Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (2024)

Your Guide to All Articles About Dividend Investing

First of all, dividend stocks are my absolute favorite type of investment. I can’t gush about them enough for their wealth-building capabilities.

Furthermore, dividend stocks are a big part of Dividends Diversify.

Do you know what I like to say? “Build your success one dividend at a time”. It’s that simple.

So, they sit close to the top of the success pyramid.

Let’s cover all of our bases on this investing strategy. Here is an outline of what I have in store.

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (1)

Dividend Stocks And Dividend Investing Articles By Topic

  1. How dividends work
  2. FAQs about dividends
  3. Dividend investing resources
  4. How to make money from dividends
  5. How to retire on dividends
  6. Reviews of select dividend-paying companies
  7. Fill out your dividend calendar
  8. Dividend stock groups for building a foundation
  9. Other ways to get dividends
  10. Dividend investing success stories

1. How Dividend Stock Investing Works

Do you want to be a successful dividend investor? Then check out this growing series of articles about how stock dividends work.

Start with the namesake and capstone article:

  • Exactly how dividends work

Then put your newfound knowledge to work on one of my favorite topics.

  • Achieving financial freedom with dividend income

Then move on to some of these articles. They dive into specific dividend investing topics in greater detail.

  • How to start dividend investing with little money
  • A guide to dividend growth investing
  • What I learned from Dividend Investing 101
  • 10 rules of dividend investing to follow
  • How to fine-tune your dividend strategy
  • 17 battle-tested dividend investing tips
  • 10 dividend investing errors I made as a beginner
  • 7 benefits of dollar-cost averaging dividend stocks
  • The pros and cons of dividend stocks
  • 15 pros and cons of reinvesting dividends
  • The bird in hand dividend theory
  • Dividend irrelevance theory explained
  • The importance of dividend policy
  • 5 types of dividends and which one is best
  • 7 ways to find dividend stocks
  • How to analyze dividend stocks after you find them
  • Using the Gordon Growth Valuation Model
  • How to forecast future dividends
  • 30 stocks for a dividend portfolio
  • Dividend vs. growth investing explained
  • 10 ways to avoid capital gains tax on dividend stocks
  • How to generate compounding dividends
  • 7 dividend investing goals for beginners
  • Best dividend investing ideas right now

2. FAQs About Dividends

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (2)

You have questions. We have answers.

Here are some responses to frequently asked questions from readers…

  • Can you live off dividends?
  • Why do companies pay dividends?
  • How many dividend stocks should you own?
  • How much should you invest in dividend stocks?
  • Are dividends free money?
  • What are homemade dividends?
  • Are dividend stocks worth it?
  • Are dividends better than capital gains?
  • When are dividends better than interest?
  • Is a high dividend yield good or bad?
  • Why do companies increase dividends?
  • What is a good dividend yield?
  • Can you lose money on dividend stocks?
  • How much can you earn from dividends?
  • What is a good dividend payout ratio?
  • Can you get rich off dividends?
  • Do index funds pay dividends?
  • What percentage of your portfolio should be in dividend stocks?
  • How much can you make in dividends with $50K?
  • How much in dividends can you make with $100K?
  • How much money do you need to live off dividends?
  • When should you buy dividend stocks?
  • Why you should not buy dividend stocks?
  • Are dividend stocks safe?
  • What is dividend reinvestment?
  • Should you reinvest dividends?
  • Do dividends increase over time?
  • What’s the point of stocks without dividends?
  • Do growth stocks pay dividends?
  • Are dividend stocks good for young investors?
  • What is the dividend investing tipping point?
  • Are stock dividends guaranteed?
  • Are monthly dividends better than quarterly?

3. More Dividend Stock And Dividend Investing Resources

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (3)

We all have to learn and get better at what we do. Getting better every day is one of the keys to success.

To become better dividend investors, here are some of my favorite resources to level up your dividend investing game.

Books, investment newsletters, advisory services, and some of my informative articles are the focus here.

  • The Little Book Of Big Dividends – Book Review
  • Simply Investing review: picking dividend stocks made easy
  • Utility Forecaster investment newsletter review
  • Comparing Dividend Kings vs. Aristocrats
  • A comprehensive guide to the Dividend Achievers
  • How to build a dividend portfolio from monthly dividend stocks
  • 5 points about million-dollar dividend portfolios
  • Dividend stocks vs. index funds: How to decide

4. Making Money From Dividend Stocks

Making money from dividends is the goal. Right?

Building a growing passive income stream is what dividend investing is all about. At least, in my humble opinion.

So, here is a group of “how-to” articles that discuss just that…

  • How to start a dividend portfolio
  • Build a portfolio paying dividends every month
  • How to build a 12-month dividend portfolio
  • How to earn dividend income
  • Beginner’s guide to $50 in monthly dividends
  • Make $100 a month in dividends
  • Collect $200 a month in dividends
  • Earn $500 in monthly dividends
  • Amount needed to make $500 in monthly dividends
  • Get $1,000 a month in dividends
  • $2,000 in dividends every month!
  • Make $3,000 a month in dividends
  • How to make $5,000 a month in dividends
  • How to make $100k a year from dividends
  • How to snowball your way to dividend wealth
  • 5 easy ways to increase dividend income
  • How to make a passive income dividend portfolio

5. How To Retire On Dividends

Next, if you are interested in using dividends in retirement. To fully fund your lifestyle. Or, just supplement your income.

