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Subject:  Generating Income Date:  8/2/2013  8:50 PM
Author:  Oforfive Number:  72722 of 78166

I guess it is a basic principle for most retirement that the object is generating income. In my situation I target 2/3rds to 3/4ths of my portfolio for generating dividends and maybe 10% cash and the remainder in rule breakers type companies.

For several years I had companies such as JNJ, T, LEG, KMB, .... Then I started to add utilities (PPL, PAA, EXC,...), and later went up the yield curve to WIN, junk bond ETF JNK, ....

At one time I was concentrated in WIN, T, TEF, NYB, SDRL, and EXC and I was uncomfortable as many of these had very high yields for very good (or bad) reasons.

This process has led me to diversify more in the income portion of the asset allocations mentioned above. Here all my holdings for dividend generation:

WIN 6.3%
SDRL 18.4%
NYCB 11.6%
JNK 11.4%
T 1.6%
KFN 2.8%
PAA 0.7%
NMM 2.9%
CLMT 2.7%
ETP 2.8%
SFL 3.9%
TOT 6.5%

That should add up to about 67% and it generates 7.7% on that portion. Some of the Fool companies also generate some dividends: DIS, HAS, AAPL and others.
Those dividends produce income equaling 5.5% of the IRA which exceeds my mandatory wi