Retiring on Dividends 106

Our portfolio will need to grow even in retirement; however, income is still our top priority. What should a retiree do?

Welcome to the world of Dividend ETFs. These products can give you growth and income. However, they work best after you hold them for 20 to 30 years.

Most Dividend ETFs yield between 3% and 4%, meaning it would take a large sum of money to generate a usable paycheck.

However, their main attraction is their dividend growth rates. These products raise their dividends each year, so those who stay invested keep getting pay raises.

Dividend ETFs can be your best friends if time is on your side. If you are older, you can add some closed-end funds to balance your cash flow. Good Luck!