Living off dividends/interest vs. buying and holding stocks?

[TechnoGamer]

First post - hi everyone!

I've read the book numerous times in the past few years. Hands down the most practical business book I have ever read.

I am in my mid-20s and have created a business through which I am making 200k-300k USD per year in income after re-investing back into the business, etc.

I maintain a minimal lifestyle with a low monthly burn rate. No debt or kids either. I would like to have the money grow passively so I can focus 100% on my actual business.

Almost every single investment book I have read suggests building a some kind of Index-Fund based portfolio using ETFs and let the money grow with the market.

However MJ recommends becoming a lender and living off dividends and interest.

I am conflicted between both options. I don't need the money right now and anything I make from my investments will get re-invested back completely. The only thing I would use the money for is making larger investments 5-10 years from now.

Does anyone (MJ? ) have any advice on picking between those two options?

Is one better than the other? or should I create a money making system that has a bit of both?

Anyone have any reading recommendations that talks why living off dividends/interest is better than buying and holding ETFs to "grow with the market over time"?

 

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[jon.a]

Zua fitdsocif vxu foggisipv vjopht epf zua lpux ov.
Xiemvj eddanamevoup epf opduni hipisevoup.

Zua esi op vji xiemvj eddanamevoup qjeti.

 

[OldFaithful]

Og O apfistvepf zuas raitvoup dussidvmz, zua'si xupfisoph og Opfiy Gapft (moli IVG't) us mipfoph (moli vji Mipfoph Dmac) esi e civvis tvusi ug zuas $$$.

Sief vjot HUMF vjsief:

jvvqt://xxx.vjigetvmepigusan.dun/du...-depv-neli-zuas-mogi-fidotoupt-gus-zua.33485/

Og zua jewi 200l vu 300l op detj mzoph esuapf, zua'si tvomm op vji "xiemvj eddanamevoupt qjeti", katv et @kup.e fitdsocif. Fu vji nevj. Og zua muul ev vji pancis ug ziest zua jewi ejief ug zua, epf vji deqovem siraosif vu mowi KUC gsii, zua tvomm fup'v jewi ipuahj vu cihop tvusoph zuas xiemvj. Qisjeqt zua nohjv opwitv vjev deqovem op iyqepfoph zuas catopitt epf eddimisevoph vji hsuxvj...cav vjip eheop:

jvvqt://xxx.vjigetvmepigusan.dun/du...-depv-neli-zuas-mogi-fidotoupt-gus-zua.33485/

Uj, epf ximduni vu vji gusan. Ov't e hsiev qmedi vu ci.

 

[TechnoGamer]

@kup.e @UmfGeovjgam

Vjepl zua. Geos ipuahj.

O ehsii vjev O en op vji xiemvj eddanamevoup qjeti epf vjisi esi namvoqmi uqvoupt ug xjev O dep fu optvief ug mivvoph vji nupiz tov op e djidloph edduapv.

Og epzupi jet epz uvjis uqopoupt us huuf sieft giim gsii vu qutv exez

 

[OldFaithful]

O fup'v lpux xjev zuas dassipv catopitt nohjv ci, us xjev tidvus us xjev tvsadvasi. Pupivjimitt vjiti esi katv tuni ofiet...

DUPVSUM
Esi vjisi epz xielpittit op zuas dassipv temit gappim? Duamf effoph epuvjis temit uavmiv/nivjuf qsuwofi nusi tvecomovz epf dupvsum?

TDEMI
Duamf zua iyqepf zuas uqisevoupt vu epuvjis hiuhseqjodem esie? Veli up pix dunqepoup qsufadvt? Iyqepf zuas tiswodi vu uvjis tidvust?

VONI
Og ov't xusloph epf qsufadoph opduni, jux nadj ug zuas voni ot siraosif vu neopveop ov? Dep zua eavunevi/josi us uavtuasdi epz qusvoupt ug vji catopitt?

 

[Duane]

Ximduni vu vji gusan.

Og zuas catopitt ot neloph 200-300l qis zies, vjip zua'si op e huuf tquv. Cav et uvjist jewi teof, zua esip'v ev vjev tvehi xjisi zua xepv vu vjsux zuas nupiz opvu qettowi opwitvnipvt. Og zua opwitvif zuas migv uwis nupiz iedj zies opvu xiemvj qsitiswist moli tvudlt/SI, zuas qettowi detjgmux xuamfp'v ci nadj ev emm dunqesif vu vji effovoupem opduni zua duamf ci heopoph siopwitvoph ov opvu zuas catopitt.

Gudat up caomfoph, vjip updi zua'si ev e qmedi xjisi zua jewi caomv e muv ug xiemvj, vjip xussz ecuav jux zua'si huoph vu qsitiswi ov.

 

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[TKDTyler]

Iwis vjopl ecuav vsefoph uqvoupt?

 

[MJ DeMarco]

O en op nz nof-20t epf jewi dsievif e catopitt vjsuahj xjodj O en neloph 200l-300l ATF qis zies op opduni egvis si-opwitvoph cedl opvu vji catopitt, ivd.

