Wednesday, May 16, 2018

WE ADOPTED A CHILD!!!! - Part Three - Expenses...

Hi Everyone,

This is a post that some of you might have been wanting now for a few months.  The reason it has taken so long is that the Adoption Agency finally got us the expense report.

Fair warning, this is going to be rough for the frugal crowd who reads this blog.  It was rough for me to comprehend that our hard earned dollars were going to uber rides and poor budgeting and I like to think I'm not that frugal compared to most readers.  So lets get right into the numbers:

Tuesday, May 15, 2018

Dividend Income - April 2018

Hi Everyone,

Four months in the books and its time for the Dividend Update!  These posts serve as a reminder that even though we may not have much in the market right now, every little bit of income counts! 

Short month in regards to companies paying us but that is okay!  We still managed to have a $10 increase from last years April even after selling off a portion of our CSCO position to fund other things.

The big increases we are seeing right now are all related to the 401K.  I am putting in over $900 per paycheck to maximize that faster in order to receive full paychecks at the end of the year when we will need it the most.  More on that in a future post! 

Furthermore, when my wife worked for Amedisys their company match was all in company stock.  Well, their stock is hitting new highs day after day it seems like - even today on a 200 point down day for the DOW - the stock was positive.  So, the position is pushing her 401K to new highs day after day which is fun to see.  I have most of her 401K in S&P 500 but 20% now in AMED.  This is an account that I don't look at but maybe once a month so its fun to see it continue to grow with no additional input from her.

With that said, lets get to the report...

O            $40.46
CSCO    $56.21
M.M.     $1.08

TOTAL:   $97.75

Its fun to watch O grow month after month through reinvestment - .26 cents more that just last month.

May should be a banner month with OHI paying as well as new positions opened since last year.  OHI had a decent earnings and the stock has performed well so I'll be reinvesting the dividend again.  This position is growing quite large but I'm monitoring it constantly and if it can get up over $30 I will feel much more confident about it.  More to come next month on that!

Hope everyone had a great April!


ADD

Friday, April 13, 2018

Dividend Income - March 2018

Hi Everyone,

The months are rolling by in 2018!  Having a child sure does seem to speed things up.  I'm not sure if it is the constant state of busyness that you are in or the fact that you keep such close track of time (1 month old, 2 months, 3 months, etc) that makes things move fast but let me tell you - time flies!

All the more reason to stay frugal, save, and invest those extra savings each month into quality dividend paying stocks.  Then, all of a sudden you start receiving checks and life is good!!

So without further adieu the March 2018 dividend income report:

V             $22.35
XOM      $44.66
UVE       $14.57
TAP        $11.89
O            $40.20
VHT       $13.73
FTSE      $61.93
PEP        $34.56

TOTAL:   $243.89

Solid month in March!  This was a gain of $139 from last March.  The gains came from new positions in XOM, TAP, O and VHT.  Increases in dividends/payouts from UVE, V, FTSE and PEP. 

V had a phenomenal growth rate of 28.5% due to reinvesting a dividend increases!

FTSE is a 401K position that increased $20 or 50% from last year.  Just goes to show that maxing out the 401K is really paying off!  Like I have mentioned numerous times before, this is one of 6 401K holdings I have and I would surmise that all of them had at least $20 gains in payouts but the funds automatically reinvest them without giving out dividends/capital gains.

It will be a quiet April with regards to income as I have just 3 companies that payout.  However, O is a true power house in the portfolio now and $40 of income each month really goes a long way in increasing each monthly total!  I wish all stocks paid monthly...


Hope everyone had a great March!

Maybe the weather will finally break here in the mid - atlantic and we will get some nice weather in April!  Winter has held on long enough, I'm ready for the sunshine, warm weather and being outdoors more!

ADD

Saturday, March 10, 2018

Dividend Income - February 2018

Hi Everyone,

The month of February seemed to fly by for me.  I suppose only 28 days in the month and having a 4 month old child will do that to you.  It is amazing to see him grow and change and he is now turning over, smiling and almost laughing when you tickle his belly.

He is going through quite the sleep regression right now and is up 3 - 4 times per night.  Before having a child, other parents would talk to me about not sleeping and just how angry and upset you can get over stupid things with your spouse and gosh...  its true!  Sleep is a much needed thing and for all you out there without kids, enjoy it!!!  At the same time, it is amazing how productive you can be without sleep.  Now, as long as I can get a good 5 hour stretch, I am usually fine throughout the day.  Before, I had to get at least 7 hours or I felt tired.

