I'll jump on the "yes, this is normal" pile. Index funds such as S&P 500 have recently had dividends of about 2% per year.
If you are in the 15% tax bracket, with AGI < $74,900, qualified dividends are not taxed. At higher brackets, they are taxed like long term capital gains (15% + state income tax for most, up to 20% + 3.8% medicare tax + state income tax for those in the top tax bracket).
It's common among the FIRE crowd to acquire high dividend stocks, ETFs and mutual funds for the "income" and the favorable tax treatment in early retirement. If you are in the accumulation phase with a high income, dividends do nothing but produce "tax drag", reducing your returns.