Dividend Update - May 2019

dividend growth investing | financial independence | freedom | dividends
It's the end of one month and the beginning of another so it's time for my favorite update: my dividend update.  These dividend updates reflect all dividends that I receive through my investing pursuits. I hope they 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 open up all sorts of possibilities. You can check my dividend income or progress pages to see what dedication to an investment plan can give you.

April was a bit of a let down after March's record month; however, I can't really complain because things continued to move higher.  My FI Portfolio produced $334.75 in dividends for May while my Folio First portfolio chipped in another $4.74.  My Roth IRA added another $12.25 with my Rollover IRA contributing $275.12.  That puts my taxable account dividends at $339.49 with a total of $626.86 across all accounts during May.

Making Money While I Sleep

The power of joining the ownership class is that those companies can work much harder for you than you can.  Think about it.  By myself I have to devote my own time to my regular job in order to make money.  However by buying a stake in a high quality business I now get to leverage my own time that I exchanged for money into companies that are working around the clock to make products or provide services for their customers.  Those companies are working 24/7/365 which means that I make money even when I sleep.

During May the companies I own paid me $20.22 per day or $0.84 per hour.  Year to date those numbers are $22.65 per day and $0.94 per hour.

FI Portfolio

As I mentioned above my FI Portfolio produce $334.75 in dividends for May.  That's a solid 8.0% increase from February.  Compared to May 2018, which gives a better growth comparison, the increase was 16.1%.  The YTD total through the end of May 2019 showed a 13.6% rise compared to 2018.

Roth IRA

My Roth IRA typically has not had dividend payments in the middle month of each quarter; however, that's no longer the case.  Toward the end of 2018 and during the early part of 2019 I had trimmed a few positions in my Roth IRA and re-allocated some of that capital into a new position, Kinder Morgan (KMI), that just happens to pay on the mid-quarter schedule.  So for the first time in a long time I received a dividend payment in May within my Roth IRA.  The YTD total for 2019 compared to 2018 for my Roth IRA shows a 30.4% increase.

Rollover IRA

In March I mentioned how I will start reporting on my Rollover IRA.  The bulk of those funds are invested in dividend growth companies, although there's few that aren't, so to give the cleanest picture I will show those during my monthly reports.  That being said I'm not too worried about any particular month/quarter of dividends since my current plan is to be a bit more active with these funds than I would in my taxable accounts.  Companies fall in and out of favor with market participants throughout the year and I want to attempt to capture some of that change in emotion.  If I feel a company is undervalued I'll purchase shares and won't sell until the story changes or the market price hits what I feel is at least 1.3x "fair value".  This is just a little experiment that I wanted to try and if I feel it's too much hassle or that I'm constantly taking 2 steps forward and 1 step back then I'll revert back to my bread and butter buy and hold strategy.

My Rollover IRA produced $275.12 in dividends during May which was a slight increase from February's total of $271.29.  Compared to May 2018 there was a huge 81.3% increase although that was mainly due to additional capital being invested.

Dividend Raises During the Month

May saw just 2 dividend increases being announced for my FI Portfolio which tied March for the slowest month.  That being said I won't complain about getting a pay raise.  You mean a company I own a piece of, albeit tiny, wants to pay out more of their profits to me just because I own part of the company?  Sign me up!  

Combined those 2 companies boosted my forward 12-month dividends by $5.51.  Thus far in 2019 I've received 22 increases from 21 of 54 of the companies within my FI Portfolio combining to increase my forward 12-month dividends by $141.26.

Looking Forward

My forward 12-month dividends for my FI Portfolio ended April at $6,976.50 while my FolioFirst forward dividends are at $99.99.  That pushes the total taxable account forward 12-month dividends into a new threshold at $7,076.49.  My Roth IRA's forward-12 month dividends increased to $464.14 due reinvesting the proceeds from the sales in March.  My Rollover IRA's forward 12-month dividends are at $2,220.24.  Across all 4 accounts, assuming no dividend cuts or position size changes, I can expect to receive at least $9,760.87 in dividends over the next year.

Monthly Average

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, as we saw above, and eventually some positions will get dropped, but the long-term trend is what matters.  

The rolling 12-month monthly average for my FI Portfolio is at $548.39 per month which is $23.44 or 4.5% above 2018's monthly average of $524.95. 
dividend growth investing | dividends | financial independence | freedom
Monthly Comparison of Dividends Received in my FI Portfolio

Dividends Received Breakdown

Dividends | Financial Independence | Dividend Growth Investing
Dividends Received Breakdown May 2019

I've updated my Dividend Income page to reflect May's changes.

How were your dividends for May?  Are you on track to pass your goals for the year?

Let me know in the comments below!


  1. That is a solid foundation of dividends. Nice little income on the side.

  2. Excellent month JC! I was able to ad d you in this morning right after the article published :)



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