That long paragraph all to say this...    If you are just graduating college or younger, save and invest!!  Mr. Money Mustache had it right when he retired before having a child.

If I could go back to when I first started working in high school and saved 50% of my income and invested it, financial independence might just have been possible.

Kids are exhausting and more importantly - I hate being at work and missing things that he does throughout the day.  Most likely this feeling will only get worse as he gets older and I can take walks/hikes, ride bikes, play catch, etc throughout the day.

In other news, the bathroom is still a work in progress.  The spackle is a daunting task and I just finished the first coat last night.  Sanding today, second coat tomorrow...    

Investment wise, as it stands now, we are maxing out my 401K & HSA but unfortunately, we are not able to contribute any money to taxable investments. So, the dividends you see each month will not increase other than dividend growth and reinvesting those dividends.  My 401K only pays out dividends in one of the funds, and all others just reinvests them into the fund.  Therefore, my dividend total will not increase due to the 401K.

With that being said, lets get to the dividend income!

Monday, February 12, 2018

Dividend Income - January 2018

Hi Everyone,

Quick post as being a new dad is tough and we are remodeling our bathroom right now.  We only had a shower pan in the bathroom because the previous owner was an old lady and could not lift her leg over the bathtub wall.  Anyways, this past weekend I ripped that shower out put the new tub in.  New plumbing, water lines, sheetrock all around, it was exhausting and rewarding all at the same time.  Just need to tile the floor this coming weekend and put back the toilet and vanity and then things are looking up!  The mundane and difficult task of spackle awaits me the following weekend.  But now, on to the reason why you clicked...

PEP  --  $34.56
O  --  $38.68
CSCO  --  $88.52
M.M.  --  .53

Total:  $162.29

A relatively weak month but O's monthly check will be much needed in the months to come.  The portfolio has been hammered much harder than the market recently.  OHI & O are really hurting the portfolio but the dividends will roll in the month and hopefully by stock at these cheaper prices.  One can only hope!

Hope everyone had a nice January!

ADD

Saturday, January 6, 2018

Dividend Income - December 2017

Hi Everyone,

So here we are, 2017 has come to a close.  What a year it was!  Paid off the house, adopted a child, lived in Florida for a month, and still received a nice some of money from dividends!

I am still working up the cost of adoption post so I figured I would throw this one in here first.

In total, we received income from 6 different funds in December and here is what it looked like:

UVE - $27.83
V - $20.71
VWILX - 72.78
VHT - $19.97
FTSE - $156.86
MM - $5.44

Total - $303.59

So, we cleared the $300 mark and best of all, the totals were not so lopsided like they are for my OHI holding.  With FTSE being a mutual fund with a basket full of stocks, there is less risk than just one primary holding. Like I posted last year, my company/Vanguard changed up the investment mix for my 401K and 3 of my other funds do not pay dividends or capital gain distributions anymore. We investors are told that they are automatically reinvested into the fund... 

In 2017, we received a total of $2,750 in dividends!  Our expenses for the last 6 months of the year, not including adoption expenses were averaging $2,500 a month.  With recent investments, including TAP, O, SKT and BTI, we are projecting over $3,000 already for next year.  Slowly but surely we are climbing our way back to where we were before all the big life changes. 

2018 is already shaping up to be one of the best years yet.  Having a child is truly life changing and incredible.  If we can keep expenses running low and add around $1000 a month to the taxable account throughout the year, we should gather around $500 more per year in dividend income.

If you do the math, obviously you can see that retiring early is essentially out of the question. Like I said in the previous post, having a child and one income changes things.  I wouldn't change anything though.  We are enjoying every minute of our growing family!

Hope you had a great 2017!

ADD

Friday, December 15, 2017

WE ADOPTED A CHILD!!!! - Part Two, Meeting, Birth, Florida

Continuation from last post

After we were chosen, my wife started chatting, through text, with the birth mom.  At first, the birth mom was very shy.  Only ever texting when we texted first.  This is to be expected as we are complete strangers and are looking to adopt their child.  So the conversations start small.  How is she feeling, what are her hobbies, etc.

Before we knew it, she wanted to meet with us.  So at the end of July we took a trip down to Florida to meet the birth parents, both mom and dad.  The meeting as you can expect was challenging.  Both families shy, anxious, nervous, hoping things go well, but overall... grateful.

