3 Low Cost ETFs Built for Long Term Retirement Income

"The difference matters more than most people think, because returns are unpredictable and income, if it's structured correctly, shows up whether the market is up, down, or going sideways. This is where low-cost dividend ETFs are earning their place in retirement portfolios, as they provide broad diversification, predictable cash flow, and the kind of simplicity that lets retirees focus on living rather than constantly worrying about their investments."

"Every dollar paid in fees is a dollar that isn't compounding in your favor, and this is something every investor, retail or otherwise, should know right from the very start of their investing journey. Over a 20-30 year period in retirement, even small differences in expense ratios can translate into thousands of dollars in lost income. This is why names like Vanguard, Schwab, and State Street have become the go-to names for investors who are focused on earning income."

Retirement planning should prioritize reliable income over chasing returns because returns are unpredictable while structured income delivers cash flow in up, down, or sideways markets. Low-cost dividend ETFs provide broad diversification, predictable quarterly cash flows, and simplicity that reduces investment-related stress for retirees. Keeping expense ratios low preserves compounding and prevents significant income loss over 20–30 years, which makes providers like Vanguard, Schwab, and State Street preferred options. Low-cost ETFs also offer transparency about holdings and fees, enabling retirees to anticipate income. The Vanguard Real Estate ETF (NYSE:VNQ) provides REIT exposure with a yield of 3.75% and an annual dividend of $3.47.

Read at 24/7 Wall St.