77-Year-Old Needs $3.3 Million to Generate $9,700 Monthly From Dividend Stocks

1 articles · Updated · Yahoo Finance · Aug 22

$116,400 in annual income — or $9,700 a month — requires about $3.325 million if a 77-year-old targets a 3.5% dividend-growth portfolio and avoids selling principal.
That conservative tier favors dividend growers over high-yield payouts because rising distributions can better keep pace with inflation while preserving or growing the underlying capital.
PepsiCo yields 4.0%, Kimberly-Clark yields 4.6% and has raised dividends for 54 straight years, while Northern Trust recently lifted its quarterly payout 10%.
A 3.5% dividend-growth portfolio could lift monthly income to about $19,400 in nine years, the report says, while a static 12% payout would leave income flat and more exposed to inflation.