S&P 500 dividends v Dave Ramsey et al 10%

[Bubblegun]

https://www.youtube.com/watch?v=cny-1yDbQno

That was very interesting, especially when he got to the part about companies never paying out a dividend and the pyramid schemes. Sadly The math was way beyond my brain and I went into tilt. Lol

[Tkydon]

Yeah, rather than type it out, I just posted the video...

So, Basically, a share in company is the right to the Future Cashflows of the Company.
If a company like Gamestop is going down the toilet, it effectively has no Future Cashflows... So, it is worthless...

You might like the Classic of All Time

https://www.amazon.com/Intelligent-Inve ... 0060555661

The updated Commentary to each chapter, written in the mid-2000s by Jason Zweig are very relevant to day....

If I promise to give you $100 every year for the rest of you life, how much would you pay me for it?

[Snowmonkey]

Not everyone is seeking companies that pay dividends. Personally, while I'm earning income, dividends would be just extra income I'd need to pay tax on so I'd rather defer that to when I sell the stock ideally at a time when my annual income is lower than usual, like after retirement to help reduce taxes on capital gains (hoping there to be some!). In saying that, I do hold some dividend paying stocks but if there were a choice, I'd choose not to for the reason stated earlier as I think it's to a shareholder's advantage while employed.
Furthermore, such companies are known as "growth companies" (hard to believe considering the size of the 4 you mention). They aim to better reinvest their profits which in turn will create more value for their shareholders. If they were to pay a dividend, they wouldn't be able to expand as fast or take on as many "moon shoots" as they do. Sometimes these "projects" don't pay off but more often than not, they do. Just look at Google's purchase of YouTube.
As TokyoWart mentioned about Berkshire, Buffett justifies not paying a dividend to shareholders as he feels he can better invest the gains than shareholders can.
I guess it comes down to giving the investor the choice to either invest in non-paying dividend "Growth" stocks or dividend paying "Income" stocks.

[Tkydon]

Tax on Foreign Sourced Dividends does not come under Capital Gains, but under Dividend Income.
For Foreign Sourced Dividends, you can only select Separate Taxation Method and so the tax rate is a flat 20.315%.
(You cannot use the Dividend Allowance)
You can claim a Foreign Tax Credit for any Tax withheld in the foreign country, so the tax rate is a flat 20.315%.

When you sell the stock, you would incur Capital Gains Tax on the Gain, again under the Separate Taxation Method and so the tax rate is also a flat 20.315%.

[Snowmonkey]

Tax on Foreign Sourced Dividends does not come under Capital Gains, but under Dividend Income.
For Foreign Sourced Dividends, you can only select Separate Taxation Method and so the tax rate is a flat 20.315%.
(You cannot use the Dividend Allowance)
You can claim a Foreign Tax Credit for any Tax withheld in the foreign country, so the tax rate is a flat 20.315%.

When you sell the stock, you would incur Capital Gains Tax on the Gain, again under the Separate Taxation Method and so the tax rate is also a flat 20.315%.

Thanks Tkydon for pointing that out. I need reminding of how taxation works here. https://taxsummaries.pwc.com/japan/indi ... ermination