Quick Read

• A traditional IRA balance overstates true wealth because every withdrawal is taxed as ordinary income, meaning the government owns a portion of every dollar on the statement.

• Converting $40,000 annually at 12% using outside funds beats a $730,000 traditional IRA balance taxed at 22% on withdrawal, leaving the converter with more spendable money.

• Roth owners avoid required minimum distributions, Medicare IRMAA surcharges, and pass tax-free balances to heirs. These advantages hold regardless of future tax rates.

• Two retirees, same $1 million, same 4% rule, buy one finished with $1.4 million, the other hit $0 in 12 years. Our free reader guide explains the flaw that separated them, and the income-first method built to avoid it.

Two brothers, same starting balance of $450,000 in a traditional IRA, same age, same market. Imagine that one spent a decade moving $40,000 a year into a Roth, paying tax on each conversion at the 12% federal rate. The other brother did nothing and watched the balance climb to $730,000. On paper, the second brother looks like he came out ahead. In practice, he owns less of what his statement says than his brother owns of a smaller one.

Why the Statement Includes the Government’s Share

A traditional IRA balance is money on which no federal income tax has ever been paid. Every dollar withdrawn is taxed as ordinary income in the year it comes out. If the eventual tax rate is 22%, then twenty-two cents of every dollar on that statement belong to the Treasury. The account holder is a custodian for a share he does not own.

A Roth statement works differently. Tax has already been settled. Qualified withdrawals in retirement come out untaxed. The number on the page is the number the owner can spend. Two brothers whose statements read the same figure do not have the same wealth if one is a Roth and the other is pre-tax. Almost no one adjusts for this when deciding whether they have enough saved.

The 4% Rule is Broken, Built On A World That No Longer Exists

Every retiree knows about the 4% rule, but it frames retirement as a slow liquidation and still causes retirees with seven-figure accounts to agonize over a dinner out.

There’s a different way to run the math that makes more sense today. Build an income floor — dividends, interest, and Social Security that cover your essential bills every month — and you never have to sell shares into a down market just to pay them.

Advertisement

Our free reader guide, The 4% Rule Is Broken, walks through it in about 15 minutes. Access the report here.

Story Continues

Story Continues

On groceries, Amazon employees will get 10% off eligible fresh groceries and everyday essentials on Amazon.com and Whole Foods Market online, and 20% off in-store at Whole Foods Market, according to Amazon. The discount is uncapped and can be stacked with existing Prime member discounts.

Advertisement

Amazon already offers full-time employees free Prime membership, prepaid education up to $5,250 annually through its Career Choice program, health-care coverage from day one, a 401(k) with company match and paid parental leave.

How workers are reacting to the news

The reaction among some Amazon workers has been mixed. On a Reddit forum for Amazon employees, several comments questioned whether the Whole Foods grocery discount would amount to meaningful savings in practice, given the chain’s reputation for higher prices than typical grocery stores. One commenter said the 20% discount might bring Whole Foods prices roughly in line with a regular supermarket.

The wage increase shows up in every paycheck. The Whole Foods discount only helps workers who actually shop there. Many Amazon fulfillment-center employees are in suburban and rural areas where Whole Foods locations are sparse. A 20% discount on a grocery chain that runs 30% to 40% above average market prices still leaves workers paying more than they would at a standard supermarket.

Yahoo Finance reported the Reddit comments were highlighted by Amazon itself in materials it shared with media, framing the employee skepticism as good-natured.

The banking benefit drew a more positive response. Access to a federally insured credit union with lifetime membership is a tangible financial tool, particularly for workers who are unbanked or underbanked. About 4.2% of U.S. households have no bank account, according to the FDIC, and a larger share use high-fee check-cashing or payday lending services. A credit union membership with low fees and competitive rates addresses a real gap for that group.

Advertisement

What this means for Amazon and its workforce

Hourly workers have more options than they did five years ago. Walmart’s average U.S. frontline associate wage now tops $18 an hour, according to Walmart. Target, Costco and other large retailers have done the same. Amazon warehouse jobs have a reputation for fast pace and physical demand, so the pay premium has to justify that to workers who could go elsewhere.

The company has also faced years of criticism over warehouse working conditions, injury rates and worker organizing efforts. Higher pay addresses one dimension of employee concerns but does not resolve questions about workload, pace of work or scheduling flexibility that have driven some of the tension between Amazon and its workers.

