I have cash set aside to pay off house in next 2 months. I am thinking about putting it in some high paying dividend stocks and selling after dividend date. Taxes do not come in to play for me in 2021. I can make a couple grand doing this. I have free trades. Other then stock dropping before I sell I see no drawbacks. Anyone do this?

With market at all time high I just don’t know what you could get into short term that might not tank. I trade everyday and am in no way qualified to give advice but right now I don’t think this is a good idea.

Just pay off your house and call it a win.

The market could do anything right now, it may not be up.

This, I'd be real careful with short term stuff right now. I dont think what you would get would be worth the risk.

Brother-In-Law did that in early 2008 with about 10K of "new furniture" money knowing they would be moving into a new home early 2009. Yup, he was dumb enough to take the money out after the market tanked instead of just leaving it in there to come back up.

Pay off your house.
There is not an investment you can make in the market that will pay you what your house payment is a month.

As mentioned PAY OFF your house, best advice I’ve seen given on here.

When a stock share price opens on the morning the stock goes ex-dividend, it is priced at the previous day's closing price less the amount of the dividend. So you do not get a "free" dividend and you are really betting that the share price will appreciate. Also, dividends from common stocks held less than 61 days are treated as ordinary income for tax purposes.

Not as easy as it seems. Be aware the dividend comes out of the stock price. For example, say a stock was $50 at the close of the ex-dividend date and pays out a $1 quarterly dividend. If it opens unchanged the next morning, the stock price will be $49. So yeah, you made a $1 dividend, but you lost the same amount on the stock price.

Thanks, this is what I was looking for. To previous poster I know that dividends are taxed as ordinary income but I anticipate no tax bill in 2021.

Get debt free. Stay debt free. You can thank me when you retire debt free.

Or you could learn to trade derivatives and buy a yacht with 20 year old trim running around it... balls’ in your court boomer.

Unless your close to retirement paying off the house makes zero sense. Nasdaq averages 20% a year the last 15 years. You want to put your money in a house note to save 4 or 5 % instead a making 20%?.





High divedend is a whopping 7%. That isnt [censored]

In or near retirement years, you won’t be averaging 20% because you shouldn’t be invested in that level of risk.