How many expats are living from dividend stocks?

[HNWI]

I see many expats living here using money from renting out property back in farangland. But it seems very few living off dividends?

[NCC1701A]

i got out of the market after age 60. too scary for me.

[tubby johnson]

I do.

 

Dividend growth stocks: the dividend rises every year.

I reinvest some of the earnings and transfer what I need to my Thai bank account.

[macahoom]

51 minutes ago, NCC1701A said:

i got out of the market after age 60. too scary for me.

 

Can I ask how you money is now invested?

[watcharacters]

2 minutes ago, macahoom said:

 

Can I ask how you money is now invested?

 

 

Perhaps you'd be forthcoming about your money  investments before asking the question of others?

 

[NCC1701A]

58 minutes ago, macahoom said:

 

Can I ask how you money is now invested?

cash in the bank. real estate.

 

[macahoom]

1 hour ago, NCC1701A said:

cash in the bank. real estate.

 

 

Thank you!

 

I thought my question was a reasonable one to ask, and I am glad you agree.

 

I appreciate your answer. I have done the same as you and your answer helps me believe I have done the right thing.

Edited May 7, 2019 by macahoom

[HNWI]

I invest in US, Chinese stocks mostly. Growth stocks, spec stocks, value stocks and dividend stocks. Obviously they fall in a few categories. 

 

Ark ETFs are a good call for the lazy investors.

[dotpoom]

It's not a question I have on my mind when I wake up in the mornings. Cannot see the purpose of knowing the answer?

[chicowoodduck]

Got out of the market long ago and sleep better because of it.....????????

[Peterw42]

I live off rent and dividends, its a bit of a no brainer in Australia, there are banks that will give you 3% if you put money in an account or 6% dividends if you hold their stock. 

Australia also has the advantage of tax has already been paid on dividends received, not like the US where a dividend adds to your tax liability. If you are in a low income bracket, you can even get the tax back. 

You can often buy high yield stocks below their value, hold them for the dividend, then sell for a profit later, win win.

 

Stopping the income letters has had a huge effect for anyone living off dividend as they are paid yearly, quarterly etc and income varies, not what immigration wants to see.

Edited May 8, 2019 by Peterw42

[ThaiBunny]

2 minutes ago, Peterw42 said:

If you are in a low income bracket, you can even get the tax back. 

Not if Labor win the election

[Peterw42]

1 minute ago, ThaiBunny said:

Not if Labor win the election

Yes, exactly right, that and some hints of new taxes, I think will loose them the election.

[ThaiBunny]

3 minutes ago, Peterw42 said:

Yes, exactly right, that and some hints of new taxes, I think will loose them the election.

Time to jump in and put your money where your mouth is then - Coalition 5/1 against winning; ALP 1/5 against winning

[SpokaneAl]

I remain in the stock/bond markets and no longer reinvest dividends/capital gains. After decades of highs and lows, while maintaining an asset allocation that works for me, I can’t see a reason to ever moving our money elsewhere. 

[Rawairat]

Australian dividends are still good value, Labor is only taking the tax credits away I believe, which are not available to non residents ? I use VHY.AX the lazy investors way. I’d recommend read A Random Walk Down Wall Street for any investor, especially older less knowledgeable ones.

[Tom89]

17 hours ago, tubby johnson said:

I do.

 

Dividend growth stocks: the dividend rises every year.

I reinvest some of the earnings and transfer what I need to my Thai bank account.

I do the same.

[1FinickyOne]

To make comparisons with stocks just pull up a graph... I have some losing years but the winning years far more than make-up for the losers... you need to be patient and long term... 

 

I have had real estate rentals but that gets dicey - bad tenants, destroying property... my mutual funds never crap on the carpets. 

[Rod the Sod]

4 minutes ago, kenk24 said:

To make comparisons with stocks just pull up a graph... I have some losing years but the winning years far more than make-up for the losers... you need to be patient and long term... 

 

I have had real estate rentals but that gets dicey - bad tenants, destroying property... my mutual funds never crap on the carpets. 