Then start with this…

  • 7-step guide to dividend investing for retirement

Or, check out these supporting articles if you know exactly what you are looking for…

  • Can you retire on dividends?
  • 3 dividend stock retirement strategies
  • 15 best dividend stocks for retirement
  • 5 best ETFs for retirement income
  • How to build a dividend retirement portfolio
  • 5 steps to calculate dividends needed in retirement
  • Should you reinvest dividends in retirement?

6. Reviews Of Select Dividend-Paying Companies

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (4)

Here are some of my favorite dividend growth stocks. Click on the stock you choose, and it will take you to a dividend stock review I completed for the company.

Or you can go directly to my dividend portfolio here to check out my stock holdings.

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (5)
  • Apple
  • Coca-Cola
  • Microsoft
  • PepsiCo
  • Realty Income

7. Fill Out Your Monthly Income Calendar With Dividend Stocks

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (6)

Many dividend investors like to identify stocks by when they pay their dividends. Investors do this to smooth out their stream of passive income cash flows.

The timing of dividend payments shouldn’t be your only reason for investing in a stock. However, it is something to consider as you make your investments.

To help you out, here are several articles to assist in filling out your dividend calendar:

  • 7 monthly dividend stocks
  • Stocks that pay dividends in January
  • Dividend stocks that pay in February
  • Stocks that pay dividends in the month of March
  • Stocks paying dividends in April
  • 15 stocks that pay dividends in May
  • June dividend stocks
  • Top stocks paying dividends in July
  • August dividend payers
  • Stocks paying dividends in September
  • Companies paying dividends in October
  • Best stocks paying November dividends
  • December dividend payers
  • January, April, July, and October dividend payers
  • Stocks for February, May, August, November dividends
  • Get dividends in March, June, September, December

8. Dividend Stock Groups & Sectors For Building Your Foundation

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (7)

Dividend-paying stocks are typically clustered in certain stock market sectors or in other logical groupings.

Periodically I will pick a sector or stock group and analyze a few stocks within it to compare and contrast. Highlight a specific issue the sector is encountering. Or, simply pick a theme and present ideas that fit that theme.

Furthermore, everyone has to start somewhere. It would be nice if you had the money to invest in 25 or 30 dividend stocks, but that may not be the case.

If so, start with 1 and try to build to at least 3 for diversification. Then shoot for 5.

Here are several different groups of dividend-paying stocks to consider. Hopefully, an article here fits your needs as a dividend investor…

  • Investing in utility stocks for high dividends
  • 7 good dividend stocks to buy and why
  • 5 consistent dividend stocks to buy and hold
  • 3 Dividend Kings
  • 7 best dividend stocks for passive income
  • 10 top dividend stocks to hold long-term

9. Other Ways to Get Your Dividends From Stocks

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (8)

Individual stocks are not the only way to invest in dividend stocks. Many mutual funds, exchange-traded funds (ETFs), and even Robo-Advisors can do the work for you.

Learn about some excellent options here:

  • 5 best Vanguard dividend ETFs for long-term investing
  • Vanguard dividend appreciation ETF (VIG) review
  • Vanguard high dividend yield ETF (VYM) review
  • Vanguard International High Dividend ETF (VYMI) review
  • Vanguard utilities ETF (VPU) review

I am a big fan of Vanguard dividend stock ETFs in case you hadn’t noticed.

10. Dividend Stock Investing Success Stories

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (9)

I love a success story especially when it comes to dividend investing.

So, check out some of my friends’ dividend-investing success stories.

  • Dividend investing success stories – Volume 1 – Trent
  • Dividend investing success stories – Volume 2 – Mark

Author Bio: Tom Scott founded the consulting and coaching firm Dividends Diversify, LLC. He leverages his expertise and decades of experience in goal setting, relocation assistance, and investing for long-term wealth to help clients reach their full potential.

All The Best Resources For Investing In Dividend Stocks

Dividend Stocks and Dividend Investing Tips for Making Money with Dividends (2024)

FAQs

How much stock to make $1,000 a month in dividends? ›

In a market that generates a 2% annual yield, you would need to invest $600,000 up front in order to reliably generate $12,000 per year (or $1,000 per month) in dividend payments.

How do you make $2000 in dividends? ›

Three high-yielding stocks that can help you generate some decent dividend income right now are Pfizer (NYSE: PFE), Bank of Nova Scotia (NYSE: BNS), and AT&T (NYSE: T). By investing $30,000 into these three stocks, you can expect to collect about $2,000 per year in dividends.

