{
  "id": 4351024,
  "title": "How a 66-Year-Old’s $600,000 in QQQI Pays Her Monthly With Almost No Tax Bill, Until the Day She Sells",
  "url": "https://urgent.news/2026/08/28/how-a-66-year-olds-600-000-in-qqqi-pays-her-monthly-with-almost-no",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-28T22:05:50.000Z",
  "source": {
    "name": "Yahoo Finance",
    "slug": "yahoo-finance",
    "url": "https://finance.yahoo.com/markets/options/articles/66-old-600-000-qqqi-220550714.html"
  },
  "original_language": "en",
  "account": "A 66-year-old woman with approximately $600,000 invested in the NEOS Nasdaq-100 High Income ETF (QQQI) receives a monthly distribution from her investment. In the past year, her 1099-DIV form showed little income, leading her to claim the income is tax-free. In reality, a significant portion of her income is tax-deferred, with the tax bill growing gradually in her cost basis until she eventually sells her shares. QQQI distributes monthly, which appeals to retirees who want regular income matching their expenses. The August 2026 distribution was $0.6518 per share, with trailing 12-month distributions totaling $7.648285 per share, and an annualized forward figure of $7.8216, representing a high single-digit distribution rate. QQQI's August 27, 2026 share price was $54.60, giving it a high single-digit distribution rate. The fund invests in Nasdaq-100 stocks and writes index call options on top, with the premium from these calls funding the checks. This strategy caps her upside when the Nasdaq-100 experiences significant gains. Options-income ETFs like QQQI can classify a portion of each year's distribution as return of capital (ROC), which does not get taxed in the year received but lowers the investor's cost basis. If a retiree has saved over $1,000,000, this guide is for them. The focus should be on understanding the cost basis when selling shares, rather than considering the 1099-DIV as a permanent tax break.",
  "summary": null,
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}