Half of 2018 is officially in the books! I am also another year older and have one year left to enjoy my 20s. 2018 has been an investing year unlike any other in the past. There have been a ton of great buying opportunities and companies are providing shareholders with some crazy dividend increases and share buyback programs. Lanny and I are having a blast following the twists and turns of Mr. Market. Now that another month has come to a close, it is time to take a step back and review the dividends received during the month. Here is my June dividend income summary!
June Dividend Income Summary
This June, I received $1,156.68 in dividend income. This represents a 40.57% increase compared to the dividends received in June 2017. The following chart provides a detailed breakdown of the individual dividends received. Please note that a “W” represents a dividend received in my wife’s account.
Here are some of the highlights and notes from June:
- This was the first dividend I received from PEP after my large purchase in the second quarter. I was excited that I was able to make this purchase before the ex-dividend date. Hopefully you can see why! On top of that, this was the first dividend we received from our purchase of Dominion in the first quarter. Unlike PEP, I missed the ex-dividend date for that purchase, so I had to wait a long time to receive my first dividend from them.
- Dividend summaries from the third month of a quarter are always fun since this is month that mutual funds make their distributions. This is the first year where my wife and I are maximizing our 401(k) contributions. As you can see in the top left portion of our table, the growth rates for VINIX, VITSX, and VIIIX show the impact of this additional capital being deployed. The results are really starting to show!
- There are too many examples to list out individually, but I wanted to make this broad comment. The impact of dividend increases during the year was HUGE in June. We have noted countless times that 2018 has been insane in terms of dividend increases. Six months in, it is easy to visualize the impact of these increases. I can’t help but smile when I see many dividend increases compared to last year that are greater than 10%.
- I’m continuing to love the new, large monthly dividend from Realty Income. I purchased the company three times in January and February, increasing my monthly dividend income from $8 to over $20. This is one of my favorite positions!
June Portfolio News and Dividend Increases
In this section, I’ll review two different ways that my forward dividend income will increase during the month: dividend increases and investment activity. The first table I will review is the dividend increases during the month.
I happened to receive a ton of dividend increases during the month, which doesn’t surprise me based on the last edition of the “expected dividend increases” article series. Of the dividend increases, two jumped out at me and caught me by surprise. First, I was not expecting this large of an increase from PM given their recent performance and the downward trend of the industry during the year. I was expecting a much smaller increase! Second, I think all of us we caught off guard by the 20% SBUX increase. I did not include the additional 40 shares I purchased at the end of the month in the table above. Instead, I wanted to show how I received an extra $10 in dividend income from this dividend increase alone during the year! As I said earlier, these dividend increases continue to be insane and provide us with great results.
Next, I wanted to take a look at the dividends received from new stock purchases during the month and from our 401(k) and HSA contributions. In total, I added $186 in dividend income from these purchases.
As you can see, I made two purchases during the month. Consolidated Edison was purchased during the month while Lanny and I were painting his house. I was pretty darn excited to add to my position in this electric utility! Second, as I’ve talked about countless times over the last week, I added 40 shares to my position in Starbucks. Both individual stock purchases added $117 in new dividend income to my annual total. In addition to individual purchases, we added additional income from our 401(k) maximization strategy (that I discussed earlier). It has been a treat adding this consistent new dividend income each month and I couldn’t be happier that we finally decided to implement this strategy.
In total, dividend increases and new purchases added $221.61 in dividend income! This doesn’t even factor in DRIP!
Summary
One again, I couldn’t be happier with my June Dividend Income summary. Investing has been a lot of fun in 2018 and I have been blessed with some additional capital to deploy. I’m trying as hard as I can here to make every dollar count and do whatever it takes to continue pushing the dividend snowball forward. The results are real folks. What we are all doing is making a huge difference. Let’s do amazing things in the second half in 2018 and finish the year strong.
What was your dividend growth rate this month? Did you set a record in June? What was your largest holding in the month? Are you ready to CRUSH the second half of 2018?
