Dividend Income – How do you invest?

Over the past few months a lot of people have been looking at their finances and ways to top up their primary income.

Those on furlough have seen a drop in their monthly income, which in many cases has been offset by reduced spending on fuel, commuting and that daily Chameleon Cold-Brew Vanilla Coffee with extra syrup.

For many, a side-hustle or “gig” job is a way of boosting income. But others, including those reading this blog, have been looking at investing in dividend paying stocks to supplement income.

Dividend income can build into a significant income source over time

We have also been spending time on looking at revising and building our dividend income portfolio.

Many stocks pay out dividends every 6 months, or every quarter, but there are some which pay out monthly.

Using a combination of stocks, ETFs and funds it’s possible to build a regular dividend income, or passive income.

This can be done with as little at 6 shares!

For instance, choose a share which pays a dividend in January and June, another which pays in February and July, a third which pays in March and August…. you get the picture.

Which just 6 stocks paying out two dividends per year it’s possible to receive 12 monthly dividends.

You can even go one step further and build a portfolio of shares, funds and ETFs which pay a weekly or even daily dividend! But, depending on your portfolio size, it may be better to concentrate on building a monthly income portfolio first.

Do you invest for dividend income? We’d love to hear about your portfolio choices!

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