Beat The Recession With Dividends - Part 2

In my previous article with the same title, I created three portfolios of safe high yield Dividend Aristocrats with a combined dividend income of $33,726 per year, the estimated amount spent by the average retired household in 2018 minus social security. However, the portfolio size was between $850,000 and $950,000. Even if a retiree puts everything in AT&T (NYSE: T), which had the highest yield listed in the article at 6.20%, they need $543,968 to get $33,726 in dividends a year. Further, dividend growth for AT&T barely meets inflation and is about a third of the 5.8% rate of increase in retirement costs per year. Fidelity Investments notes that the average retirement account only had $210,300 as of March 16, 2018. That amount is also similar to the average retirement account balance of $201,300 found by the Federal Reserve, which also notes that the median was just $59,000. Thus, I will attempt to find sustainable dividend investments that would give $33,726 a year in dividends when only using $200,000-$300,000.
Below is a total of 35 companies with dividend yields above 6%, current ratio over one, and payout ratio below 100%. The current ratio equals current assets divided by current liabilities. It ensures the company has enough liquidity to cover current liabilities. The payout ratio is how much of earnings are paid out as dividends. Each stock is paired with several valuation statistics, with “good” numbers highlighted in green and “bad”... Read more