While I like the concept of “mailbox money” and passive income from dividend-producing stocks, I don’t like being forced to accept cash back when I don’t need it and the tax consequences that go along with those dividends.
It was I was recently on the Reddit Financial Independence subreddit asking if anyone had been living solely off of dividends from building a dividend income portfolio… I recently wrote a piece about how I constructed a plan on how to live off dividends forever.
I was completely laughed out of the financial independence community room that I couldn’t possibly ever beat the trends of index investing nor are Dividend Aristocrats truly outperforming the markets due to selection bias.