Tuesday, February 2, 2016

Dividend Income - January 2016 Update

Hi Everyone,

The first month is in the books and boy was it quite the rough month!  Stock market took a pretty good tumble and the east coast was hit by one of the biggest blizzards/snow storms in the history of records.  It was a pretty calm month for us all together.  Only a couple purchases (that I did not post about) and our expenses were quite low.  We were able to book another vacation...   Charleston, SC... that was completely paid for through the use of credit card points!!

In the past week, I made the mistake of finally visiting Spoonman's journal!  If you have an hour or two to kill, it is a fantastic read.  I started from page one and went all the way through the end in the course of a day.  I call it a mistake because at the end of reading it, I told my wife I want to sell everything, invest in dividend stocks, move in with my parents for a year to save money, and at the end of it all...  retire!!!  It could probably be doable but we would still have to find some work where ever we moved to but man is it fun to dream!


We ended up making four purchases in January! UNP, UA, UA again, & AAPL.  These all add up to roughly $4,000 of investments to start off the year!  I wish I had more capital to invest during the selloff, but the truck purchase last year hurt us in that regard.  We are still trying to build back up our savings a bit.  

We want to thank all of you readers out there who have stopped by and congratulated us thus far.  You are the reason these posts keep coming out and continue to get better and better!

So with that being said, lets get down to the numbers.


This month was pretty good with regards to our year over year increase.  This months total came in at just $326.59 which was an increase of  decrease of 45% compared to last year.

The increases were a result from investing into WPC and DLR.  The rest of the increase was due to compound growth! 

January Dividend Income:



Total:  $326.59

The chart above shows the increase from the previous quarter.  When looking at the month of August, the $54.06 was the change from June.  As you look at the charts from month to month, it really shows the power of compounding, dividend increases, new purchases and using DRIP with all the companies.

Excluding PEP, our organic/compound growth income was $5.27 over the previous quarter.  At 3.5% yield, that is like having an extra $150 invested!



Jump over to our dividend income page to see the increases month after month.  There is also a nice chart on that page for all you visual learners out there.  On that page, you can easily see dividend income investing at work which hopefully one day will be greater than our expenses and that's what we like to call The American Dividend Dream!  Check out our complete portfolio here.

How was your January?

Thanks,
ADD

12 comments:

  1. Wow, $326.59 is awesome! That's usually how much I am investing into my portfolio a month. That's going to compound very quickly. I see a lot of dividend investors are increasing their positions in UNP right now. I'm personally a little hesitant just because of their volatility right now, but maybe you guys know something I don't. Good luck!

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    1. It wasn't too long ago that we were investing about $300 into our accounts every month too. A change in our spending habits and a few nice pay raises from work and before you know it, you'll be investing a heck of a lot more in no time! The compounding is starting to get really fun to watch right now. I have heard that at about $1000 per month is when things really start to take off! We are pushing hard to get to that level!

      UNP has been around for a loooonnggg time, not to mention the dividend track record is solid and the amount of assets they possess is substantial. Tell me, could you start a railroad company today? Probably not, right? The railroads have a wide moat business and I already owned CSX (east coast) so why not pick up UNP (west coast) while the stock is beaten down? As more and more people live in the US, transportation is going to be a big issue and I see UNP helping in big ways in the future.

      Thanks for stopping by!

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  2. Nice job ADD! Way to be consistent with your buys even in a crazy market!

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    1. Thanks Adam! When I first started writing, I did not realize that we bought $4k worth of stock this month. I expected like $2K but I love that kind of surprise! Just glad we had a little capital during the downturn to invest! Just wish I had a bit more right now as there are still some great opportunities! AAPL, UNP, ADM, EMR, etc all look good to me right now.

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  3. The market has been pretty volatile lately so it's nice to get some income. Adding $4000 into your dividend portfolio will do wonder in the long run, love your purchases. Getting very close to $350 in dividend, I'm sure you'll crash that number in Feb. :)

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    1. Thanks Tawcan! The $2k only added about $45 in annual dividends and the other $2k into UA does not pay dividends. So, short term these purchases did not add much, but if UA can turn into NKE then I'll be doing very well!

      Unfortunately, Feb is going to be a rough month due to dividend cuts in KMI and GLP but I should still come out better than last year! Looking like only a 25% increase from last year but an increase is better than nothing!

      Thanks for stopping by!

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  4. That's a good start to the year ADD. $326 is a nice chunk of change that you did not have to work for. Looks like you are going to have a great year!

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    1. Thanks Gareth! This year has certainly started off well, but I'm behind some personal goals as of right now. Post coming out shortly on that!

      Thanks for stopping by!

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  5. ADD,

    NICE month! Loving it. Crossing $300 and also having a nice banger from PM. Excited to see PEP and O in the portfolio as well. Keep it up!

    -Lanny

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    1. I love my PM! Just wish I had MO too...

      PEP has been a good stock and unfortunately, just sold O to fund some other "cheaper" investments. I'll get them back eventually though!

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  6. Hey that is 1 solid month, and you are so close to 500 bucks per month. Keep it up and watch the compounding take off. Good luck in Feb.

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    1. I've heard at $1000 per month it really starts taking off! Pushing hard to get there as quick as possible.

      Feb is looking a little weak due to some dividend cuts but hopefully things will pick back up in the future!

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