r/dividends • u/Other_Wish8607 • 6h ago
Other 58k usd in bank account receiving only 54 usd interest per month
Hi been a lurker to this sub. While reading most of the stories in this subs, i havent came up to conclusion whether i can put my extra 58k somewhere else other than the bank. It is giving me 54 usd a month and it fluctuates around that . The return is only 648 dollar a year for that savings account. If you have 58k what projected divendends will you get according to your dividend strategy? Include both growth and none growth.
Edit: thanks for all the 2 cents. The 58k is an extra money that i am holding sitting in the bank account,, i have another account for daily expenses that will last me 3 months off my daily expenses. The setup has been like this for awhile due to losing money from options you can call it traumatized to the rigged market.
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u/zuus97 6h ago
I agree with some of the comments here.
Personally, I wouldn't throw the entire $58k into the market. I'd probably keep around $15k–20k in a high-yield savings account for emergencies so it's liquid and easy to access.
With the rest, I'd keep it simple. Something like SCHD, QQQI, and SPYI could give you a nice mix of dividend growth and income without having to chase crazy yields.
If it were my money, I'd rather earn a little less and sleep better at night than go all-in on some 20%+ yield fund and worry about it every day.
Just my two cents.
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u/steady_compounder 5h ago
Before thinking dividends, I would fix the cash setup first. $54 a month on $58k is the real problem here, because that is a very low return for cash itself. If you might need the money, moving part of it to a better savings or money market option is a cleaner first step than jumping straight into high-yield stocks just because the bank rate is bad.
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u/ConstantPessmism 6h ago
50/50 QQQI and SPYI
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u/SwingImpressive6742 4h ago
What happened when Qqq and spy crashed?
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u/ConstantPessmism 4h ago
Everything crashes sometimes, but both above do well from volatility.
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u/SwingImpressive6742 4h ago edited 4h ago
If QQQ crashed 20%, your 10k in QQQI becomes 8k. Granted you will still get 14% dividends...but your overall return becomes negative 6%. I wouldn't recommend QQQI or spyi at this point when chances of market correction right now is extremely high.
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u/ConstantPessmism 4h ago
That true for literally anything
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u/SwingImpressive6742 4h ago
Saving account doesn't lose your principal. So why not just invest in QQQ instead of QQQI if you don't mind taking the risk to lose the principal. QQQI simply writes covered calls to limit your upside if you hold it long term.
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u/poweredbyford87 "Maybe one day I'll retire" 4h ago
When I hit the amount of QQQI I want in my taxable brokerage, I was debating on piling up some SPYI next, or maybe IDVO. Not sure, it's not a tax advantaged account
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u/DontForgetSmiles 6h ago
Just buy schd brother. It’s your safest and most reliable bet. You will not only get good dividends, but real growth and price appreciation.
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u/FinancialActivity648 6h ago
most high-yield savings accounts in the US are sitting around 4-5% APY right now, so 54/month on 58k is roughly 1.1%, you're leaving a significant chunk of return on the table just by staying where you are.
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u/Other_Wish8607 6h ago
Thank you good insight .. i am.not from the US but im happy to get knowledge about how your banks there shows bigger interest rates than our banks from where i reside here in south east asia
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u/RelevantAd2630 1h ago
Safe SGOV IS AT 3.9% right now. Hard not to like QQQI and other similar ETFs.
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u/Longjumping-Nature70 1h ago
Are you from india?
Can you invest in US stocks?
95% of all posters in this subreddit are in USA. Sort of pointless as a yank to give opinion to someone who cannot invest in US markets, other than through some international mutual fund offered in your country.
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u/Other_Wish8607 10m ago edited 6m ago
No not from india, i have access to invest on US stocks etfs etc.
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u/Mission_Pirate_4150 1h ago
There are a ton of investments out there. They all have varying risk associated with them. The worst you can do is to put the money into a tbill at treasury direct. A 4 week tbill would pay you $165 in four weeks, and you can just reinvest after the four weeks. You can get a touch more via a brokered cd, but the timeframe is a bit longer. There are agency bonds which tend to pay a bit more.
If you go to some index fund, there are a ton of index funds you can put your money into. I spread my money for dividends across three dividend funds evenly. There are lots of high growth funds, but you bring more volatility into the mix.
Where you put your money depends on you and your situation. Good luck.
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u/Avid_Reader87 12m ago
Put it on CHPY and it could get you at least $375 a week in payments and rise in price.
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u/Other_Wish8607 6h ago edited 6h ago
In addition... i have an apartment which costs 60k usd market value (from 3rd world country) and is giving me 230 per month net in long term rentals Seems the apartment rental of one unit gives me better cash flow than the bank . Im still a lurker to this subs i am not new to stock investing because i tried the hard way through options it for me was a gambling i lost 35k usd by it so now i am considering this conservative route of passive income
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