Are dividends worth investing in for financial independence ?

MewMaxxing

MewMaxxing

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dividends are for the rich, you don't become rich with them
 
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dividends are for the rich, you don't become rich with them
Not to become rich necessarily but to have a consistent income for financial independence. I could realistically achieve a good income with this by 35-37.
 
No, get a skill that people pay good money for.

Then you can invest.
 
It depends on your countries tax structure I guess.


Holding a small amount of dividend paying shares in the UK can be very interesting as there's a £2000 tax free allowance. You can max that with £30-40k no problem.


On a larger scale, dividend income is not included in capital gains so can be a good alternative to having growth stocks if you keep bumping against the £12K CGT threshold, although it's not really relevant if you work.
 

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