-Bert
I was able to buy into Target around the $52 mark, the growth the stock has had + the dividends has made me quite happy to do so. The price went way down when Amazon announce its Whole Food Merger, but around the same time Target had acquired a logistics company, meaning it was stepping up its delivery game to compete with Amazon!
A 40% increase in your dividend income is no small feat my friend – keep it up!
Chris,
I appreciate the kind words. How nice does that $52 mark look right about now?? In hindsight, I should have purchased more at that time. I wonder if something similar is happening to WBA and CVS now? Something I’ve been thinking about recently.
Bert
It is crazy to think that half of 2018 is completed. More importantly, congrats on another great month, Bert. Hitting over $1,100 is amazing.
What continues to impress me with your portfolio (Lanny’s as well) is the number of different high-quality individual names that pay out a variety of income as well as at different frequencies. A lot of the funds we currently hold pay out in the third month of each quarter. I’d love to continue to diversify across months (ideally having the first and second months eventually match the income of the third month!).
Again, nice progress – keep’em coming. – Mike
Mike,
Thank you very much! I appreciate it. It is great owning a nice, diversified portfolio of great dividend growth stocks. Diversification takes some time and we definitely didn’t build this portfolio overnight. I’m looking forward to seeing you continue to grow and diversify. That’s all part of the fun, right?
Bert
Bert, what a month man!
Happy to share many great dividend payers with you. Hard to pick favorites but I was particularly pleased with TROW’s dividend performance.
Congrats on another awesome month and post, take care!
Tall Investing,
Thanks! Why pick favorites, you can like them all haha That TROW dividend increase was ridiculous and I wish that all of them had increases like that.
Bert
Way to go Bert! The dividend increases have been incredible to say the least. Some times I wish I would not have paid off the mortgage and receive the types of increase like you guys get every month but – the $1300 per month payment is nice not to have.
Like you, I love my Realty Income (O) position – At over $40 per month, it is fun to watch that hit the account every month. I just wish I would have bought more around $50!
I had a good month myself as we are slowly moving some funds into the accounts again after paying for our second adoption – still fundraising the best we can for it – but the donations have slowed considerably over the past month. We are fortunate that we are still in a good financial position to be able to make it all work. My goal is to eventually “pay back” some people (who still donated but I know we are in a better financial position than them) either through a dollar for dollar gift back, or volunteer in their organizations, or donate to something they are passionate about. It’s all about paying it forward and not being in debt to anyone for me.
Keep up the good work!
ADD
ADD,
Thank you very much. Look at it this way. Sure, it was a lot of cash to pay off your mortgage. But look how much extra cash flow you have now to start investing when you are ready (post adoptions). You made a nice financial decision and now you don’t have a mortgage because of it. That is very nice and kind of you to consider paying back those who donated. You’ll find the right way to pay it forward and do the right thing for those individuals.
Take care,
Bert
Excellent month Bert. That’s a sizeable double-digit increase from last year. I’m glad you’re starting to get paid well from Realty Income. It’s one of my favorite stocks in my portfolio, and those monthly dividend payments are are going to be much higher before you even know it.
Dividend Portfolio,
Thank you! This O dividend is freaking sweet and I love getting it every month. I wish I could have invested more in January and February when the price was so low. I’ll jump on any opportunity I can to continue to add to that position.
Bert
Solid month Bert. A 40% increase is very impressive, and I thought our almost 25% YOY growth was impressive… you got us beat for sure. Keep up the good stuff. 🙂
Tawcan, Thank you sir. Hey, your top line number is larger haha But hey, its all great. Whether it is 40%, 25%, or anything, we are all doing great things and taking care of business. Let’s keep the momentum alive for the rest of the month!
Bert
Grand results Bert, just great to see you crushing it every month. For me no record but still the second highest payout ever so I’m not unhappy 😉
You made some excellent purchases during the month which will only fuel your engine. And the increase compared to last year is just awesome, especially with these number!.
Mr. Robot,
I appreciate the kind words. That is the most polite way to say you crushed it this month. I would be ecstatic and doing back flips. I hope you are right about the purchases being excellent.
