ARDC
ARES DYNAMIC CREDIT ALLOCATION FUND, INC.
stock NYSE Closed Ended Fund

The reasons why you are paying a lot in aces is mostly due to JEPI, JEPQ, ARDC, PDI, CSWC are taxed as ordinary income , the highes tdividend tax rates. The remaining fund either generate qualified dividend or ROC dividend which are tax efficient. So lesson learned is know how dividends are taxed before you invest for dividends in a taxable account. if you increase the amount invested in the tax efficient funds you can avoid a lot of the taxes from the dividned income.
A roth account is great place to put high tax dividend funds.
This is how dividends are taxed:
1. Ordinary dividneds. all of this income is classified as taxable income. This is the same as the tax on work income.
2. Qualified dividend are taxed at the long Term Captial gains. rate. Most case only 20% of qualified dividned income is taxable income.
3. ROC dividends These dividned are generated when a ETF and CEF sells stock at a loss. This spatial gains loss is then transferred to to the investor and is subtracted from the cost basis of tehstock that generate it. If the cost basis is not zero you owe no tax on the ROC dividend. If the cost basis is zero you owe Long Term Capital Gains tax rate. Now funds that genrate ROC dividends also make money from selling covered calls as well as the dividned from the stock it holds. QQQI is such a fund. it typically generates 95% ROC dividend and 5% qualified dividned. You will owe no tax from the ROC portion the dividned for about7 years.
NOte SGOV is a US governerment bond fund. There is no state tax on these dividends. However you still owe federal taxes.
For my taxable ibrokerage account I am invested in QQQI 13% yield , SPYI 11% yield, EMO 8%, UTF 7%, UTG 6.4%. and PFF 6%. and you can easily add in SGOV
My roth has these funds as well as ARDC 9% yield, PBDC 9%, CLOZ 8%,, PFFR 8%, JAAA 5.5%. Note BPDC has ARCC SSWC and about 20 other BDCs in its portfolio. Also avoid dividend funds with a yield above 15% many with yields this high or higher. very often at yield above 15% NAV erosion is common. I only know of one fund with a yeild below 15%that has NAV erosion., QYLD. 12% yield. Avoid funds with NAV erosion.

 know the general consensus is usually " You're too young to have income ETFs and you should DRIP everything" but given this scenario, would you go against the norm?
There are many reasons whey this is not good advice for everyone. and and both of you fit into this ctagory.
.Now you can both start building a dividned portfolio in ataxqable account using QQQI 13% yeild, SPYI 11%, EMO 8%UTF 7% UTG 6.4% and PFF 6%. These are tax efficient funds and a taxable account iallows easy access to the money before retirment age.
You can also dividned funds in a Roth IRA using the same as the taxable and you can add ARDC 9%, PBDC 9% CLOZ 8%, PFFR 8%, JAAA5.5% The funds as a lot of stability and deversificationto the dividned income.
I would also recomend reading the book The Income Factory and took at Armchair income on youtube for more fund ideas.

You may want to look a CEF funds instead of individual companes. CEF dividend funds are typically actively managed so the fund managers do the investment research. There are also good EFT options.
funds I have that are tax efficient, are QQQI 13% yield, SPYI 11%, EMO 8%, UTF 7%, UTG 6.4%, PFF 6%.
Funds that re classified as regular income (not tax efficient) are ARDC 9% yield, PBDC 9%, PFFR 8%, CLOZ 8%, JAAA 5.5%.
I would also look at Armchair income on youtube for more dividend fund ideas.

The reasons why you are paying a lot in aces is mostly due to JEPI, JEPQ, ARDC, PDI, CSWC are taxed as ordinary income , the highes tdividend tax rates. The remaining fund either generate qualified dividend or ROC dividend which are tax efficient. So lesson learned is know how dividends are taxed before you invest for dividends in a taxable account. if you increase the amount invested in the tax efficient funds you can avoid a lot of the taxes from the dividned income.
A roth account is great place to put high tax dividend funds.
This is how dividends are taxed:
1. Ordinary dividneds. all of this income is classified as taxable income. This is the same as the tax on work income.
2. Qualified dividend are taxed at the long Term Captial gains. rate. Most case only 20% of qualified dividned income is taxable income.
3. ROC dividends These dividned are generated when a ETF and CEF sells stock at a loss. This spatial gains loss is then transferred to to the investor and is subtracted from the cost basis of tehstock that generate it. If the cost basis is not zero you owe no tax on the ROC dividend. If the cost basis is zero you owe Long Term Capital Gains tax rate. Now funds that genrate ROC dividends also make money from selling covered calls as well as the dividned from the stock it holds. QQQI is such a fund. it typically generates 95% ROC dividend and 5% qualified dividned. You will owe no tax from the ROC portion the dividned for about7 years.
NOte SGOV is a US governerment bond fund. There is no state tax on these dividends. However you still owe federal taxes.
For my taxable ibrokerage account I am invested in QQQI 13% yield , SPYI 11% yield, EMO 8%, UTF 7%, UTG 6.4%. and PFF 6%. and you can easily add in SGOV
My roth has these funds as well as ARDC 9% yield, PBDC 9%, CLOZ 8%,, PFFR 8%, JAAA 5.5%. Note BPDC has ARCC SSWC and about 20 other BDCs in its portfolio. Also avoid dividend funds with a yield above 15% many with yields this high or higher. very often at yield above 15% NAV erosion is common. I only know of one fund with a yeild below 15%that has NAV erosion., QYLD. 12% yield. Avoid funds with NAV erosion.

 know the general consensus is usually " You're too young to have income ETFs and you should DRIP everything" but given this scenario, would you go against the norm?
There are many reasons whey this is not good advice for everyone. and and both of you fit into this ctagory.
.Now you can both start building a dividned portfolio in ataxqable account using QQQI 13% yeild, SPYI 11%, EMO 8%UTF 7% UTG 6.4% and PFF 6%. These are tax efficient funds and a taxable account iallows easy access to the money before retirment age.
You can also dividned funds in a Roth IRA using the same as the taxable and you can add ARDC 9%, PBDC 9% CLOZ 8%, PFFR 8%, JAAA5.5% The funds as a lot of stability and deversificationto the dividned income.
I would also recomend reading the book The Income Factory and took at Armchair income on youtube for more fund ideas.

You may want to look a CEF funds instead of individual companes. CEF dividend funds are typically actively managed so the fund managers do the investment research. There are also good EFT options.
funds I have that are tax efficient, are QQQI 13% yield, SPYI 11%, EMO 8%, UTF 7%, UTG 6.4%, PFF 6%.
Funds that re classified as regular income (not tax efficient) are ARDC 9% yield, PBDC 9%, PFFR 8%, CLOZ 8%, JAAA 5.5%.
I would also look at Armchair income on youtube for more dividend fund ideas.