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.
You can check here to see last months update.
We got a nice little boost to our portfolio values in October, a solid dividend income performance coupled with a strong market run always makes for a good time.
The main notable occurrence of the month was that for the RRSP (his) account we made a $4,500 deposit and that will likely be the final deposit into this account for the remainder of the year as we’ve already put sizeable chunks of money into our RRSP’s for 2019 so this years tax time is looking to be a good one.
So, just how good was October? As you can see below we received $652.81 in purely passive income!
These strong numbers were in large part thanks to our Canadian banks paying out at the end of the month as well as our monthly payers slowly growing in size and becoming significant holdings.
This income right here would cover things like our electric bill, cable, internet, and car insurance for the month which is a pretty awesome feeling.
Next we’ll do a look at how we’ve performed on a year over year basis (or YoY).
The month of October actually became our second largest payout of 2019, and we do expect to top this figure in our December update so stay tuned for that. The other exciting part of the month is that it was a 507% growth from our 2018 October report!
We still feel the need to bulk up some of our favourite holdings, now that our overall portfolio has increased substantially over the past couple of years since some of the positions within it were first purchased we feel it’s time to make some additional purchases when the prices allow us to do so.
There are some industries we’d love to add to, like the utility sector with our Fortis (FTS) or Canadian Utilities (CU) holdings but for now we feel their valuations are a little too rich for us to make a top up. Instead we’ll likely use the funds to top up either our Financial sector or real estate holdings – but time will tell.
The final graphic we like to go over is our rolling 12 month projection, which is an indication of what we can expect to receive over the next 12 months from this point in time. Let’s have a look:
A NEW MILESTONE!
We’ve finally hit that $7k mark in projected income, another thousand down on our quest to $50k yearly passive income. That’s 14.2% of the way towards our goal and we’re still going strong.
As time rolls on it makes it easier to get an idea of what the future will look like, and after seeing this milestone achieved sooner than we thought there’s now a lot of optimism that we can reach that $10k mark by the end of 2020. Knock on wood.
That’s all we’ve got for you today. If you liked the post or had any questions or comments, please leave them below or over on our Instagram page @FindependenceCanada and we’ll be sure to get back to you.
Thanks for stopping by,
FIC.