Why Dividend Investing Is GREAT For Low-Income Earners

Capitalism. It’s a word that evokes many emotions. However, at it’s core, capitalism is mechanical.

Stripped of it’s subjective connotations, capitalism is about possessing equity — or capital. Put another way, it’s about owning assets that work for you.

I bring this up because we all live in capitalist societies, yet (unless you are born wealthy) capitalism’s core mechanic is never really explained to us.

It’s a bit like jumping into a highly complex video game, without playing the tutorial.

This fundamental mechanic of owning capital is also why many well-meaning and hard working people never get ahead. They go to their job, pay bills, and maybe park some money in their savings account or 401(k). But they never really focus on accumulating assets to do the heavy lifting for them.

In today’s article, I’ll explain why dividend investing is a fantastic second stream of income — and how it can help low earners build long-term wealth.

Let’s dive in.

Investing In Businesses Vs Owning Financial Instruments

Most of the investment opportunities you see are actually financial instruments in disguise.