Just as well, because when the bottom drops out of your market or the company crashes, the paper you hold in your hand can double for toilet paper. Ever tried wiping your arse with a bunch of keys? (don't take personally like most do, only meant as a light hearted comment with an inner meaning....;-)

[Mike Teavee]

10 more months until I finally retire but my plan is to live of Savings & House rental income until I'm 56 (I'll be almost 54 at that point) at which point I'll stop re-investing my Dividend Income & take cash to tide me over until my private pensions kick in at 60 BUT "Man Plans, and God laughs", I retired at 40 & the GFC hit (Dividend Income was blown away more or less totally) then retired at 48 & Brexit screwed up my UK Income streams (20% drop in FX rate), so just wondering what is going to mess me up next year ????  

 

My biggest quandary is when to start selling down my assets, I don't really have anybody to leave them to so the ideal would be to liquidate everything & spend it all before popping off this mortal coil...

 

 

 

 

[Tayaout]

I keep almost everything in bitcoins since 2013. Works fine for me but I'm still under 40 ????

[Percy P]

18 hours ago, macahoom said:

 

Can I ask how you money is now invested?

BP. BT. RDS (Royal Dutch Shell. BTelecom S.T.Water. Centric.              R Royce. Shares in the above companies 

[KittenKong]

I have a fair bit of dividend income but with a few exceptions I dont like buying individual company shares. I prefer to buy low-cost market tracking ETFs as that protects from the risk of buying individual shares.

[Lacessit]

2 hours ago, ThaiBunny said:

Not if Labor win the election

 

2 hours ago, ThaiBunny said:

 

There are several lies about what Labor will do.

Lie Number 1. Labor will cut out tax refunds on franking credits.

Fact. Labor is exempting pensioners and part pensioners. They will still get a tax refund on their dividends via franking credits.

Lie Number 2. Labor will eliminate negative gearing.

Fact. Existing negatively geared properties will be grandfathered. Anyone will be able to negatively gear newly built property.

 

Personally, I can't wait to see this anarchic, ramshackle rabble of a Coalition tossed out. All they can sell is fear, because they haven't got any policies worth a glass of warm spit.

And yes, I do derive part of my income from Australian share dividends.

[RobMuir]

As an Aussie expat, not registered for taxation purposes in Australia we don’t get the franking tax credits which is a bit of a bummer BUT we don’t pay any capital gains tax.

 

So we have the advantage to go for growth stocks over dividend stocks. 

I hope Labor don’t close this lovely little loophole.

 

Anyone know how ETFs are taxed for expats?

[khunPer]

20 hours ago, HNWI said:

But it seems very few living off dividends?

Partly – hasip/hasip – retirement pension and dividends; the private part of the retirement pension, running a limited number of years only, was/is also placed in stock market, and slowly sold when needed for pay out.

 

Has so far been a good long-term solution. The major part is invested in my home country stocks – because of best company knowledge – a smaller part in US stocks, and a similar part in Thai SET stocks; the latter actually performs very well, and is free from currency exchange rate deviations...????

[MikeN]

20 minutes ago, Lacessit said:

 

There are several lies about what Labor will do.

Lie Number 1. Labor will cut out tax refunds on franking credits.

Fact. Labor is exempting pensioners and part pensioners. They will still get a tax refund on their dividends via franking credits.

 

But if you have planned ahead, looked after yourself and your own financial situation, and become a self funded retiree, you will lose money while continuing to support those who refuse to plan for the future.

[AlexRich]

Don’t forget capital gains. Fewer investors are holding stocks for years, so capital gains and dividends combined. I agree with the sentiment that as you get older you look for safer asset classes like property rental and bonds, but I’d still retain some blue chip stocks paying dividends. 

[Yeahbutwhytho]

I didn't know you could make money on stocks

[AJBangkok]

I think Australia is stuck in a negative feedback loop. The only decision you need to make in elections is which party will INCREASE your taxes less. I wish there was a party whose platform was lower taxes and smaller government.