Bert’s September Dividend Income Summary

3 quarters down….1 quarter to go.  Fresh off my recent 2016 goals review, I am inspired and looking forward to an exciting finish to 2016.   The 3rd month of the quarter always brings an exciting dividend income summary because of the mutual fund payouts.  And I can’t wait to show you the progress I have made in just 12 months.  Let’s dive in and take a look at my September dividend income summary.

dividend income

September dividend income summary

september-16

In September, I received $380.56 in dividend income compared to $224.46 in September 2015.  This results in a 69.54% dividend growth rate!  MAN, I couldn’t be happier with the results.  For those keeping track, that is more than double Lanny’s dividend growth rate over the same period (**Cherry picked stat.**) as summarized in his September dividend income summary.  Kidding Lanny, you’re four figure dividend income figure in September steps on my month.  This just goes to show that this hard work is paying off and the results of what we are all doing here are real!  There is a lot to dissect here in the table above, so here are some of the highlights/major contributors to my growth rate over the last 12 months.

  • In 2016, I have added three positions with a cost basis greater than $3,000 and the impact from these large purchases really adds a punch.   It is no coincidence that these three positions, Pfizer, T.Rowe Price, and Target, were three of my six largest dividend checks for the month.
  • Speaking of Target, there is something to circle back to here.  If you recall, I initially purchased 50 shares of Target earlier in the year and added 30 more shares in August.  The second purchased JUST MISSED the ex dividend date, so the $30 received in September on represents only a portion of the dividend check I am expected to receive from them on an ongoing basis.  Watch out December!
  • The income from VINIX, my employer sponsored 401k plan, is really starting to grow.  While my altering wasn’t as drastic as Lanny’s, I left Part 1 of his tax adjustment series inspired to increase my 401k contribution to maximize my tax savings.   We contribute twice a month to our 401k plan and my per paycheck contribution increased from ~$140 to $250 after I finished reading Lanny’s article.  The results in ~1.25 new shares each paycheck (depending on the price at the time of the contribution of course) and each share adds $1.07 in projected dividend quarterly. Six contributions each quarter would result in over $6 in increased dividend quarterly.  The dollar amount may not seem like a lot, but the position paid $24.44 in dividends September and adding $6 on top of that would result in an awesome dividend growth rate!   In all seriousness, I recommend going back and reading Lanny’s tax adjustment series if you haven’t already and hopefully you will leave it as inspired as I was to make a few easy changes to maximize your savings.
  • I’ll never get tired of looking at the table and seeing the slight increases that are a result of dividend re-investment and dividend increases.  Sure, the increases from these two sources may not have the same impact as adding new positions, but in aggregate, the increases can make quite the difference in the long run.  That’s why I love this game and do everything I can to invest as much into dividend growth stocks as possible.

September dividend increases & purchases

I benefited from two dividend increases in my portfolio this month, MCD and PM.  MCD announced a 5.6% dividend increase that resulted in $2.67 in additional annual dividend income while PM announced a 1.96% increase that resulted in $1.25 in additional annual dividend income.  I had higher hopes for PM considering some of the dividend increases announced by other tobacco companies; however, I really can’t complain too much as a small increase is better than no increase!  In terms of purchases, I added one new position to my portfolio in September when I purchased 50 shares of Cardinal Health.  This purchase added $89.78 in annual dividend income.

summary

Finally, in the third quarter, my portfolio’s dividend snowball finally picked up some steam.  A 69% dividend growth rate provides me with a TON of momentum heading into the fourth quarter.  I was able to cross the $3,000 in forward dividend income mark in the last quarter and I’m looking to cross $4,000 as soon as possible.  Now that the two of us have published our dividend income summaries, we get to work on our favorite piece….summarizing the dividend income from many of our fellow dividend growth investors in the blogging community.  Hopefully everyone was able to mirror our great months!

Did you have a strong month of September?  What was your dividend growth rate?  What were your key contributors to success?  Did you have any awesome dividend increases announced?

Bert

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38 thoughts on “Bert’s September Dividend Income Summary

  1. 70% Hell yea! I started feeling the affects of an ever increasing snowball this past year. Fun to watch for sure. However, $110,000 worth of investments were sold this past month. The dividend income should be more on par with what you are seeing right now so it will be fun to watch us grow together!

    Congrats again, keep up the good work!

    ADD

    • ADD,

      Sounds like we are going to have a monthly challenge now that we are on the same level haha I agree, nothing is better than seeing the progress/snowball rolling down the hill each year. It is a lot of fun and is exciting. Plus, I love getting to watch the snowball grow in the rest of the investing community as well. All around there has been some AWESOME progress here in September.