What is the best strategy for dividend investing? ›

Focus less on a company's dividend yield and more on its ability to consistently increase its dividend. Look for a company with a sound financial profile focused on a growing industry. Another aspect of a dividend investing strategy is to determine how you want to reinvest your dividends.

What are the 5 highest dividend paying stocks? ›

9 Highest Dividend-Paying Stocks in the S&P 500
StockTrailing annual dividend yield*
Crown Castle Inc. (CCI)5.9%
Pfizer Inc. (PFE)5.9%
Boston Properties Inc. (BXP)6.2%
Kinder Morgan Inc. (KMI)6.2%
5 more rows
Mar 29, 2024

How much do I need to invest to make $300 a month in dividends? ›

However, this isn't always the case. If you're looking to generate $300 in super safe monthly dividend income (note the emphasis on "monthly" income), simply invest $43,000, split equally, into the following two ultra-high-yield stocks, which sport an average yield of 8.39%!

How much do I need to invest to make $500 a month in dividends? ›

Dividend-paying Stocks

Shares of public companies that split profits with shareholders by paying cash dividends yield between 2% and 6% a year. With that in mind, putting $250,000 into low-yielding dividend stocks or $83,333 into high-yielding shares will get your $500 a month.

How to make 3k a month in dividends? ›

A well-constructed dividend portfolio could potentially yield anywhere from 2% to 8% per year. This means that to earn $3,000 monthly from dividend stocks, the required initial investment could range from $450,000 to $1.8 million, depending on the yield.

How much do I need to invest to make $500 a month? ›

Some experts recommend withdrawing 4% each year from your retirement accounts. To generate $500 a month, you might need to build your investments to $150,000. Taking out 4% each year would amount to $6,000, which comes to $500 a month.

What is the highest paying dividend stock that pays monthly? ›

Top 10 Highest-Yielding Monthly Dividend Stocks in 2022
  • ARMOUR Residential REIT – 20.7%
  • Orchid Island Capital – 17.8%
  • AGNC Investment – 14.8%
  • Oxford Square Capital – 13.7%
  • Ellington Residential Mortgage REIT – 13.2%
  • SLR Investment – 11.5%
  • PennantPark Floating Rate Capital – 10%
  • Main Street Capital – 7%

What is the fastest way to grow dividend income? ›

Setting Up Your Portfolio
  1. Diversify your holdings of good stocks. ...
  2. Diversify your weighting to include five to seven industries. ...
  3. Choose financial stability over growth. ...
  4. Find companies with modest payout ratios. ...
  5. Find companies with a long history of raising their dividends. ...
  6. Reinvest the dividends.

How to make passive income from dividends? ›

Dividend stocks and funds

Companies don't have to issue dividends, but many do as a way of rewarding and enticing investors. You can create passive income from dividends by investing directly in dividend stocks or by investing in dividend mutual funds and exchange-traded funds (ETFs).

How do I make a dividend portfolio fast? ›

To create your dividend portfolio for now and the future, it helps to incorporate the following features into your investment strategy.
  1. Taxable vs. Retirement Account.
  2. Individual Stocks vs. Mutual funds/ETFs.
  3. Consistent Track Record.
  4. Sector Investing in Your Dividend Portfolio.
  5. Diversification.
Feb 16, 2024

Is Coca-Cola a dividend stock? ›

It's a Dividend King

Coca-Cola raised its dividend annually for 62 consecutive years. That puts it in the elite club of Dividend Kings, which grew their payouts annually for at least 50 years.

What is the safest dividend stock? ›

Top 25 High Dividend Stocks
TickerNameDividend Safety
ENBEnbridgeSafe
EPDEnterprise Products PartnersSafe
WHRWhirlpoolBorderline Safe
VZVerizonSafe
6 more rows
Apr 19, 2024

What are the three dividend stocks to buy and hold forever? ›

Black Hills Corporation (NYSE: BKH), Enbridge (NYSE: ENB), and American States Water (NYSE: AWR), on the other hand, stand out to a few Fool.com contributors for their ability to continue thriving in tough times. They have demonstrated that by continuing to increase their dividends over the decades.

How much to invest to get $3,000 a month in dividends? ›

A well-constructed dividend portfolio could potentially yield anywhere from 2% to 8% per year. This means that to earn $3,000 monthly from dividend stocks, the required initial investment could range from $450,000 to $1.8 million, depending on the yield.

How much to make $1,000 a year in dividends? ›

Want to Gain $1,000 in Annual-Dividend Income? Invest $11,765 in These Outstanding High-Yield Dividend Stocks | The Motley Fool.

How many dividends does 1 million dollars make? ›

Stocks in the S&P 500 index currently yield about 1.5% on aggregate. That means, if you have $1 million invested in a mutual fund or exchange-traded fund that tracks the index, you could expect annual dividend income of about $15,000.

How much dividend on 100K? ›

How Much Can You Make in Dividends with $100K?
Portfolio Dividend YieldDividend Payments With $100K
1%$1,000
2%$2,000
3%$3,000
4%$4,000
6 more rows
Mar 23, 2024

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