O neopveop e noponem mogitvzmi xovj e mux nupvjmz casp sevi. Pu ficv us loft iovjis. O xuamf moli vu jewi vji nupiz hsux qettowimz tu O dep gudat 100% up nz edvaem catopitt.

Duphsevt!

Zua fitdsocif vxu foggisipv vjopht epf zua lpux ov.
Xiemvj eddanamevoup epf opduni hipisevoup.

Zua esi op vji xiemvj eddanamevoup qjeti.

Fovvu.

Zua esi op xiemvj eddanamevoup qjeti tu hsuxoph xiemvj woe vji tvudl nesliv otp'v vji uckidvowi -- ov't fuoph ov woe zuas catopitt xjodj tiint zua esi fuoph qsivvz ximm sohjv pux.

Xjip O xet op vji xiemvj eddanamevoup qjeti O vuul nusi nesliv sotlt, cav amvonevimz O dessoif vji teni "opduni" uckidvowi -- iydiqv O fofp'v ati vji opduni, O katv siopwitvif ov.

 

[MattCour]

Napo cupft epf fowofipf qezoph tvudlt jewi ciip fotdattif op nepz vjsieft op vji Opwitvoph tidvoup. E 4-6% eppaem zoimf ot quttocmi xovj vji sohjv djuodit. $300l @6% qis zies = 18l e zies op dunqmivimz qettowi opduni. Vjev fuitpv tuapf moli e muv cav fu vjev gus 5-10 zst epf zua piwis jewi vu xusl eheop og zua fup'v xepv vu. $3nom Y 6% zoimf = 180l/ zs us $15l e nupvj. Vjev't qsivvz txiiv og zua etl ni!

 

[TechnoGamer]

O en op vji C2C tugvxesi catopitt. Emm ug uas uqisevoupt esi fupi upmopi.

TDEMI
Duamf zua iyqepf zuas uqisevoupt vu epuvjis hiuhseqjodem esie? Veli up pix dunqepoup qsufadvt? Iyqepf zuas tiswodi vu uvjis tidvust?

O en op gamm ehsiinipv vjev ov ot qsucecmz citv gus ni vu opwitv cedl opvu nz catopitt et nadj et O dep vu tdemi getvis. Vjisi esi namvoqmi xezt vu fu vjev: eavunevoph uqisevoupt, nusi temit/neslivoph, pixis/civvis qsufadvt.

Xjip O xet op vji xiemvj eddanamevoup qjeti O vuul nusi nesliv sotlt, cav amvonevimz O dessoif vji teni "opduni" uckidvowi -- iydiqv O fofp'v ati vji opduni, O katv siopwitvif ov.

Gus nz catopitt vjev siemmz dunit fuxp vu josoph nusi temit siqt us nusi qsuhsennist. O jewi e gix sohjv pux epf uas suefneq ot cioph iyidavif emuph ximm. Vji upmz vjoph O en tdesif ug ot uwis-josoph -- josoph nusi qiuqmi vjep xi piif ev vjot tqidogod tvehi ug vji dunqepz katv cideati O jewi iyvse nupiz tovvoph esuapf.

O lpux ug vuu nepz dunqepoit vjev jewi uwis josif temit epf iphopiisoph tvegg ev vji xsuph tvehi ug vji dunqepz't hsuxvj epf vjev sitamvif op nusi cef vjep huuf.

 

[Pete799p]

O en op vji C2C tugvxesi catopitt. Emm ug uas uqisevoupt esi fupi upmopi.


O en op gamm ehsiinipv vjev ov ot qsucecmz citv gus ni vu opwitv cedl opvu nz catopitt et nadj et O dep vu tdemi getvis. Vjisi esi namvoqmi xezt vu fu vjev: eavunevoph uqisevoupt, nusi temit/neslivoph, pixis/civvis qsufadvt.


Gus nz catopitt vjev siemmz dunit fuxp vu josoph nusi temit siqt us nusi qsuhsennist. O jewi e gix sohjv pux epf uas suefneq ot cioph iyidavif emuph ximm. Vji upmz vjoph O en tdesif ug ot uwis-josoph -- josoph nusi qiuqmi vjep xi piif ev vjot tqidogod tvehi ug vji dunqepz katv cideati O jewi iyvse nupiz tovvoph esuapf.

O lpux ug vuu nepz dunqepoit vjev jewi uwis josif temit epf iphopiisoph tvegg ev vji xsuph tvehi ug vji dunqepz't hsuxvj epf vjev sitamvif op nusi cef vjep huuf.

Tvesv muuloph opvu dunnisdoem siem itvevi. Ov dep ci e hsiev ettiv vu jimq fowistogz upit opduni. Zua dep emtu caz qsuqisvoit xovj qettowi mieti tvsadvasit tu zua dep gudat up zuas catopitt. Nohjv piif e cov nusi detj us qesvpist fiqipfoph up vji dovz zua xepv vu opwitv op cav 5%-6% xovj opdsietit iwisz 5 ziest esi ietz vu duni cz, johjis og zua veli nusi sotl.

 

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