And after the initial jitters wore off, both families opened up about their histories and talked as we had been friends that we hadn't seen in year.  We elaborated on the texts that had been sent back and forth like how they met, hobbies, family, future plans, you name it.  The conversation never felt awkward and there was never any hostility towards the situation we were in.  Both families were grateful that each other had come in to their lives.

So after the meeting, the birth mom continued to text back and forth with my wife.  The conversations growing deeper and more elaborate with each passing month.

The process was going as smooth as it could go...


Wednesday, December 13, 2017

WE ADOPTED A CHILD!!!! - Part One, Background

Hi Everyone,

For those of you following along with the blog, you might have noticed that I have been a bit vague with upcoming (read: historic) news and how it relates to our financial situation.

I have been putting this news off for quite some time because I just was not ready to put it out there.

But now I am:  WE ADOPTED A NEWBORN CHILD!

With this blog starting as a financial independence blog, I want everyone to know that -  Our financial landscape has changed so drastically that it is hard to be on the path of financial independence any longer.

I hope this does not push any readers away from the blog, but it is the truth.

Kids, especially the cost of adoption, change things.

So here is how it all went down...

Tuesday, December 12, 2017

BTI Buy

And just like that, the next purchase is under our belts..

38 Shares of British American Tobacco (BTI) were purchased at $66.90.

Using a dividend of .57, this should add around $85 to the income total for next year.

Although not at its lowest level of the year, it is about 8% off of its highs set back in June.  They are still trying to absorb the RAI purchase and they recently announced that they will be moving to quarterly dividend payments.

I like tobacco/sin stocks and MO took off and I already went down the PM road for a while with lack luster results over the course of 3 years.  Therefore, it was time to give BTI a try.  I loved my LO and RAI positions and this company has parts of both! 

What do you think?  Good Purchase?

ADD

Saturday, December 9, 2017

Dividend Income November 2017 - My birthday & Spending $10,000

Hi Everyone,

With 2017 coming to a close quickly, its time for another dividend income post for November!  Short and sweet income statement this month because I only had two companies paying me, OHI and ABT.  A change from the previous quarter because I no longer have my Verizon position.  That was liquidated a while back to help pay for BIIB, CELG, LL and VHT. 

For those of you following along, it looks like the bleeding is done for CELG and BIIB has been holding steady as well.  Looking forward to them resuming their climb in the new future... fingers crossed!

Even though this month only had 2 paying companies, the total was quite large!

My OHI holding is butting right up close to 500 shares now...  at 495.69.  The payout in November provided another 11 shares so the next payout will put me over the 500 share mark!

My ABT holding is too small to sell (fees) and to be honest it is one of my better performing holdings so there is no reason to sell.

With all that being said, the totals are as follows:

OHI  $314.98

ABT  $4.04

Money Market:  $.16

Total:  $319.18

Since last quarter, OHI has fallen pretty significantly and unfortunately there are definite merits to this fall which scares me a bit.  Hopefully they will be able to weather the storm of tenants going bankrupt and not being able to pay them rent and stay with companies that are best of the best and slowly work their away from tenantss such as Orianna. 

At this time, there are no worries about OHI paying their dividend as they have a very comfortable safety margin, but should more tenants experience issues, this could be a problem in the future.  I will continue to monitor this situation over the next few quarters and make a decision on whether or not to cut and run or hold out.  For right now, picking up 10 shares more each quarter is a truly remarkable thing to watch.  I'm a bit in awe of the compounding nature of this holding. 

To give readers the full history, I bought my final tranche of OHI back in May of 2016.  In total, I have personally bought 428 shares of OHI.  I now have 495.  A difference of 67 shares.  In August 2016, I received $264 in dividends from OHI.  Through strictly reinvestment and OHI raising the dividend by a penny each quarter, I just received $314.  $50 more each quarter!! and it is only continuing to increase.  Like I said, I am a bit in awe.  Now lets just hope they can manage their tenants and the stock and dividend keep performing well.

As for new updates...   My birthday was yesterday, the 8th.  I told my wife I wanted absolutely nothing for my birthday and she did it!!!   So proud of her.  She was feeling a bit weird (as I'm sure most people would) not getting me anything as it was a pretty big birthday..   30...  but, getting me nothing was the best present I have received in a long time.  Just spending time with her and knowing that $50, 100, 250, etc was just saved on gifts was great!  Knowing that there was no stress trying to figure out what I wanted but didn't really need makes me feel happy.  We have so much stuff already, just give me time! 

