The month of February is not quite up, but I’ve already gotten all of my passive dividend income payments for the month. I always enjoy looking back over the month that was and add up my dividend earnings. Dividends are my favorite form of passive income because they come in whether I have work or not. As I’ve said many times before, passive income is the best income.
I own some great companies that pay me on a regular basis. These companies sell their wares around the world every day. They have workers who are dedicated to serving their clients, and I’m not one of them. These workers show up to do their jobs when I don’t have to. I have weekends off, but companies like Starbucks (SBUX) sell coffee each and every day in just about every time zone known to man. This is a really cool concept that allows me to build wealth.
Passive Dividend Income For February 2017
I earned multiple payments in February 2017. Three companies and one fund paid me basically for existing. Without holding you in suspense any longer, here is my passive dividend income for the month that was:
Starbucks (SBUX) $1.12
Realty Income Corp (O) $2.11
Omega Healthcare Investors (OHI) $31.00
JP Morgan Equity Income RF (OIERX) $2.33
TOTAL dividends, 2/17 $36.56
By looking at my passive dividend income for February, I was able to earn $36.56. I like to compare my income on a year-over-year basis, and in February 2016, I earned $6.27. This was more than $30 less than my earnings just one year later, which means my passive dividend income grew by more than 500 percent in just one year. I have to say I’m happy with this result. However, I don’t assume that this will continue indefinitely.
It’s evident that OHI was my biggest payer for the month. I don’t really like the outsized income that I get from one company, so I’m hoping that I can diversify more so that my income is not so dependent upon one company.
When I add my January income to my income from February, I’m now up to $48.19 in passive dividend income for 2017. It was June before I passed this amount of income in 2016, so I’m definitely thrilled with this progress
Hours of Freedom Earned
I like to track how much freedom my dividend income provides me each month. I have a forward estimated dividend income of $322.95 for the next 12 months. This means that I now have about 16 hours of freedom built up for the next 12 months.
I argue that I would need to earn $20 an hour to maintain a similar standard of living to what I currently have. This figure is arrived at with the assumption that I would not be paying toward retirement or Social Security. Additionally, I would have fewer expenses associated with work like an occasional meal out and commuting.
16 hours of freedom is the equivalent of 1 hour, 20 minutes a month. If I look at my income from February only, it would have nearly bought me 2 hours of freedom. It’s not quite the 170 hours that I’d normally work for a month, but it’s a start. I enjoy looking at the upward trend, however.
How was your passive dividend income for February? Let us know in the comments.
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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.
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