August was a great month for dividends and was my first non March/June/September/December month to surpass $300. These dividend updates reflect all dividends that I receive through my investing pursuits and I hope can help inspire you to take control of your own finances and invest to build a passive income stream. What you use that stream for is up to you, whether it's to fund early retirement, just provide some FI/FU money, or even to provide for an annual vacation; the key is that it can provide options and opens up all sorts of possibilities. You can check my dividend income or progress page to see what dedication to an investment plan can give you.
I received a total of $324.42 in dividends in my FI portfolio in August and have received a total of $2,526.03 so far in 2014. What's pretty amazing is that I'm just $20 short from what I received in all of 2014 but still have 4 full months left in the year. I'm only 56.13% of the way towards my goal of $4,500 in dividends received for the year so I'm off pace to hit my goal as of now. I think I should reach my dividends received goal since there's still 1/3 of the year and I'm projected to be about $65 dollars short assuming no further investment, which that won't be the case. It'll most likely come down to the timing of purchases and whether I get the next dividend payment from every purchase. The Roth IRA continues to see very little growth as I can't make new contributions due to being above the income threshold but August did see a nice bump thanks to Bank of America's long awaited dividend increase. I didn't receive any dividends in my Roth IRA during August so I'm still at $122.77 for the year. For my FI portfolio, August saw a 32.68% increase from May 2014 and a 86.11% increase year over year. Step by step, month after month is the name of the game with dividend growth investing.
With the stock market swooning a bit to start the month I added to my positions in Aflac (AFL) and ExxonMobil (XOM). I also initiated a new position in a great dividend growth company 3M (MMM) during the first half of the month. I didn't make any more purchases in the second half because some of the value had evaporated with the markets continuing their climb higher and honestly my priorities weren't on investing. I finally started a new portfolio with Loyal3 as a way to dollar cost average into positions over time and have been adding a bit more capital there every week. Eventually I plan to invest about $1,000 each month so I can constantly get my money working for me and then be selective with larger purchases in my regular taxable account. With the purchases during the month and a few dividend increases my forward 12-month dividends increased to $4,990.16. That's 99.80% of the way towards my goal of $5,000 and I've still got 4 months to add to that. What's really exciting is that I can expect to receive over $415 on average each month in dividends. Now that's dividend growth investing at work. My Roth IRA's forward 12-month dividends ended August at $247.41. I'm going to raise my forward dividend goal up to $5,500 by the end of the year although I'll run some numbers to get a better idea of what I could possibly be at based on assumed savings and investment.
Below is the chart showing the monthly dividend totals for each year that I've been investing as well as the monthly average. It's not always an increase as some companies have weird payout schedules and eventually some positions will get dropped, but the long-term trend is what matters. It's great to see that my 2014 average through August is at $315.75 and $100 above 2013's monthly average of $212.23. With more contributions/investments and expected dividend increases the gap should widen that much more.
|Company||Dividend Amount||DRIP Shares|
|Procter & Gamble (PG)||$44.03||--|
|Kinder Morgan Inc. (KMI)||$93.93||--|
|Air Products & Chemicals (APD)||$14.23||--|
|Realty Income (O)||$10.18||--|
|HCP Inc. (HCP)||$44.23||--|
|American Realty Capital Properties (ARCP)||$16.03||--|
|General Mills (GIS)||$14.46||--|
|YUM Brands (YUM)||$7.40||0.099|
|Deere & Company (DE)||$22.20||--|
I've updated my Dividend Income page to reflect August's changes.
How did your dividends do in August? Are you on target to reach any of your dividends goals for 2014?