African Spurred Tortoise Edited

Passive Dividend Income–September 2017

Earnably
This site includes affiliate links. Please note that I may be compensated should you sign up for these programs. Here I sit on the evening of October 1. Yet another month has come and gone. September is now in the books. As the Steve Miller Band once sang, “Time keeps on slippin’, slippin’, slippin’ into the future.” This means that it’s time to add up my passive dividend income for the month.

September was the third month of the quarter, and that’s usually a good thing for dividend income investors. More companies pay out the final month of the quarter than they do in other quarters.

I’m building up a stable of quality companies and funds that pay out dividends to their shareholders. It’s like I get paid for doing no work. Of course, I had to work to earn to capital to invest, but after I use that capital to buy shares, I have to do nothing else. This is a cool concept, to say the least.

Building passive dividend income, slowly, but surely!

I look to buy companies that have the ability to grow dividends over time, and this should provide me with a growing stream of passive income. As I note pretty much every month, passive income is the best income! The only bad thing about passive income is when you don’t have enough of it to pay your bills each month.

I own companies that make money every single day. They bring in big profits, and they pass on some of those profits to me. What’s not to love about this setup? Hopefully, I’ll have enough passive income to take care of my standard of living at some point in the future. Right now, the buildup is slow and sure. Without further ado:

Passive Dividend Income For September 2017

Here are the companies and funds that paid me in September:

The Kroger Co. (KR)                                                                                        $6.25
Southern Co. (SO)                                                                                          $17.40
Johnson & Johnson (JNJ)                                                                              $8.40
Realty Income Corp. (O)                                                                                $5.29
Vanguard Total Stock Market Index ETF (VTI)                                   $2.77

Total Dividend Income from IRA                                                             $40.11

JP Morgan Equity Income R5 (OIERX)                                                   $1.88
Cohen and Steers Realty Shares (CSRSX)                                            $7.58

Total Dividend Income from 401k                                                            $9.46

Total Passive Dividend Income for September 2017            $49.57

This was nowhere near a record, and it did not even meet last month’s total dividend income. Still yet, it was nearly $50 that I did not have to work for. I just learned that Realty Income announced a raise. This raise will only add $0.15 to my passive dividend income over the next year. However, this company tends to increase the dividend about every quarter, which will allow my earnings to compound more quickly.

Passive Dividend Income Comparison

If I look at my passive dividend income from the same month last quarter, it becomes apparent that my September income was lower than June’s. While this is not a great development, it’s largely tied to the REIT fund that I own. This fund pays more in dividends in June and December than in March and September.

Now for the better news. By comparing my year-over-year results, I had a pretty large gain this year. Last September, my dividend income was only $18.87. This number grew to the $49.57 listed above, which was an increase of a little more than $30 in a year.

The passive dividend income that my companies paid me in September now brings my dividend income for 2017 up to $336.74, which is already nearly $100 more than I earned in all of 2016. And I still have three months to build on this total. This is where dividend growth gets even more exciting.

The dividends that my holdings send my way, at least in my IRA, get reinvested in stocks that will also pay dividends. This compounding action should lead to a virtuous cycle of growing dividend income over time. Hopefully, within just a few short years, I’ll be able to talk about passive income in the thousands, rather than the hundreds.

How was your dividend income during September? Did it grow year over year? 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 or via the popup that asks you to sign up. 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. I’m long O, SO, KR, JNJ, VTI,  CSRSX, and OIERX.

African Spurred Tortoise Edited

Passive Dividend Income–August 2017

Earnably
This site includes affiliate links. Please note that I may be compensated should you sign up for these programs. The month of August is not quite over, but the number of companies paying me passive dividend income is. One of my favorite options for earning passive income is dividends.

Of course, I have to work for the capital to invest, but the dividends come without any additional work on my part. They also provide more capital. I can then invest that additional capital to get even more passive dividend income. It’s a great cycle to say the least.

Passive Dividend Income Builds Up Slowly But Surely
My dividends continue to build slowly, but surely.

