Want $10,000 in Annual Dividend Income by Retirement? Here's How Much You Should Invest in AbbVie Today.
An easy way to boost your income is through dividend stocks. Since they pay a percentage of your investment back to you every quarter, you're collecting cash on a regular basis, and you don't have to sell your investment, either. If you invest in dividend growth stocks, you can even see your income rise over the years as the company increases its payouts.
A good example of a top dividend growth stock is healthcare company AbbVie (NYSE: ABBV). The drugmaker behind the popular arthritis medication Humira has an excellent track record for paying and increasing dividends, and below I'll show you how much you would need to invest in the stock today to get your annual dividend income up to $10,000 by retirement.
AbbVie's dividend yield is 3.8%, which is a full 2 percentage points higher than the S&P 500 average of 1.7%. But the real benefit you'll get from investing in the stock is from buying and holding. That's because AbbVie is also a Dividend King, meaning it has been increasing its dividend annually for more than 50 straight years (this includes when it was still part of Abbott Laboratories).
Source Fool.com
