Every dividend is a piece to the puzzle

OK, I’ll start this post by saying the $0.83 dividend Ameriprise (AMP) dropped into my portfolio today doesn’t seem like much.

It doesn’t seem like much because it isn’t much … and least not all by itself. In fact, I’d be willing to bet, if you made it a point to look, you could find at least as much on the street while walking around your hometown … especially if you live in a big city.

When you view the $0.83 dividend as a small piece to a bigger puzzle, though, you can see its significance a bit better. Coupled with the dividend Apple passed my way yesterday, the nine I received Wednesday, the two from Tuesday and the three from Monday, it was my 16th of the week. If the market was open, I got a dividend … a perfect 5-for-5.

I received a grand total of $13.07 this week, an average of about $2.60 a day over the five-day stretch.

Now, while $2.60 still isn’t enough to retire on, it is a decent amount of change. Decent in the sense that you’d probably find it a little harder to pocket $2.60 each day for five straight days by picking up the change you find on the street. It would be harder to find than the aforementioned $0.83, that’s for sure.

Every Dividend Counts

The point I guess I’m trying to make is this: every single dividend, no matter how small, adds up over time. Today’s $0.83 dividend from Ameriprise is just a small sliver of the dividend income I’ve earned this month ($34.60) and an even smaller part of what I’ve received so far this year ($306.88). It’s a part, though, and I wouldn’t have the totals I have without it.

That being said, if you’ve recently started investing and are building on a modest little Dividend Farm such as myself, don’t get discouraged by the amounts of the dividends … get excited about the foundation you’re building. The passive-income trickle will become a stream sooner or later.

Patience, I’ve found, is the most important part of this game. Have a plan, stick with it and good things will happen.

March on!

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