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. 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.
If you’re interested in seeing April’s post click here.
May was a great month again for the stock markets, and we saw a very nice run up in our account values.
That being said, May was NOT a great month for our dividend income – at least not when comparing to the new found expectations after back to back 4 figure months in March and April.
Let’s break it down:
Dividends Received: $494.76
$494.76 is still a very strong month overall, but it doesn’t quite pay off the same things that a 4 figure month would. If we were to be using these funds to help pay monthly expenses this would cover things like our phone bills, cable bill and maybe a nice dinner out or two but we do still have a ways to go before we would be able the cover the big hitters like rent/mortgage payments and insurances.
We received nearly 50% of these dividends from 3 of our big payers in:
AT&T – 20%
RBC – 17%
ABBV – 14%
As most of you know AT&T has announced their dividend is going to take a significant haircut moving forward so we won’t be able to count on them to carry the workload quite so much anymore which is a shame but hey, it’s all part of the process.
Dividends Received YoY: $3,938.10
60% growth YoY from May 2020 to May 2021 is amazing and just goes to show that even though the dollar amount may seem underwhelming compared to the previous months it just highlights the power of the dividend snowball and the progress compound growth allows even an average investor.
As far as YoY for the entirety of the year goes, we’ve already accumulated nearly 50% of last years total in 5 months and (spoiler alert) June has already outpaced May just 2 days into the month so we are definitely closing in on our 2020 total quickly! I’m really hoping to see 5 figures by years end.
Dividend Projections: $11,235.15
The current stats on our dividend portfolio are:
Portfolio Value: $ 271,480.69 (+$18k)
Dividend Value: $ 11,235.15 (+$650)
Portfolio Yield: 4.14 %
That’s all we’ve got for this months passive income report, if you’ve got questions or comments feel free to leave them below or on our social media pages:
TWITTER: @FindependenceC1
INSTAGRAM: @FindependenceCanada
Thanks for stopping by,
FIC.
Excellent growth YoY! I own AT&T too, and happy to continue holding for now as well.
Yeah, AT&T is an interesting one. I actually think the dividend cut was needed to get back on track but I do fully expect a pullback once it becomes official. I don’t know all of the rules behind the dividend aristocrat related ETF’s that hold it but I won’t be surprised if quite a few have to sell off their AT&T positions once the cut is finalized.
Congratulations for your $494.76 in dividends for the month of May 👌🎉💰 We have the same stocks ✓ We have nearly the same dividend income so far, but you are a bit ahead of me, so inspiring to see your chart. You received $3,938.10 so far this year, me $3431.28 ✓ My portfolio is bigger (50k$ more) but I think I have more growth stocks + international exposure with 2 ETF that’s why. Keep it up the good work my fellow investor friend! 🙏📈😃💲
Nicely done!
Appreciate the support! Thanks!