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they are struggling to live on the meager dividends.

They, (we) have really been screwed by the zero interest rate policy of the Fed. 1% of a million dollars is only $10K. If that is your yearly supplement to your Social Security and you have no other defined benefit plan, you are likely to be living on your capital. But if you start with a million you can draw it down at the rate of $24K/year for >40 years. If you start with $250 thousand, you will spend it in 10 years. That is a problem.

"It is not necessary to have hope in order to persevere."
by ARGeezer (ARGeezer a in a circle eurotrib daught com) on Sat Jan 30th, 2010 at 01:21:45 AM EST
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