Hey everyone! Every month, we live in a world that we pay for our expenses on a typical monthly basis. Most people budget monthly based on their food, shelter, car and other entertainment or daily needs. You know what I personally love about my bills? If something else is paying them for me! One fun way and reason to invest into dividend paying stocks, is to almost view them as a way to build up an asset that pays these bills for you! What do I mean? Let’s check it out.
Earlier in the week, I crossed a big investing milestone….crossing $3,000 in forward dividend income. It took me 15 months to jump from $2,000 to $3,000 and at the end of the article, I challenged myself to hit the next milestone in half the time. To get there, I better get moving quickly. What’s the best way to increase your dividend income? Not a trick question here, but purchase stock! I thought it would be a good idea to do some research this evening and put together a small watch list of stocks that have caught my eye. Here it is, my August stock watch list.
What a journey it has been so far. Last week, after a sudden drop in earnings, Target’s price fell and I swooped up an additional 30 shares of the major retailer. Now, I own 80 freaking shares and couldn’t be happier. But the
good great news didn’t stop there. No, that investment also put me over a milestone that I have been eyeing for a few months now. This last purchased pushed my forward dividend income over the $3,000 mark and you know what, there is no turning back now. How did I get to this point? Let’s take a look!
Two months ago was my last individual stock purchase. The market was showing signs of distress and on Thursday, August 28th, a purchase was made. This has been a familiar face to not just me, but both dividend diplomats and the price was right for an additional purchase. The position I further enhanced was primarily due to industry knowledge, yield and direction financial institutions are heading. Let’s find out why I purchased more shares in Citizens and Northern (CZNC)!
It feels good to step off the sidelines and buy a stock considering the market has been on a tear for the last few months. Slowly and surely, I was stashing cash aside waiting for the right opportunity to strike. On this day, I received a message from Lanny in the morning that was short and to the point. “Target…may be time to buy.” I had just woke up at this time (I was in a timezone two hours behind), but I knew that message meant that something big happened with Target’s stock that caused the price to drop. When I read the text, I didn’t realize it, but Target was falling after their most recent earnings release. The time was right, so let’s see I decided to purchase additional shares of Target this week.
One can never predict the market. That is one fact that we know about the stock market. Not one individual knows what the price will close on for any given day, for any given stock. I read an article the other day and it made me smirk – there has never been one person to buy a stock at it’s absolute lowest point only to sell it at it’s absolute highest point. This is why I don’t try to time or predict the market.
Welcome back! After the first two posts, I can see now the heat coming from the articles and the insight that individuals are also providing through their comments. We all want to save on taxes, reduce the liability, invest more money and keep more of that money, which we earn through our sources of income. Here we are… Part 3 to reduce taxes and invest MORE. This is possible everyone, VERY possible. The first portion of my strategy was to maximize my 401(k) with my employer, which will result, in this first year, a savings of OVER $5,000 and the second portion of the strategy led to tax savings of over $1,000 MORE! However, as you guessed it, it does NOT end there.