Our company has a 3.88% dividend rate, and when things were okay and stock price was like $60. That’s $2.328 annually from one stock when things are mediocre, and at the time, it was worse than mediocre. For that annual dividend, you’d need to own roughly 34.4k stock, or $2M worth, to make $80k a year.
Your math on take home pay doesn’t check out. Someone making $300k is looking at like $60k in income tax, plus $60k in housing if they follow the 20%ish rule there. If they’re making $300k they’re probably in a high cost of living area, so food and gas and electricity are going to add up too, not to mention insurance. If they’re lucky, they’ll put away $100k, tops, but only after their savings cover 3 months of expenses. Long story short, they might have enough for $80k a year after 20 years of intense saving from a $300k a year job. They’ll probably need closer to $150k, frankly
My coworkers and I were upper middle class at $100k or so a year, and I lived significantly below my means. I was able to put away roughly 40k a year at best. It would’ve taken me 50 years to buy enough stock.
If you’re making $300k a year single, you’re almost definitely not able to put $200k away into investments each year unless you have significant expenses covered through other means.
Our company has a 3.88% dividend rate, and when things were okay and stock price was like $60. That’s $2.328 annually from one stock when things are mediocre, and at the time, it was worse than mediocre. For that annual dividend, you’d need to own roughly 34.4k stock, or $2M worth, to make $80k a year.
Your math on take home pay doesn’t check out. Someone making $300k is looking at like $60k in income tax, plus $60k in housing if they follow the 20%ish rule there. If they’re making $300k they’re probably in a high cost of living area, so food and gas and electricity are going to add up too, not to mention insurance. If they’re lucky, they’ll put away $100k, tops, but only after their savings cover 3 months of expenses. Long story short, they might have enough for $80k a year after 20 years of intense saving from a $300k a year job. They’ll probably need closer to $150k, frankly
My coworkers and I were upper middle class at $100k or so a year, and I lived significantly below my means. I was able to put away roughly 40k a year at best. It would’ve taken me 50 years to buy enough stock.
If you’re making $300k a year single, you’re almost definitely not able to put $200k away into investments each year unless you have significant expenses covered through other means.