Who doesn’t love the idea of free money??

What I’m about to say is not financial, tax, or legal advice. This is simply something I did and my own observations and opinions on what has happened.

In 2021, I decided to try high yield dividend investing. This was an idea a buddy of mine had and we had talked it out, and then I researched it on YouTube and decided to try it.

Where I’m stashing cash.

You must do your own due diligence and never blindly listen to some random guy on the internet (me) - Because my situation is not necessarily your situation, and with investing you are never guaranteed to make money, you may even lose money!

I split up my money into the following Exchange Traded Funds (ETFs) and stocks and I have managed to generate about 12% returns in the form of MONTHLY cash flow. That’s right, at the end of every month, I’m getting 1% back from what I put in. So if you put $10,000 in, you’re getting back $100/mo for doing nothing. I’m using this as a glorified extra savings account right now. (note I have a 6 month emergency fund at my local bank)

ORC - 19.3%
CLM - 15.7%
CRF - 15.4%
RYLD - 11.7%
QYLD - 11.7%
XYLD - 8.9%
BIZD - 8.2%
JEPI - 7.4%
DIVO - 5.0%
O - 4.6%
SCHD - 2.9%
DGRO - 2.1%

SCHD, DGRO, AND BIZD pay out quarterly, but all the rest pay monthly - so every month, you’re collecting a decent amount of money!

Conclusion

So far I’ve been very happy with my experience. I did my taxes a couple weeks ago and there wasn’t any real impact from this income. If you’ve got some extra money laying around and want to start earning real interest, dividend investing may be worth looking into. Talk to your tax guy and see what the impact might be.

The income is definitely better than anything you’ll get at the bank!