For investors, the $1.5 billion figure is worth context. Amazon generated more than $100 billion in operating cash flow in its most recent fiscal year, according to Yahoo Finance. The wage investment is meaningful for the workers receiving it, but manageable at the company’s scale.

Labor costs are one of the largest line items in Amazon’s operations. The company has been investing heavily in robotics and automation across its fulfillment network, partly to offset rising labor expenses over time. Higher wages make the automation investment look more attractive from a cost standpoint, since it raises the threshold at which machines become cheaper than people. Amazon will report how labor costs are trending when it releases its next quarterly earnings results.

Advertisement

Related: Kroger has a problem Walmart and Amazon will never have

This story was originally published by TheStreet on Sep 20, 2026, where it first appeared in the Employment section. Add TheStreet as a Preferred Source by clicking here.

Fidelity’s mission is to strengthen the financial well-being of our customers and deliver better outcomes for the clients and businesses it serves. With assets under administration of $12.6 trillion, including discretionary assets of $4.9 trillion as of December 31, 2023, Fidelity focuses on meeting the unique needs of a broad and growing customer base. Privately held for 77 years, Fidelity employs more than 74,000 associates with its headquarters in Boston and a global presence spanning nine countries across North America, Europe, Asia and Australia. Note: This account is not managed or monitored by Fidelity, and any messages sent via Seeking Alpha will not receive a response. For inquiries or communication, please use Fidelity’s official channels.

Main Street Capital (NYSE: MAIN) completed its initial public offering on Oct. 4, 2007, at $15 per share. If you invested $10,000 into the business development company (BDC) stock at its IPO, you’d have purchased around 667 shares. Those shares would now generate around $177 per month in regular dividend income alone at the current rate of $0.265 per share. You’d also currently collect another $200 each quarter in supplemental dividends at the current $0.30 per share rate.

Here’s a look at Main Street Capital’s impressive dividend track record.

Missed AI’s “Act 1”? Act 2 Could Be 15x Bigger. Most investors think they missed the AI boat because they didn’t buy Nvidia in 2005. But according to our analysts, we’re only at the end of “Act 1″—the R&D phase. “Act 2” is the global rollout. Continue »

An income-producing machine

As a BDC, Main Street Capital must distribute 90% of its taxable income to shareholders each year to remain compliant with IRS regulations. It has a unique strategy to meet that obligation while also providing income investors with the stability they desire. It has set its monthly dividend at a level it can sustain throughout market cycles. Main Street Capital currently generates enough distributable net investment income to cover its regular monthly dividend by a comfortable 1.39 times. The BDC pays supplemental quarterly dividends to return excess taxable income to shareholders and remain compliant.

Main Street Capital has grown its monthly dividend by 141% since its IPO. It has paid a cumulative $42.465 per share in regular monthly dividends during that period, and an additional $8.74 per share in supplemental dividends. It has never suspended or reduced its regular dividend, though it has at times stopped paying supplemental dividends.

What’s driving the dividend growth?

Main Street Capital stands out from other BDCs for its growth. The company has grown its net asset value (NAV) per share from $12.85 at its IPO to $33.92 at the end of the second quarter, 164% total growth (5.4% compound annual growth rate). One of the keys to its success is its dual investment strategy of investing in the secured debt of smaller private companies with meaningful equity participation. The company’s equity investments provide upside.

For example, this past June, Main Street announced the exit of a portfolio investment. Its initial investment consisted of a $2.4 million revolving line of credit, a $12.2 million first-lien senior secured loan, and a $5.8 million direct equity investment. It subsequently completed seven follow-on investments, growing its total debt and equity investments to $42.3 million and $6.4 million, respectively. The BDC recently realized a $46.4 million gain on its equity investment in this portfolio holding, which had also generated $2.2 million in cumulative dividend income. Gains like these have supported its growing NAV per share while providing the BDC with additional capital to reinvest to grow its portfolio. That portfolio growth has helped support its rising dividend.

An excellent income investment

Main Street Capital has a terrific record of paying dividends. It has steadily grown its monthly payout, driven largely by the value created by its equity investments. It has also paid out additional cash each quarter in supplemental dividends (20 consecutive quarters of payments). While that supplemental payment isn’t as bankable as the regular dividend, the company expects to continue paying them for the foreseeable future. There’s also no guarantee its equity investments will continue to support its growing monthly dividend. However, it has a strong track record of making value-enhancing equity investments. That should give investors confidence that Main Street Capital can continue to deliver a growing monthly dividend, with an additional quarterly income bonus, making it an ideal passive-income investment.