Bert
Hey there Bert. My largest holding is MO. I just got a big fat dividend payment in my brokerage account this week from MO and PM following the next day. Like you, I have been enjoying the dividend increases this year. Tom
Tom,
That is a big fat dividend payment indeed. You have the left hook and the right hook hitting your account here haha
Bert
Bert,
Nice work on the ever growing dividend income. I regret not having picked up some PEP < $100 when the opportunity presented itself recently – a sin of omission perhaps for me 🙂
PIV
PIV,
Thank you very much. There will be other opportunities like PEP out there, don’t worry. Luckily I scooped it up, but I also missed SJM when it was below $100. You’ll get one one of these days!
Bert
Congrats on a super month Bert! A 40% yoy increase is amazing! Its great to see all those dividend increases from such great companies. Keep it up! 😀
Thank you MDD! I appreciate it!
Bert
$1K in June… so nice! 40% YoY growth…you kidding me!? 6 dividend raises… No way! I haven’t even mentioned the $220+ in new forward dividend income. Outstanding! It’s going to be difficult to raise the bar, but I know you can do it, Bert.
Terrific to see the two new top 6 single stock dividend payers, PEP and D. They added quite the boost. Your recent purchases are having a significant impact. And I don’t want to forget about that trio of O purchases.
Keep doing what you are doing, Bert, because it’s working!
Engineering Dividends,
haha thank you so much! I love the excitement and motivation right here. It gets me pumped up haha Hey, part of the game is trying to continuously raise the bar, right? Luckily, I have Lanny talking in my ear all the time trying to do it. Much appreciated my friend.
Bert
Way to go Bert, over $1100 is amazing! With my mutual funds included, I topped the $1000 mark with just over $200 from my new DGI focused portfolio.
Added another 20 shares in SBUX today to bring that position up to my initial target weighting. Definitely some amazing divvy increases all around. Keep up the great work and continue reaping those rewards!
DivvyDad,
Congrats on crossing the four digit mark!!You have to include those mutual funds, that’s a part of it. SBUX was a great purchase and we/others in the community jumped all over the price dip. That 20% dividend increase was SWEET!
Bert
Thanks, and definitely going to be adding them into my reports moving forward. Looking forward to that SBUX divvy with the juicy increase!
1k in June is AWESOME Bert. That’s an impressive level of growth and it must feel great to see that 1k threshold for June broken. Here’s to 2k in ..two years or so.
TITM,
Thank you so much! It is awesome and I hope I can continue to receve over $1,000 at least once each quarter. Of course, the goal is to receive over $1,000 each month eventually haha but I still have some room to go to achieve that. Let’s get to that goal together!!
Bert
Absolutely fantastic, looks like you’ve had a very successful month.
That is some serious income for the month. Keep up the excellent work my friend!
Cheers
BHL,
Thank you very much! I really appreciate it.
Bert
wow nice Bert
40% growth on those kind of numbers is reallyy impressive.
great looking portfolio to boot!
keep it up your killing it
cheers
PCI,
Thank you very much!
Bert
That’s fantastic Bert! Over $1.1k is huge! We crossed over $1k for June which was the first time we’d done that and I expect every end of quarter month to be over that from here on out when you count all the accounts.
JC< I did see that you crushed it this month. Like you, I'm hoping that I can achieve at least $1,000 at least once a quarter as well. Fingers crossed haha Bert
Bert, If I wouldn’t have just read and commented on Lanny’s post I would have thought this was one of his just by looking at the numbers. Great month! Over $1,100 is a mortgage payment for most people. Keep up the great work!!
hahah thanks Money Hungry! I appreciate it. That would definitely cover my mortgage payment this month, but not by a lot. So I’m blessed about that fact!
Bert
Good job the big 1 grande and it will only grow from here. Keep it up.
Awesome month. Love those quarter ending months. How does it feel to hit a four digit month? Sounds great, although I am still chasing the consecutive triple digit ones myself. Keep up the good work and amazing growth numbers.
Awesome total for the month of June. Seeing four digits in any month is always cause for celebration. You should enjoy that PEP dividend for decades to come. Great long term hold. Keep making every dollar count!
Wow wow and wow over $1,100 so impressive Bert congratulations. Keep up the great work.