I started this blog with the title “Earn Money In Pajamas” because I wanted to earn money from home in my recliner. Dividends are the ultimate option for earning money in pajamas. The companies I own make money 24/7/365. Most of them pay me on a quarterly basis from the profits that they make. That’s an awesome concept that I really dig.

July was a low month when it came to dividend income, but August was much better. Two of my biggest payers provide me with income in the second month of each quarter. Without making you wait any longer, here it is:

My Passive Dividend Income For August 2017

Traditional IRA

AT & T (T)                                                                                  $24.50
Realty Income Corp. (O)                                                       $5.29
Omega Healthcare Investors (OHI)                              $32.00

401k

JP Morgan Equity Income R5 (OIERX)                           $3.41

TOTAL DIVIDENDS FOR August 2017:                          $65.20

This was just short of my record divided income in one month, which was set last December. This $65.20 was an increase of more than $21 in just three short months. This effectively is a whole hour of freedom when compared with my income from May. As I’ve noted before, I figure that I need $20 an hour to replace the benefit of an hour of my working income.

My first dividend report came exactly two years ago. In August 2015, I earned a whopping $0.64. I just made more than 100 times that two years later. While $65 and some change is not a huge sum, it’s way bigger than literally just some change. In 2015, my passive dividend income couldn’t have even paid for a pack of gum. Now I could eat out two or three times, depending on where I decide to eat.

My dividend income for August now brings my annual total up to $287.17, which is more than I earned all of last year. And I still have four months to go. I’ve updated my monthly passive dividend income page to reflect this new income.

Passive Dividend Income And Freedom

One of the things that I like the best about dividend income is the freedom that it could eventually provide. Should I ever get to the point that I could live off of dividend income, I’d officially have financial independence. I’m a long way away from that, but it’s a goal that I can shoot for.

With all of my purchases from August added in, my passive dividend income for the next 12 months should come in at $461.82. This would provide me with slightly more than 23 hours of freedom on an annual basis, which is slightly less than 2 hours a month.

This $461.82 should come in without any additional purchases and without any dividend raises. This is a very unlikely scenario. A dividend cut would actually be more likely even though I have companies that I believe will be around and making money for the long haul.

My dividend income for the month of August 2016 was only $13.29; therefore, I increased that total by more than $50 in just a year. While is not likely to continue over the long haul, it’s setting the foundation for where 10 percent increases will be more than the $50 year-over-year increase I just experienced. That’s pretty exciting to think about.

How did you passive dividend income measure up in August? 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 or via the popup that asks you to sign up. 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. I’m long O, T, OHI and OIERX.

 

African Spurred Tortoise Edited

April 2017 Passive Dividend Income

Passive Dividend Income Builds Up Slowly But Surely

The month of April is not quite over yet, but my passive dividend income for April has all arrived in my accounts.  The end of the month is one of my favorite times, because I get to tally up the passive income that I earned from dividends over the previous 30 (or so) days.

April was the first month of the second quarter. This means that fewer companies tend to pay out, which hurts my income from my 401k fund. Regardless, all of the companies that I own continued to work making money for me.

Every share that I own is an ever-so-small slice of the company that issued the shares. In effect, I own 0.0000000001 percent of these companies (or some other such minuscule number). Regardless, I love the fact that they work on the other side of the world while I’m sleeping to make me money.

Regardless of what I do in a given month, I get paid. Of course, I have a regular job and work hard to supplement that income, but it’s good to know that I have a growing stream of passive dividend income. Here are the companies that paid me in April:

Passive Dividend Income For April 2017

Taxable Account:

Coca-Cola (KO)                                                                           $3.24

Traditional IRA:

Realty Income Corp (O)                                                          $2.11
General Electric (GE)                                                                $9.60

401k

JP Morgan Equity Income R5 (OIERX)                        $0.01

TOTAL DIVIDENDS FOR APRIL 2017:                         $14.96

Yes, I earned a whopping penny from my 401k. Not terribly impressive, but better than nothing, I suppose.

