$2,000 Per Month In Dividends (How Much Money Do You Need To Invest?)

$2,000 Per Month In Dividends (How Much Money Do You Need To Invest?). Passive income is a dream for a lot of people, and the question that keeps surfacing up is “how do we get it?” To put it short, it doesn’t automatically come to you, you’ll need to put in the time or money upfront to start even getting an ounce of passive income. Some passive income doesn’t require too much work, and some requires a lot of work. There are a lot of ways to generate passive income, and a couple of ways you can do it is via the stock market. You can invest in exchange-traded funds, also known as ETFs, and also there are dividend stocks. So, for the purpose of this video, I’m going to focus on dividends that come from stocks. So, in this video, I’m going to go over what a dividend is. Where and how to find dividend stocks. And provide you an example of how much you should invest if you want a monthly income of around $2,000 in dividends. And again, this is not financial advice at all. So what is a dividend? It’s basically the distribution of the profits from a company. So whatever profits that a company makes, it can be distributed to its investors. Where and how to find dividend stocks? So, there are two main ways to receive dividends. Usually, the safest way is by investing in an ETF which is just a basket of stocks so this is really diversified. However, the dividend yield usually tends to be low because sometimes these ETFs also hold non-paying dividend stocks. And this is usually the lowest effort way because you don’t have to do a lot of research and you get the benefit of diversifying. And a good place to start checking out ETFs would be at Vanguard.com. The second way is by investing in dividend stocks which is basically buying individual companies and this entails a bit more risk, but when you know what you are buying and do the research, it shouldn’t matter that much because you should believe in what you own, right? In the long-term, you can build a portfolio with around 15-30 companies which is almost like an ETF, and when you have multiple individual dividend-paying stocks, it’ll lower your risk overall. And some of the websites I use to find these dividend stocks are seekingalpha.com and dividend.com. Key aspects to look for: 1. Dividend yield. This is the return you will get purely from the dividend. 2. Payout ratio. Shows what portion of earnings are paid to its shareholders. 3. History. For how many years are the dividends paid out? How committed is the company in terms of paying the dividend? 4. Stability of the dividend, is it growing steady and reliable? 5. Do you like the company? If you don’t know anything about the company, then it’s probably a good idea to stay away from it. Dividend Stocks Explained ►   • Dividend Stocks Explained   What Is A Good Dividend Yield? ►   • What Is A Good Dividend Yield?   How to Create a Million Dollar with a Roth IRA (1 Simple Strategy) ►   • How to Create a Million Dollar with a...   My Dividend Growth Strategy (Full Breakdown) ►   • My Dividend Growth Strategy (Full Bre...   How To Open Up A Webull Account Mobile (Step-by-Step) ►   • How To Open Up A Webull Account (Step...   How to Open a Webull Account on Desktop (Step-by-Step) ►   • How to Open a Webull Account on Deskt...   Webull vs Robinhood Investing App (Things You Should Know for Beginners) ►   • Webull vs Robinhood Investing App (Th...   Collect your free stocks here with Webull: ►https://act.webull.com/i/JUBJdYxwsEwQ... Get your free stock on Robinhood: ►https://join.robinhood.com/beny11 Investing With Webull For Beginners (Playlist): ►   • How To Open Up A Webull Account (Step...   Legal Disclosure: I'm not a financial advisor nor a certified public accountant. These videos are for entertainment/educational purposes based off of my personal opinions. Investing in any type of investment involves risk and you need to do your own research or seek out a licensed professional if necessary. There is no guarantee that you'll gain or lose on investments.