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How to build a dividend portfolio

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How to build a dividend portfolio
Investors should include dividend stocks in their portfolio, according to this article on personal finance website Motley fool. That's because dividend income is subject to long-term capital gains tax rates, which can be lower than the tax rates for interest yields. While investors can reinvest these returns through a dividend reinvestment program, they will owe federal taxes. To avoid the tax bite, clients should hold dividend stocks in traditional or Roth IRAs, where dividends are either tax-deferred or tax-free.

Charitable giving doesn't slow after retirement, study finds
The study by researchers with the Women’s Philanthropy Institute at Indiana University has found that seniors continue donating to charity even after they retired, indicating that retirement has no effect on charitable giving, according to this article on CNBC. “That dispels the myth that retired couples don’t have money or won’t give,” says an expert.

Gen X Retirement: Will it be amazing?
Gen Xers face bleak retirement prospects, as surveys have found that many of them have limited or no savings at all, writes a Forbes contributor. The good thing, though, is that Gen Xers can still catch up with their retirement goals, writes the expert. "A 40-year-old can retire a millionaire by saving just $23 per day and investing it well. Investing pre-tax in your employer sponsored 401(k) can drop the daily cost in half, if not more."

The states with the highest average retirement savings will surprise you
Many of the states usually known for wealthy residents were not ranked highest for average retirement savings. Who was ranked highest? Delaware, with an average of $286,000, followed by Alaska ($271,000) and New Hampshire ($264,000), according to an article on MarketWatch, which cited research from online financial firm Personal Capital. Retirement savings would have been higher in Connecticut, New Jersey and Massachusetts if not for their high tax rates, according to the article. "Taxes can have a significant impact on retirement savings, as that money is going to the government and not accruing in an investment portfolio for the future," the article states.

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