5J·

💸VanEck pays out - cash flow for the portfolio!

Today we received another motivating dividend 💰 - this time from the dividend ETF from the VanEck family ($TDIV (+0,86 %) ). The payout was 0.27 per share and that on my 1479.9 shares 📊. This results in a total distribution of € 399.57 - admittedly a little less than expected, but nonetheless a really nice cash flow moment🥳! It's days like these that show how powerful dividends can be for long-term investing: continuous cash flow 🔁, a reward for patience 📈 and a way of dealing with market fluctuations that is easy on the nerves 😌.

For me, dividends are a central component on my path to financial freedom 🗝️🚀. Every payout - whether large or small - brings me a little closer to a passive income that can cover my fixed costs in the long term 🏡💡. It feels great to have the money working for me as I go about my daily life 👣❤️.

🔄 Reinvesting for the compound interest effect:

All dividends are consistently reinvested in new ETF shares for me 📥➡️📈. This means that my position continues to grow automatically and the compound interest effect can unfold its full power over the years 🚀📊. Each distribution therefore increases my future cash flow in the long term - which is exactly what makes dividend investing so powerful.

How do you do it - do you reinvest your dividends automatically or do you pursue your own strategy? 🤔💬📈

Or are your December dividends reinvested in Christmas presents reinvestiert🎅🏼☺️?

#dividends
#cashflow
#passiveincome
#vaneck
#finanziellefreiheit
#buyandhold
#zinseszins
#vermögensaufbau
#dividendetf
#etfs

10.12

VanEck Developed Markets Div Lead ETF

Reçu x1479,9 dividendes à 0,27 €

399,57 €

48 Commentaires

Krush82@Krush82

Why first collect dividends that you will reinvest anyway?

•

Finanzaristokrat@Finanzaristokrat

@Krush82 then explain how I should invest in the TDIV acc? Apart from that, everyone has a different strategy, lifestyle and who knows what else. There are said to be people who use the cash flow for 2 vacations a year with their partner in the Maldives and Southeast Asia. Without having to sell anything.

•

Krush82@Krush82

@Finanzaristokrat only invest in the TDIV if you also want to "consume" the dividends - then it makes sense

•

Metis@Metis

@Krush82 Makes little sense to me. Then I would have to pay a lot of tax at once if I switched to a distributer.

•

CrashBurner@Psychedelic_Sunflower

@Krush82 left pocket - right pocket. But if paying taxes early is fun, let people do it ;)

•

Krush82@Krush82

@Metis you don't necessarily have to reallocate but simply stop saving. But it's irrelevant anyway because nothing will be changed by the creator

•

AI sagt@GoDividend

@Krush82 @Psychedelic_Sunflower a very small advantage at the moment. Now we know the tax rate. What it will look like in the future given the current political situation. So it's not all that bad after all

•

Metis@Metis

@Krush82 And what do I do with the theasuier then? If I later want to live from dividends instead of selling? It ties up capital that I would need more sensibly in the distributor for my strategy.

•

Krush82@Krush82

@Metis There always comes a time when taxes are due

•

Endwar@Sololeveling

On the contrary, you don't lose anything with the accumulator. It simply builds up more assets over the years because no current taxes slow down the return. If you want to live off it later, you take out your cash flow as normal via planned sales. It works the same way, only more efficiently. In my opinion, maximizing assets first and then withdrawing them is ultimately more effective than immediate distributions

•

Christian@Gebsen79

@Sololeveling I don't necessarily reinvest the dividends where I received them from. In this case, it may well make sense from my point of view.

•

Voir toutes les 16 autres réponses

Metis@Metis

I am also currently reinvesting all distributions.
If the distributions should be enough to cover fixed costs at some point, then I would start to actively use the cash flow. Until then, I will continue to reinvest diligently.

•

Endwar@Sololeveling

You reinvest ? but you lose taxes, timing and returns every time beforehand. An accumulator reinvests 100% automatically, immediately and without friction losses. You only reinvest the remainder after tax and always too late.
The difference adds up to thousands over the years ... Actually a complete cash burn or

•

Kai@Dividenden-Sammler

@Sololeveling Upfront lump sum? Do you then sell shares in your accumulating ETF? You should also consider this when calculating a comparison.

•

Endwar@Sololeveling

The advance lump sum is constantly talked about as being bigger than it is. Compared to the tax on real distributions, it is tiny, does not accrue every year and is offset later on sale. It is not a capital guzzler.
And yes, if necessary, the ETF sells a minimal amount of shares, but that's exactly the point: this minimal charge is nothing compared to the full tax that caps your dividend every year for distributors.
The bottom line is that accumulators simply leave more capital in the market. And this is precisely what determines the return, not the emotion of receiving the dividend

•

Kai@Dividenden-Sammler

@Sololeveling the tax depends on the performance and it is not only calculated every now and then but every year as long as the reference interest rate is not negative or 0. And this may not be a small amount. Your tax burden with an acc-ETF will be higher in total later on as your acquisition costs do not change. If you reinvest the distribution, you reduce the capital gain because the purchase price increases.

••

CrashBurner@Psychedelic_Sunflower

The state is happy about the flat-rate withholding tax and solidarity surcharge😊

•

Christoph@ChrisBizz

@Psychedelic_Sunflower But he would do the same with an accumulator - because he would then collect the taxes via the advance lump sum 😉

•

Endwar@Sololeveling

The upfront fee is not an argument. It is minimal, often does not apply at all and is offset later when the shares are sold. With distributors, on the other hand, you pay full tax on the entire dividend every year.
Accumulators keep almost all of their capital in the market, whereas distributors lose substance every year. To equate the two is simply wrong

•

CrashBurner@Psychedelic_Sunflower

Yes, but only with a significantly higher portfolio value and in years of poor performance even nothing at all.

•

Stulle 🥪@Stullen-Portfolio

Exactly.

Now everyone looks at things from their own perspective and that's fine.

However, if we talk about it in general and with an effort to be objective, then in my opinion two things should be noted:

A.
If interest rates are low, the advance tax for the accumulator is zero; tax is due on the distributed dividends.

B.
If there is no price appreciation in a year, there is no advance tax for the accumulator; tax is due on the dividends distributed.

Greetings
🥪

••

Fabi@fabsch

@Psychedelic_Sunflower The state will get the money one way or another. Sooner or later...

••

CrashBurner@Psychedelic_Sunflower

@fabsch then rather later

•

Beleggen M.@fund_whisperer_1682

Very nice, keep going !

$TDIV is great !

•

Fabi@fabsch

@fund_whisperer_1682 Thanks! Doing my best. :-)

••

Oliver@MegaRacer2202

I love AI

•

Christoph@ChrisBizz

I am currently also reinvesting the dividends in the respective asset on an ongoing basis or sometimes use them for initial purchases/repurchases of other stocks.

•

Novius@Novius

@fabsch do you invest the dividend in the same ETF?

•

Fabi@fabsch

@Novius As a rule, the savings plan is adjusted or simply increased by the div. amount with the next one-off investment.

•

Oleg@ScorpionfromBW

My goodness, people. Let him do what he wants to do. He will already have thought about why he is investing in the TDIV. Tips are all well and good, but the man is probably grown up enough and certainly knows the difference between accumulators and distributors. As if this is about your own money.

•

ashish J.@JaqenH

Why is there so much of obsession with dividends. You know you pay taxes on it?

If you want to reinvest it, why opt for dividend in first place. Not to mention losing a bit of growth every time you do not invest the same day.

••

Pascal@Pacco93

Strong, those who claim it makes no sense etc. are just jealous because their portfolio is far too small for such sums 💪🏼

••