Energy Transfer Just Sent a Message to Anyone Collecting $13,700 a Year by Raising Its Payout After an Earnings Miss
Energy Transfer will pay $0.3425 a unit on November 19, its 20th straight quarterly raise, in the same quarter its earnings per unit missed Wall Street by about 20%. For a 74-year-old holding 10,000 units in a taxable account, that is $13,700 a year at a 7.1% yield. Here is why the cash covers it twice over, what the K-1 does to his tax bill and his cost basis, why the IRA is the wrong account for it, and what a swap to a 1099 pipeline would cost.