What she does not know is that I spent $10,000 dollars yesterday!! hahaha

I bought 182 shares of Realty Income Corp.  at $55.15.  I missed the opening price $54.93 by .03..  had a bid at $54.90.  Oh well...   if this holding performs in the future like it has in the past, .25 is not going to make much of a difference.  This purchase adds $40 per month to my income!  All total, with reinvestment, I should earn more than $500 next year with this purchase. 

Talking about time..  $500 more a year is essentially one entire week of work I know longer have to perform.  Talk about a birthday gift! 

So, depending on the 401K payouts, I am looking to receive around $2,750 in dividends this year.  With another $500 from O next year, I am back up to around $3,250.  Moving back up finally!   $3,250 should pay for 1.5 months of all expenses.  With no mortgage, my wife and I are around the $2,000 mark each month for all expenses, including taxes/insurance on cars/house. For proof, my expenses spreadsheet has an average of $2,087 over the last 6 months.  To get below $2000 we only have to not eat out twice or combine more shopping/grocery trips so we fill the gas tanks up a little less.  Can't beat that!

I have a little bit more money to invest...  I wanted DPS and MO but I did not transfer money in time so I will look for them to pull back a bit after nearly a straight line up.

In other news...   how do you like the new google finance? 

Personally, I think it was a giant step backwards.  I wish they would have kept the recent stocks and chart page all on the same page.  It was so nice to click back and forth and not have to jump to a new page each time.  I also liked the way the charts were set up.  The rigidity (is that a word) of the chart was nice.  Now, they have moved it to look more like other finance pages and I don't like it. 

Thanks for reading!  Have a great Holiday Season.  Save money, Invest and Spend more TIME with family this year.

ADD

Tuesday, November 7, 2017

Dividend Income October 2017

Hey Everyone!

I write this post to you coming from Jacksonville Beach Florida.  We have been in the Florida area now for just over two weeks with probably another two weeks left on our trip.  More on this trip to come in the future.

For now, lets talk dividends!

This was a rough month for the portfolio to say the least. But, I did manage to pick up some dividend income so not all was lost.

I had four payments into the taxable account:

VHT                          $18.09
UVE                          $14.34
CSCO                       $87.78
Money Market          $0.16

Total:                        $120.37

This was a small gain from last quarter of $1.54.  All of that was due to reinvesting those dividends.



The chart should start to level out I would think around here for a while.  Still no new capital to place into the market quite yet.

Hope you had a great October!

ADD

Friday, October 27, 2017

From Stock Market Hero to Dud in less than a Month

Hi Everyone,

After investing in the stock market now for roughly 8 years, I thought I was starting to get the hang of things.

I read earnings reports, check companies financials, predict future growth, look for undervalued companies based on those prior factors and for once, I was confident!

Phillip Morris (PM) was a stock I had owned since 2011.  After years of doing nothing except paying out a nice dividend, all of a sudden it took off - from $90 to $110 in a span of 2 months.  I looked at this as an opportunity to get out.  The earnings were still deteriorating, and there was only hope from investors that IQOS would save the company.  There was also rumors of a possible merger back to Altria (MO) swirling around.  None of which was based on results from the company.

Well, I like to try and invest more on numbers and not hopes and dreams.

So I sold PM around $110.

It continued its run up to $120.

I want to buy the company back around $100 or less so as of writing, that is still looking good!  PM is back down to $106...  basically still about $110 if you throw in the dividends I have missed along the way.

Now here is the real kicker...

Remember I was saying how confident I was earlier in the post...

Well, I took a look at Biotech stocks.  For a couple of years now they have been under pressure.  Mostly due to drug price concerns and the government interfering.  I look at that as unfounded concerns because it takes a lot of money to develop said drugs.  If you take away the companies ability to make good money off the homerun drugs they create this hurts their ability to do research on new drugs.

Anyway...   after looking through companies I liked two the most...   Celegene (CELG) and Biogen (BIIB).  Both had good earnings, a good pipeline, and were beaten down from their highs.

I took $9000 from the sell of PM, added another $2500 sitting in the accounts for a round number of $11,500 to invest into Biotech - CELG, BIIB.

I now have an average buy price for CELG at $125 and BIIB at $280.

Then they both start to go up!  Life is good!  PM is going down, CELG and BIIB going up!

CELG then hits an all time high! $146 a share!  I'm up over $2000 in a span of just a couple months.