Should you buy stock in Main Street Capital right now?

Before you buy stock in Main Street Capital, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Main Street Capital wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $387,158!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,365,749!*

Now, it’s worth noting Stock Advisor’s total average return is 932% — a market-crushing outperformance compared to 211% for the S&P 500. Don’t miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.

See the 10 stocks »

*Stock Advisor returns as of September 20, 2026.

Matt DiLallo has positions in Main Street Capital. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Main Street Capital Went Public at $15 a Share. $10,000 Invested Then Now Collects About $177 a Month in Regular Dividends. was originally published by The Motley Fool

It’s safe to say that truck drivers around the country are feeling the impact of record-breaking diesel prices.

As of Sept. 19, diesel stood at $6.48 per gallon nationwide, according to AAA. And per GasBuddy, the highest prices can be found in Washington, Hawaii and California, the latter which has seen diesel top $8 per gallon.

Must Read

Diesel is needed to fuel trucks that transport food to your local supermarket, vehicles to out-of-state dealerships and your latest retail purchase to a local distribution center, plus much more. The American Trucking Associations estimates that trucks moved 73% of the nation’s freight by total weight in 2024.

However, high diesel prices — thanks in part to geopolitical conflicts like the U.S.-Iran war and the Russia-Ukraine War — can strain the supply chain and increase operating costs for logistics companies and freight operators. Ultimately, the prices consumers pay for goods also go up.

Some owner-operators are calling it quits

While the entire trucking industry is feeling the pinch, it’s possible that owner operators — drivers with their own trucks in business for themselves — are feeling it the most.

One owner operator, Yahathan, told WALB 10 News that he has cut down on loads because of the distances he has to travel. Owner-operators like himself have had to be extra careful about managing fuel spending of late.

“I feel that diesel for truck drivers, you know, it shouldn’t go up at a high rate because we make the world go ’round,” he said.

Vatissa Rhodes, whose weekly fuel bill has nearly doubled, said in an interview with ABC affiliate KATU 2 that she is contemplating selling her truck and working for someone else.

“I’m actually already looking to drive for another company to park my truck,” she said. “My paycheck has been cut maybe about a third.”

On cross-country trips, Rhodes would spend anywhere from $1,700 to $2,000 a week on fuel. Now, it’s at least $3,500, she told the outlet. She has been running her own business for six years, as a means to grow her savings and reinvest in her company. But the venture has instead landed her in debt, with each year being more difficult than the last.

Rhodes transports food in a refrigerated trailer, meaning she needs extra diesel fuel just to keep goods cold. While trucking contracts include a surcharge for fuel, she said they have not kept up with gas prices. Neither have the rates offered to transport freight.

“I know that the prices in the stores are going up, but we’re still not seeing an increase, so it’s hurting the drivers and the companies that are paying for the fuel,” she said.

Read More: Vanguard reveals what’s coming for U.S. stocks — and it could be bad news for this group of investors

How higher diesel prices impact consumers

Everyone is impacted by diesel prices over the long run. Diesel is not only used to transport items around the country, it’s also instrumental for farmers to operate machinery.

Higher fuel prices tighten margins for businesses across the entire supply chain, and at least some of that is passed down to the consumer in the form of higher grocery costs and delivery fees.

However, this can take a while to materialize, as the sticker shock is not as immediate as pulling up to a gas station and seeing the price per gallon has gone up since you last filled up.

And while drivers tend to respond to higher gas prices by driving less, doing the same with diesel is difficult because it’s used commercially across many industries. Even heating oil will become more expensive for homeowners across the northeast this winter. That’s because the price of heating oil tracks closely with diesel since both are made with the same ingredients.

As Tom Kloza, chief energy adviser for Gulf Oil, told CBS News, consumers should, “buckle up and recognize that inflation is likely to get turbocharged by these high prices for a product you probably don’t care much about, which is diesel fuel.”

“Everything that moves around the country and all crops are dependent on spending money on that fuel,” Kloza added.

What To Read Next

Get Warren Buffett’s best investing lessons, free. Join 250,000 readers getting Moneywise’s sharpest money reporting every week. Subscribe and we’ll send you our guide to the ideas that built Buffett’s fortune as a welcome gift.

This article originally appeared on Moneywise.com under the title: Diesel at $6.48 per gallon pushes truck drivers to spend $3,500 a week on fuel, forcing some to quit

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.