Here’s the 5th Dividend Income Update, Old Sport!

dividend income update

Welcome to the 5th dividend income update, old sport!

In case you didn’t know, dividend income investing is at the very core of my financial independence strategy.

Prior to starting this blog, I spent approximately 3 years building a dividend business that paid more than $424.00 per year.

It’s clear that I’m striving to earn more than that now, but the primary goal is to build a dividend business that exceeds $425.00 annually. That’s my goal right now because I want to best my own target, and I plan on achieving that in 2018.

I’ve been thinking about adjusting the long term dividend income targets as well.

I have been proclaiming that my ultimate goal is to earn $2,000 per month in dividend income. However, I am beginning to ponder the possibility of FI upon reaching $1,500, $1,200, or even $1,000 in dividend income per month.

It may not sound like enough money to survive on, but with no debt, a frugal lifestyle, and the ability to make side hustle money, it’s an intriguing opportunity that I probably couldn’t pass up.

And it would fit more in line with my vision to become a full-time blogger and dividend investor.

In a worst case scenario, I could sell an asset or get a part-time job.

With that said, these are all just imaginary, motivational thoughts at the moment.

Although I’m still a long way from reaching $1,000 in dividend income, there a small signs that this dividend machine is beginning to work.

Here’s the dividend income update for October 2017, old sport!

Here's the dividend income update for October 2017, old sport! Click To Tweet

dividend income update

Dividend Income earned in October 2017

Total dividend income earned in October: $17.95

Last month (September 2017): $8.28

Month over month growth (compared to September 2017): Up 116.79%

Last quarters total (July 2017): $6.34

Quarter over quarter growth (compared to July 2017): Up over 183%

Dividend income in October 2016: $16.37

Year over year growth (compared to October 2016): Up 9.65%

Total dividend income earned in 2017: $41.43

Monthly average in 2017: $3.45

How many businesses paid dividends in October: 3

Dividend Income Update Analysis

I recorded a 2017 high of $17.95 in passive dividend income in October.

Even though it’s not a massive amount of money, it’s enough to buy a 5 piece Chicken Strips with cajun fries from Popeyes (Just saying)…

If Popeyes doesn’t get you excited, at least it’s enough to reinvest.

It’s important to reinvest the dividends to receive compound dividends (dividend income from dividend income).

The reason I make such frequent stock purchases is to acquire assets and DRIP positions that continually buy more assets.

Seeing that I require at least $1,000 per month to reach FI, I must make plans to earn $982.05 more in dividend income as soon as possible.

As the dividend payouts are still not significant, the income increases will have to come from the addition of new capital.

I either have to work harder to receive more money, or I need to cut back and save more.

The realistic approach adds a sense of urgency to your savings rate, and also an appreciation for each dollar of annual dividend income added.


dividend income update

Concluding Thoughts

Overall, I’m happy with the 183% progress made over the past quarter.

The RTC portfolio is still small, but there are signs that it will soon become a 24/7 passive cash flow providing machine.

The portfolio is on pace to outperform the 2012 dividend income, which was $55.70.

Although it required 4 years to achieve 424.77 previously, my 2018 goal is to grow the forward dividend income past that mark.

December should provide an additional income opportunity, and I fully expect to employ an extra chunk of capital into the dividend business.

I look forward to sharing the November report, and I can’t wait to share the next forward dividend income update!

Question: How was your October dividend income? 

10 Comment

  1. GYM says: Reply

    Love the graph! Looking good!
    A combination of dividends and blogging income would probably generate sufficient income to cover basic expenses! It’s a good combination- and you’re right you can sell of each as needed for capital.
    GYM recently posted…PF Blog Round Up: October 2017 Dividends EditionMy Profile

    1. Hi GYM,

      I’m glad you enjoyed the graph! And thanks for the support. It’s true that it’s possible to cover basic living expenses through blogging and dividend investing. It would be more challenging if I wanted to accomplish the same goal while living a more expensive lifestyle. But I’m willing to make sacrifices because I care about owning my time most of all. Thanks for commenting!

  2. Noice, god growth month over month, old sport! I’m liking the results so far and these small starting steps are super important in the long run to get the snowball rolling down the hill. I can’t wait to see the results once you’re a few years in buddy!
    timeinthemarket recently posted…The time in the market portfolio – November 2017 updateMy Profile

  3. Hi TITM,

    Thanks for checking out the results! And I appreciate the support. The early stages are definitely important to get the snowball rolling. I never want to wish away time, but I can’t wait to be sharing the results a few years down the road either! Have a great week! πŸ™‚

  4. Great job, Graham! Just aim to keep moving the chart upwards. Slow and steady wins the race! By the way, thanks for making me hungry by mentioning Popeye’s πŸ™‚

    1. Thanks for reading and commenting, Mr. DS! I’m of the same mindset that slow and steady wins the race. I know I’ve got a long way to go, but I can be satisfied with small steps of progress. And sorry I made you hungry…Admittedly, I did an OT shift on Monday at work and had Popeyes for lunch lol. Have a great week man!

  5. Excellent MoM growth, your doing great keep up the good work and you will achieve your goals.

    1. Thanks for the support, Matthew! Although the November MOM growth will not be as spectacular as October, it’s growth rates like this that motivate me to keep going. Thanks for stopping by!

  6. Excellent month! I love the graph by the way. The progress you are making is great. Enjoy the Popeyes you can purchase with your income. If Popeyes is a part of financial freedom, then count me in haha Looking forward to update #6.

    Bert

    1. Hi Bert,

      Thanks for taking the time to comment! I’m glad you enjoyed the graph! While Popeyes is delicious, I do plan on reinvesting all dividends received. But maybe I’ll pay for Popeyes with dividends one day in the future once I reach FI haha. Thanks for the support! Have a great weekend! πŸ™‚

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