BIIB breaks through the $300 level which was resistance and hits $348!

And then American Dividend Dream bad luck hits home in a hurry....

In the span of less than 3 weeks, CELG hit a an all time high and a 52 week low..   What are the F*($%&G odds!!!!

Now, I'm sitting on a broken stock, a broken company with negativity all around and no path forward.  What should I do?  Sell it and kiss $2000 goodbye?  Hold it for another year most likely, before any positive things happen?  I have no idea.

This just goes to show that no matter how confident you might be about an investment, you are one downgrade from Morgan Stanley, one cancelled phase 3 trial, and one earnings revision down from seeing your stock go from Hero to Dud in less than a month.

BIIB is still looking okay.  Looks like I will have to go another 3 months until another earnings report comes out from that one before seeing which way it wants to go.

I feel so defeated right now its unbelievable.  I almost want to give up on the stock market entirely and try my hand at something else.

ADD



Sunday, October 8, 2017

Dividend Income September 2017

Hi Everyone,

September is generally one of the months where investors receive a lot of dividend income.  Its really fun to read other bloggers and watch their year over year growth in the "big 4" months of the year.

Unfortunately for me, the "big 4" months are a little light in regards to income. The big reason is because I just do not have that many companies that pay in that month and the companies I do have are not big payers.

Just 4 sources of income this month:

Visa:  $17.50
Pepsi: $34.56
FTSE - Mutual Fund:  $94.92
Money Market:  $0.13

TOTAL:  $147.11

My FTSE holding is my only mutual fund from my 401K that pays out a dividend.  A bit disappointing that the other funds do not, but FTSE has been doing a fantastic job for me all around.  The growth and the income have been great this year.

The prediction last month about UVE came true.  Hopefully someone out there picked it up in the $15's!!!  It has rebounding nicely and the hurricane impact was much less than predicted originally.  Although for anyone in the Keys, and West Florida, hope everything is okay!

I did not have many portfolio changes this month.  Looking into the future, I would love for CELG and BIIB to explode higher.  PM, MO, DPS and O all look really attractive right now.  I'd love to squeeze a few more points out of CELG and BIIB before making a move.  The charts still look good for both of those companies and the overall IBB index is making moves higher.  With healthcare on the back burner in Washington and taxes on the minds of everyone, the healthcare industry might come roaring back.  With some good earnings reports and its a recipe for good things to come!

I hope everyone had a great September and I look forward to reading those big income totals!

ADD

Monday, September 4, 2017

Dividend Income August 2017

Hi Everyone,

Overall a pretty solid month of income due to our OHI holdings.  This past month we received a total of $382.75!

ABT:  $4.02

VZ:  $74.90

OHI:  $303.83

The amazing thing about DRIP when you have a large position in a company that routinely raises the dividend every quarter and has a high starting yield is the increase in dividends every quarter.

In February, our OHI holding was bringing in a total of $283.27.  May's total was $293.58 and now this month at $303.83.

From the beginning of the year till now, we are picking up an additional $20 per quarter and are buying over 10 shares  more each quarter as long as the share price stays around the $30 level.

In an update from last month, the move to buying more healthcare related stocks seems to be paying off.  VHT, CELG, BIIB are all up nicely from where they were purchased. 

If I had to make a prediction going into next month, my UVE stock will go down.  If hurricane Irma does not impact Florida, this could present a buying opportunity for investors out there.  They are continuing to reduce their exposure to Florida and seem to be running on all cylinders.  Hopefully a hurricane Harvey situation does not happen and if so, insurance claims won't impact operations that much.

With that said, my heart goes out to all of the victims who were affected by Harvey.  The pictures are truly astonishing and I cannot begin to imagine how it must feel to lose everything. 

How was your August?

ADD


Wednesday, August 2, 2017

Dividend Income July 2017

Hi Everyone,

Quick post on the income this past month.  Not much to write home about but here you are...

UVE:  $14.27

VHT:  $17.43

CSCO:  $87.00

Money Market:  $0.13

Total:  $118.93

In an attempt to maximize gains, most of the portfolio has been placed into healthcare right now.  As such, dividends will continue to trend down.  The only bright spot with regards to healthcare is VHT pays a dividend.

Overall, pretty happy with the performance of my portfolio right now.

Still no consistent purchasing into the account because my wife and I are maximizing 401Ks and a big surprise in the near future!

Stay tuned.

Hope your July went well.

ADD