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Wed, January 22, 2025

Want Almost $14,000 per Year in Dependable Passive Income? Invest $25,000 in These 4 Stocks


Published on 2025-01-22 17:01:29 - MSN
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  • According to the Internal Revenue Service (IRS), passive income generally includes earnings from rental activity or any trade or business in which the individual does not materially participate. It can also include income from limited partnerships,

The article from MSN Money discusses a strategy for generating nearly $14,000 in annual passive income by investing $25,000 in four specific stocks known for their high dividend yields. These stocks include Enterprise Products Partners (EPD) with a yield of 7.4%, Verizon Communications (VZ) at 6.6%, Realty Income (O) offering 5.8%, and Pfizer (PFE) with a yield of 6.1%. The article explains that by investing $6,250 in each of these stocks, an investor could achieve a combined yield of approximately 6.48%, which would generate $1,620 in annual dividends per stock, totaling $6,480 from the initial $25,000. It highlights the benefits of dividend investing, such as providing a steady income stream, potential for dividend growth, and the compounding effect when dividends are reinvested. However, it also notes the risks involved, including the possibility of dividend cuts or stock price declines, and emphasizes the importance of diversification and understanding each company's financial health before investing.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/money/savingandinvesting/want-almost-14-000-per-year-in-dependable-passive-income-invest-25-000-in-these-4-stocks/ar-AA1xGe1c ]
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