Believe me or not, seniors are afraid they need more money than they are afraid to die.
In addition, retirees who create a nest egg have reasonable justifications, as traditional pension planning methods may mean that income can no longer cover costs. Some retirees are now taping their director to live properly, pressing time from decreasing investment residues and longer life expectancy.
For example, in the late 1990s, the 10 -year Treasury bonds offered about 6.50%of the yield, which translated into a source of income you could expect. However, today’s yields are much lower and are probably not a promising return on a typical retirement.
This means that if the 10 -year Treasury Treasury had $ 1 million. USD, the difference in yields since 1999 There are more than 1 million people to today. USD.
In addition to a significant reduction in bond yields, today’s retirees are nervous about their future social security benefits. Due to certain demographic factors, it was estimated that in 2035 Funds to pay social security benefits will expire.
How can you avoid immersing yourself in your director when the investment you believed in retirement without getting your income? So far, you can reduce your costs, and the only option is to find a different investment vehicle to get income.
Dividends are paid from low risk, high quality companies are a reasonable way to generate stable and reliable attractive income flows to change low risk, low treasury and bond capabilities.
Looking for stocks that have been stable, have increased dividends for many years (or decades) and have not even shrink their dividends even during the recession.
One way to determine the right candidates is to look for shares with an average dividend yield of 3%and a positive average annual growth of dividends. Many stocks increase dividends over time, helping to compensate for inflation.
Here are three dividend pay reserves pensioners who should take into account their nest egg portfolio.
Currently, there is a dividend of $ 1.3 per share, with a dividend yield of 3.16%. This is comparable to the Big Cap Pharmaceuticals industrial income is 2.44%and the S&P 500 yield is 1.54%. The company’s annual growth of dividends in recent years was 4.84%. Check the story of Johnson and Johnson dividends here >>>
Currently, it pays $ 1.7 per share dividend with a dividend yield of 3.51%compared to the financial and investment bank industry’s income – 0.54%and S&P 500. The annual growth of the company’s dividends in recent years was 3.23%. Check PNC Financial Services Group, Inc Dividend History History here >>>