January portfolio update: 333% more dividends!

Don’t laugh. I know the $35.74 of completely passive dividend income I earned from a combined 42 different companies last month won’t land me a spot on Forbes’ list of the richest people on the planet. I know that number is still just a drop in the bucket for anyone who has been investing for more than a minute or two. But, I must say, I’m damn proud of each and every one of those dividends.

You see … they spoke to me. They didn’t say a lot, but what they did say was pretty damn important. They told me I’m on the right track.

It’s not always easy to track progress on a month-to-month basis, especially if you haven’t been investing for long. Once you establish some time in the market, though, you can really start to see the magic of dividend-growth investing. Last year was my first full year in the market, and last January was the first month I’d ever received a dividend. I earned a grand total of $8.25 that month. It wasn’t much, but those dividends proved to be the first steps I took on my march toward a $1,000,000 portfolio.

Fast forward a year later and you can see why I’m so proud of the $35.74 I earned last month. That measly $35.74 is a full 333% more than the $8.25 I earned last January.

January’s Dividends

Last month’s dividends, as has been the case for awhile now, were pretty consistent. The month (and year) started with a $0.63 dividend from ADP on the 1st. From there, I earned at least one dividend on each of the next four days: $0.68 from GPC, $0.51 from WMT, $0.34 from TPR, $0.20 from NKE and $0.24 from HRB on the 2nd; $0.40 from TU, $0.28 from HPQ and $0.97 from KMB on the 3rd; $0.58 from DPS on the 4th; and $0.44 from BIP, $1.36 from TUP and $0.56 from EMN on the 5th.

Not a bad way to start the month.

The following week featured a nice little streak, too, as I earned a little something on each of the first three days. RCL passed along $0.60, MRK sent me $0.48 and PEP paid me $0.81 on the 8th; OMC hooked me up with $1.20 on the 9th; and ITW, BEN and MO sent me a combined $1.66 on the 10th.

And the dividends, as they tend to do, kept on tricking in.

I earned $0.92 from CAH, $0.82 from SRE and $0.88 from DTE on the 15th before hauling in six more on the 16th: $0.35 from RSG, $0.52 from MKC, $0.16 from FITB, $1.01 from WPC, $0.34 from POR and $0.50 from CINF.

The 18th featured a small payment from CY ($0.11), I earned another dividend from MDT on the 22nd ($0.46) and three more on the 24th ($0.45 from DGX, $4.64 from CSCO and $0.16 from CMCSA). General Electric was nice enough to toss a dividend my way on the 25th, which was nice except for the fact the $0.36 was half as much as my three shares earned me last quarter, and SYY added another $0.36 to my Dividend Farm a day later.

I closed out the month with $0.35 from CPB on the 29th, $10.00 from NRZ on the 30th and a combined $1.04 from XRX, GPS and JPM on the 31st.

If I sounded like a broken record over the course of the last handful of paragraphs … good! That’s the point. That’s exactly what I’m going for. You can never have too many good companies paying you dividends. At least that’s how I look at it.

In all, I collected a the $35.74 from 42 different companies on 19 different days. I averaged a tick over $1.15 per day in dividends in January. The numbers are small, I know – sometimes I feel a little goofy blogging about an $0.11 dividend here and $0.36 dividend there – but the year-over-year growth is something I can build on.

January’s Purchases

I didn’t start shopping until more than halfway through the month. Fortunately, I still manage to achieve my goal of creating at least $10 of forward annual dividend income.

I picked up 10 shares of Ford for $116.59 ($11.66/share) on the 25th, one share of Whirlpool for $172.30 on the 23rd and a share of IBM for $162.73 on the 19th.

The Ford purchase doubled my position from 10 to 20 shares while increasing my forward annual dividend income by $6. The Whirlpool purchase started a new position for me, boosting my forward annual dividend income by $4.40, and the share of IBM I picked up bumped my position to three shares while ballooning my forward annual dividend income by another $6. All together, barring a cut, the purchases will earn me an extra $16.40 in the coming year (and hopefully more beyond that as Whirlpool and IBM have been raising their dividends pretty consistently over the years).

I’m currently looking at $532.84 in forward annual dividend income. Considering I earned $355.63 all of last year, that’s pretty exciting.

DIY DRIP

MDC, which provides homebuilding and financing services, was my DIY DRIP for January. I used the dividends I earned to pick up a share for $33.79. MDC has a dividend yield of 3.75% and recently boosted its quarterly dividend by 20%.

Since I started tracking it, I’ve purchased three shares of F and single shares of GE, CSCO, T, MDC, GLW and INTC just with dividends alone. The basket of stocks is worth $236.21 and spits out more than $8 of annual dividend income.

That’s all for now. Thanks so much for reading. If you’d like to check out some of my past portfolio updates, here are three of the most recent:

March on!

4 Responses to “January portfolio update: 333% more dividends!

  • Good job. Can’t complaign about that increase. Keep it up

    • Thanks, Doug. I’ll keep on keepin’ on. The small numbers from a year ago help inflate my increase a bit – can’t expect 333% all the time – but I’ll certainly celebrate it while I can.

  • Great update! Don’t you just love seeing those big numbers YoY! Just like you I had my first full year of DGI in 2017 aswell (except January..) and I had a big YoY increase aswell!
    I love seeing how you progress as I kind of compare your portfolio to mine! Thanks for the many awesome posts!

    DI

    • Thanks for following along … and congrats on your growth as well. Let’s keep on adding to our positions so we can keep it up!! Now looks to be a good time to buy … at least a better time than last week was. Haha. Take care!

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