Year-To-Year Comparison

Admittedly, not even reaching $15 might cause frustration for many people. However, when I look at this amount and compare it to the same month last year, I earned only $8.90 last year. This means that I increased my dividend income by 68% in just 12 months.

Increases of this size will not continue indefinitely, but they are pretty cool. They also help me build up my passive dividend income. They are important building blocks toward my goal.

I’ve now earned $105.31 so far in 2017. At this point last year, I’d earned only $33.27. This means that my passive dividend income is up 217% in just a year’s time. Pretty cool. Onward and upward.

I have to point out one thing, however. I sold all of my taxable investments over the past month, because, as I noted  previously, Loyal3 is shutting down. As this was my taxable investment vehicle of choice, I sold out and put the money into my Traditional IRA, hoping to cut my taxes for 2017 in the process.

This means that you’ll no longer see some of the common dividend payers on my reports previously. I wanted to let you know why.

I replaced my taxable holdings with more AT & T. This brings my estimated dividend income (not counting the 401k) to $398.90 for the next 12 months. I’m only one more purchase or one more dividend raise from crossing over the $400 mark. Again, pretty cool stuff.

How was your dividend income for April? Let me know in the comments. I’ve also updated my passive dividend income page so you can see the growth of my income over time.

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.

Image credit: Wikimedia Commons

African Spurred Tortoise Edited

March 2017 Passive Dividend Income

Passive Dividend Income Builds Up Slowly But Surely

Yet another month has come and gone. I don’t like new months for one reason, as they seem to be coming more quickly as I get older. I do, however, enjoy them for another reason, because they give a great chance to look back. One of the best things to look back over is passive dividend income.

As you might already know, I’ve decided to embark upon a path of building a growing stream of passive dividend income. The strategy involves buying stock in a few high-quality companies. These companies have many employees who work hard every day.

They also tend to make lots of money, and part of the money that they make comes back to me in the form of dividends. These are cash payments that I can use for pretty much whatever I want. At this point in life, I’m using them to buy more stock. Which leads to more dividends. Which leads to more stock. And on and on this virtuous cycle should go.

Passive Dividend Income for March 2017

March was a great month for earning dividends. I had several companies and funds that paid out in the month. One was even unexpected. Kraft-Heinz switched up from paying out in the first month of the quarter to the third month. It’s no big deal, but it does make my first month income look smaller. Oh well, first world problem, for sure. Here are the great companies that paid me passive dividend income during the month of March:

Taxable Account

Unilever (UL)                                                                           $0.33
McDonald’s (MCD)                                                             $2.79
Kraft-Heinz (KHC)                                                               $1.72

Traditional IRA

Southern Co. (SO)                                                             $16.80
Johnson & Johnson (JNJ)                                               $8.00
Realty Income Corp (O)                                                   $2.11

401k

JP Morgan Equity Income R5 (OIERX)                  $2.23
Cohen and Steers Realty Shares (CSRSX)            $8.18

TOTAL FOR MARCH 2017:   $42.16

Year-to-Year Comparison

When adding up all of these dividend payments, they come up to $42.16 for the month of March. This is an increase of nearly 210 percent over the $13.62 of passive dividend income that I received in the same month last year.

My dividend income  for 2017 is now up to $90.35 for the year. I was at a little less than $25 at this point last year. My $42.16 in dividend income would have bought me just north of 2 hours of freedom in March, based upon my estimate of needing $20/hour of passive income to keep up my standard of living without full-time work. My monthly passive dividend income page that tracks my progress over time has an update with this information.

How was your dividend income for March? Let us 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.

Image credit: Wikimedia Commons

 

African Spurred Tortoise Edited

Passive Dividend Income for February 2017

Passive Dividend Income Builds Up Slowly But Surely
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:

Taxable Account:

Starbucks (SBUX)                                                   $1.12

IRA

Realty Income Corp (O)                                      $2.11
Omega Healthcare Investors (OHI)         $31.00

401K

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.

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.

Image credit: Wikimedia Commons

 

African Spurred Tortoise Edited

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.