Dividend Update - June 2021

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.

I love those end of quarter months because they're always the big dividend payout months.  During June my FI Portfolio produced 

During May my FI Portfolio produced $1,194.08 in dividends with my FolioFirst portfolio chipping in another $11.24.  My Roth IRA added $84.29 with my Rollover IRA generating $465.87.  For the month I received $1,205.32 across my taxable accounts an $1,755.48 across all accounts.

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 a 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 June the companies I own paid me $58.52 per day or $7.31 per hour assuming 8 hour work days every day of the month.  Year to date those numbers are $34.56 per day and $4.32 per hour.

FI Portfolio

As I mentioned above my FI Portfolio produced $1,194.08 in dividends during June.  Compared to March that's a solid 2.0% increase and compared to June 2020 it's a solid 5.3% increase.

The quarterly comparison has a bit of noise in the numbers as March had 2 dividends that weren't also paid in June; Starbucks and J.M. Smucker.  I closed my position in Smucker in Q2 and Starbucks is just having their dividend float around a bit which is a bit frustrating when it comes time to tallying up the monthly totals, but I'm not that concerned as long as the dividend keeps getting paid.  Normalizing for those two payouts pushes the quarterly increase to 6.3%.

Year to date my FI Portfolio has produced $4,050.94 in dividends which is a decent 2.2% increase compared to the YTD numbers for 2020.  That's primarily due to my closing of some positions during 2020 as well as the handful of dividend cuts that were received last year as well.  Moving forward I expect 2021 to start distancing itself from 2020's results.

Roth IRA

My Roth IRA generated $84.29 in dividends during June which is a 21.2% decrease compared to March and a 18.4% decrease compared to June 2020.  The large decreases wasn't due to dividend cut or the closing of a position; rather, it was just Norfolk Southern reducing the time between the record date and payment date which moved their Q2 payment into May.  Normalizing for the shift in the payment moves the quarterly comparison to a 1.9% gain with the year over year comparison showing a 4.6% rise.

Through June the YTD total for my Roth IRA is showing an excellent 10.8% increase compared to 2020.  I still have some cash ready to deploy in this account which should help to boost those numbers up even more as the capital gets put to work.

Rollover IRA

In March of 2019 I mentioned that I would start reporting on my Rollover IRA.  The bulk of those funds are invested in dividend growth companies, although there's a few that aren't, so to give the cleanest picture I will show just the dividend growth investments 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.  

My Rollover IRA produced $465.87 in dividends during June which is an excellent 11.0% increase from March and an even more impressive 42.9% increase compared June 2020.  The increase was largely due to additional purchases made throughout the last year as well organic dividend growth. 

The YTD total for 2021 sits at $1,769.65 which is a remarkable 41.9% increase compared to the same period of 2020.

Dividend Raises During the Month

Dividend increase announcements have been slow after April's busy month.  May brought just 1 raise and June added on 2 more.  However, the raise from Target Corporation was a doozy coming in at 32.4% which was especially nice since Target is one of my larger payers, the 2nd largest among my FI Portfolio holdings.  Those 2 raises combined to increase my forward 12-month dividends by $113.57 and YTD I've received 28 raises increasing my forward 12-month dividends by a total of  $401.54.

Dividend Increase Source

I've started breaking down the monthly dividend increase into its components: purchases, re-investment and dividend raises.  This lets me see what is the bigger contributor each month in my pursuit of financial independence.  I'm only tracking this for my main FI Portfolio since that is the portfolio that I want to ultimately provide the bulk of our income.
Dividend | Purchase | Stocks | Dividend Growth | Reinvestment

June's increase was due primarily to dividend increases, specifically the aforementioned raise from Target.  I'm having a hard time finding positions that carry decent starting yields so purchases didn't add a whole lot during the month but it was still a solid amount.  All told June saw my forward 12-month dividends rise by $146.10.

Through the end of June raises are the far ahead in terms of increases to my forward 12-month dividends with purchases in a distant second.  Dividend reinvestment is well behind both but is still on track to top $100 by the end of the year.  Between the 3 sources of dividend growth my forward 12-month dividends have combined to rise by over $765 through the first half of 2021.

Looking Forward

My forward 12-month dividends for my FI Portfolio ended June at $8,340.53 while my FolioFirst forward dividends are at $174.87.  That pushes the total taxable account forward 12-month dividends up to $8,515.40.  My Roth IRA's forward-12 month dividends are at $794.91.  My Rollover IRA's forward 12-month dividends are at $3,793.15.  Across all 4 accounts, assuming no dividend cuts or position size changes, I can expect to receive at least $13,103.46 in dividends over the next year.

Monthly Average

The following chart shows 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 ended June at $639.39 per month which is $7.26 higher or a 1.1% increase compared to 2020's monthly average of $632.13.  
dividend growth investing | dividends | financial independence | freedom

Dividends Received Breakdown

Dividends | Financial Independence | Dividend Growth Investing

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

Are you on track to meet your dividend goals for the year?  

Let me know in the comments below!


  1. Congrats on another solid month, PIP! I liked the "dividend increase source" section of this post. Seems like an interesting perspective on looking at the contributors to dividend income.

    I had a record breaking month as well and like you, very happy to see div increase from TGT.

    Keep up the good work!

  2. Hi everyone, My name is Jennifer K. From New Jersey USA, I saw comments from people who had already got their loan from Anderson Loan Finance. and then I decided to make a request based on their recommendations. A few days ago, I confirmed in my personal bank account amounting to $15,000,00 dollars which I applied for. This is really a good news and I am so very happy that I advise all those who need a real loan and who are very sure to reimburse to apply through their email (text or call) +1 719 629 0982. There are sincere
    loan lenders! They are capable to lend you a loan. Contact Mr Anderson

    E-mail: andersonraymondloanfinance@gmail.com

    Fax/Phone: +1 719 629 0982

    E-mail: andersonraymondloanfinance@gmail.com

    Visit Them Office address is (68 Fremont Ave Penrose CO, 812400).


Post a Comment