January 2017 Passive Dividend Income

It’s hard to believe, but the first month of 2017 is in the books. There are less than 330 shopping days left until Christmas. The end of the month is one of my favorite times of each month. It’s the time that I look back and tabulate my passive dividend income for the previous 30 days. As all of my brokerage and retirement accounts are updated, I can now add up how much I made passively in January 2017.

Why Dividends?

I’ve decided to build up a stream of passive dividend income through dividends because they come in whether I work or not. I own some great companies. These companies sell their wares or rent out their space 24/7/365. Many of them do so in many nations around the world. One of the coolest things about a dividend growth strategy is the fact that these companies frequently increase their payments with me doing absolutely nothing.

Passive Dividend Income Can Add Up
A $500 bill, public domain via Wikimedia Commons

My dividend income is admittedly quite low at this point. I’ve been working on building it up for less than two years. Any dividend income, however, is gravy. It’s currently a small snowball that’s building mass over time. This increased mass results from three components. These are more invested capital, reinvested dividends, and dividend raises. Put all of them together, and it should be hard not to see an increase in dividend income over time.  Therefore, to end your suspense, here is my passive dividend income for 2017.

January 2017 Passive Dividend Income

IRA Account:

General Electric (GE)                                 $9.60
Realty Income Corp. (O)                         $2.03

Total Passive Dividend Income:        $11.63

I did not earn any income from my taxable or 401k accounts during January. Therefore, only these two companies paid me anything. This was the first time that I’ve earned a dividend from Realty Income, but I should earn something every month, as this company pays out on a monthly basis. It also just announced a dividend increase of 0.8 cents per month. This increase added a cool $1 to my expected dividend income for the next year and allowed my to pass a dividend milestone.

Year-Over-Year Comparison

My dividend income was well off my record month in December. That’s the bad news. The good news is that it was more than double what I earned in the same month last year.  In January 2016 I only earned $4.48. Therefore, my passive dividend income grew by more than 162 percent on a year-over-year basis. Needless to say, I’m pretty happy with that result.

Additionally, my estimated dividend income for the next 12 months is up to $302.11. I’ve noted before that I like to track my dividend income in terms of the number of hours of freedom that it should give me based on a $20/hour salary. This means that I theoretically have 1 hour, 15 minutes of freedom each and every month. This should only grow over time, so I’m pretty happy about my progress. I updated my Monthly Passive Dividend Income page with these results.

How was your dividend income for January? Let me know in the comments.

If you’d like to keep up with my progress, be sure to sign up for updates in the email signup box near the top of the page. You can also follow me on Twitter.

Disclaimer: I am not a professional financial advisor. I intend this information for informational and educational purposes only. Perform due diligence before investing in any equities. See my disclosures page for more information.

21 thoughts on “January 2017 Passive Dividend Income”

  1. Fantastic. Although it’s not a huge increase, remember that compounding is in our favour. Leave this for years and it is only going to get better. I believe we are in a similar situation at the moment financially so it’s nice to see people on this track. Cheers.

    1. Compounding is definitely what I’m looking for. I like the idea of having more income build up over time. It’s enough to keep my motivated.

  2. Getting 162% increase year over year is great. I do not like to compare my good months to my lower months. The quarterly payment method of most companies cause a lot of differences from month to month. I like the monthly year over year numbers myself.

    1. January is probably going to be my lowest month every year. KO pays out in December, which is the only time it pays out in the third month of a quarter. I also expected some income from KHC, but they paid in December too.

    1. I’m looking to buy more. I got in around $54 and it’s gone up 10 percent since I bought it. I’m also looking at MAIN and STAG as monthly payers that have a higher yield, but I’ll have to research them a bit more before pulling the trigger. Monthly compounding adds up more quickly than quarterly for sure.

  3. Little ones add up over time. Keep on grinding higher.
    That’s exactly where I started 5 years ago

    We will publish our passive income of our portfolios within coming weeks. It was an exciting month for us

    1. That’s my thought. All dividend income will get reinvested at this point so it’s a few flakes of snow in my growing snowball.

  4. I love it, I love it, I love it. A 162% increase is amazing EMIP. Great job. Despite the fact the dollar amounts aren’t the same as January…I would challenge you to find a dividend investor that did post similar figures. December is insane because of the capital gains distributions from mutual funds and ETFs and it is always going to be hard to compete with that. Amazing progress though, keep up the great work!

    Bert

    1. Bert,

      Thanks for visiting. I’m digging anytime that I can get year-over-year growth. KHC and KO paid out in January, when they seem to pay out in the first quarter at other times of the year. Those two payments would have helped a bit, but the month doesn’t matter much in the long run.

    1. I love checking out how I’m doing YOY. Unless we invest in a company like KMI, it’s likely that my dividend income will go up pretty regularly.

  5. Just continue doing what you are doing. Clearly your dividend income is showing the results as you put up some impressive year over year gains. That doesn’t happen by itself, yet. Keep buying those solid dividend payers, reinvest and those annual raises will ensure positive year over year results for years on end.

    1. If I could double my income every year, I’d be able to retire pretty quickly. Probably won’t happen that quickly, but small and steady gains will leave me in better condition than I would otherwise be in.

  6. Fantastic growth that will only get better. I like your way of thinking on how much freedom time it will give you since that is a common goal of the community is to achieve financial freedom. Thanks for sharing.

    1. I figure I’m getting close to “owning” 1 percent of my time and have a couple of decades to build that up to add to some pension and SS income.

Leave a Reply

Your email address will not be published. Required fields are marked *