4 Dividend Investing Tips That Could Earn You Thousands

If you're in or approaching retirement, you're likely looking to purchase dividend stocks that not only have the capacity to grow, but also throw off cash on a regular basis. Even if you're a young person, while the conventional wisdom is to invest in high-growth stocks that may not pay a dividend, investing in dividend stocks is a great way to diversify. With a constant and (hopefully) growing stream of cash, dividend stocks afford investors the option of using the cash in their daily lives or reinvesting in order to compound their returns.

Investing in dividend stocks, like most investing principles, is simple, but it's not necessarily easy. Here are a few rules to live by that can help make you wealthier and save you from costly mistakes.

These four dividend rules could make you rich. Image source: Getty Images.

Source Fool.com