my hero! thanks for your videos, what do you think about REITS are those worth it?
Haha I appreciate that! I am actually starting to research REITs more in depth to be able to make an informative video soon. For now, I do like the dividend but the taxes on them are higher too so there are pros and cons. I definitely like REITs in a ROTH IRA though
What about a one time investment of 20K? What would my balance be in 30 years with reinvesting my dividends?
What is the calculation for someone 60 years of age and wants to retire this month. He currently has no investment in SCHD. If he could put a lump sum of $500K in today, how much passive income would that generate for him on a monthly basis?
SCHD has a dividend yield of about 3.4% per year currently so that would produce about $1,400 per month in dividend income with an investment of $500k
@@NolanGouveia you can get 4% risk free with treasuries
Hi Professor G. 😊 thank you very much for this channel. Quick question: is it good to start investing in etfs that pay dividends (and therefore you pay taxes) or better to start compounding as mu h as you can and then switch in the future to dividends etfs? Thank you 🙏
Just started investing. $6,500 in a Roth a couple days ago. Why can’t I contribute more in the Roth?
That’s just the limit per year