Throughout these updates we will go over the previous month’s dividend income, as well as our rolling 12 month projected dividend income and our progress towards our goal of having $50,000 in annual passive income. (More on our goals and the tax advantages of Canadian dividends in future posts). For reference, I received my first ever dividend payment in December 2017, and I immediately realized that they needed to be a prominent part of our any investment strategy.
Click here to see last months update.
December 2019, the last update of not only the year but of the decade that has been the “10’s”. We’ve made great strides this year towards our goals of living off of passive income one day, and we’re expecting that 2020 will provide the same level of growth that this past year has.
Let’s take a look at how December went for us:
$703.89 brought in for a single months passive income? That’s the best total since June and actually is a close second place all time to that June 2019 total.
December 1st is always going to be a big pay day for us as Enbridge, Fortis and Canadian Utilities seem set to keep paying December. 1, March. 1, June. 1 and September. 1.
These are some of the largest holdings we have and will thus skew these months a little bit for us, although we do have some monthly payers etc. that are slowly balancing the pay schedule out.
Now let’s take a look at the year over year growth:
A YoY growth of 143% is more of what we’ve become accustomed to over the year as you can see above. The fact that nearly tripling a year over year number is actually our smallest increase is also mind blowing.
Now that our portfolio has reached a certain size it won’t be likely that we sustain this level of growth but it’s been a fun ride while its lasted and we’ll keep trying to beat these numbers moving forward.
Another note would be that now the year is passed we know our total passive income received and that ended up being $4,806.63 or just over $400 per month!
We’re really hoping to roughly double that 4.8k figure for 2020 which is a lofty goal for sure, but could be attainable. It’ll be close.
Now, speaking of that 2020 target… Let us take a look at what we’re projected to make in 2020 if we don’t add any more money to our portfolio and/or don’t receive any more dividend raises or cuts:
So doing a little quick math we see that we’re right about $2,200 away from that goal of doubling our 2019 income. To add that $2,200 in income at about a 5% yield it would mean investing another $44,000 minus whatever dividend raises we get from our existing holdings. Yeesh. We will get a bit of a head start on that total when our income tax returns come in, as we expect a fair sized return based on our deposits into our RRSP accounts so come April we can take a good bite out of that total.
That’s all we’ve got for this month, thanks for stopping by to read. Any questions or comments? Feel free to leave them below or over on
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FIC.