      Bert

  2. Bert,

    Awesome job! A 70% year-over-year increase is terrific and that is not even including the Target dividend you just missed out on. I’m looking forward to December. That might be another record for you!

    Scott

    • Scott,

      Exactly. Imagine what would have happened if I was able to purchase Target before the ex-date. That increase would have been awesome! But then again, TGT’s price didn’t really fall until after the ex-date, so I would have been staring a nice unrealized loss in the face right now. Cannot WAIT until December rolls around and yes, it should be a record setting month.

      Bert

    • Thank you very much SLM. How was your month?? Hopefully I am able to maintain that kind of a growth rate going forward. There may be a few more exclamation marks in my September 2017 article if that is that case haha

      Take care and thanks for stopping by.

      Bert

    • Thanks Tawcan! I know, it is a crazy figure. I did a double take when I saw it for the first time and even double checked my equations to make sure I didn’t double count any dividends haha Luckily, I was right on the money the first time around. Thanks for stopping by!

      Bert

  3. Those numbers are awesome, that’s the way to go!

    We are really pleased with our own dividends as well. The numbers on our side may still be a bit lower, but at least it’s growing every year. I’m looking forward to how things will play out on the long run.

    • Thanks Divnomics! Congrats on the great progress. Honestly, the dollar amount isn’t what matters. Just keep pushing forward and increasing the amount you are receiving. Good things will happen to those who are patient and focus on building a quality stream of growing dividend income. The snowball will begin picking up steam for you shortly!

      Bert

  4. Solid numbers Bert with nearly $400 during the month and nearly 70% growth from last year. How much of that was organic vs new purchases? We had a personal best with over $900 across all of our accounts so I’m pretty pleased with that. I hope to see us cross over the $1k between all of the accounts in March 2017 but it’ll really depend on what kind of raises we get between now and then.

    All the best closing out the year. It’s hard to believe Q4 is already here.

    • Thanks JC. Isn’t it nuts that it is October? Man where has the time gone?? I never calculated it in that manner, but 33% of the income recorded during the month were from stocks purchased in the last 12 months. Will definitely be adding that statistic to my summary going forward.

      Congrats on your personal best. How much of your income is from new purchases? The next three months will be CRUCIAL for dividend increases as many of my holdings (and it sounds like yours) will be announcing an increase. Do you have a few purchases planned to help push that mark across $1,000?

      Ready to finish strong JC? LET’S DO THIS!

      Bert

  5. You can never get tired of seeing a 70% year over year growth rate. That’s just awesome! As you stated, you have some nice momentum going into Q4 to finish the year off strong. Nice to be a fellow MCD and PM shareholder too. I was quite happy with that MCD increase actually. Let’s see how our fellow CAH performs too going into the close of 2016. As always, an inspirational read. Thanks for sharing.

    • DivHut,

      haha if anyone ever gets tired of that amount then they deserve a stern talking to haha CAH is the wildcard here and they have been hovering around our purchase price. I can’t wait to see their first earnings release for the quarter and see what direction the company moves, if there are any more buybacks, etc.

      Thanks for stopping by. Hopefully our portfolios and stocks treat us very well in the holiday season!

      Bert

  6. Wow, such a huge increase! Nice job Bert – amazing job.

    You’ve really committed to making big purchases and they’re paying off for you!

    Our September was the biggest month of dividends we’ve received – almost 3 digits, but not quite. Hopefully next month!

    Tristan

    • Tristan,

      Isn’t it a blast making large purchases? Nothing is better than receiving that first dividend income check from the company and realizing that you are going to be receiving at least this amount from them going forward. That’s when this game becomes a ton of fun.

      Congrats on your record setting month. You’ll crush three digits come December, I have a good feeling about it!

      Take care,

      Bert

  7. wow! Awesome job man! next year you will beat that $400 mark. Especially with those added shares of Target! That portfolio is looking very nice with a nice healthy annual dividend yield! Keep it up!

  8. Bert,
    Nice growth and way to keep it all up: expanding your 401k input and investments. I’ve done the same, partly because of a switch to a new company. Also TGT’s dividend raise was realized this month, so you got that to look forward to as well!
    Gremlin

    • Thanks Gremlin….the Gremlin is BACK!

      Congrats on the new career move. Are you liking it so far? Do they have a better 401k matching plan than your old place? That is very true about Target and their increase. I guess that was lost in the shuffle of all of the madness of receiving my first check from them.

      Thanks for stopping by!

      Bert

  9. It’s great to see all the new stocks YoY in your portfolio. It’s also interesting to see the slight annual increase for each stock. It really helps to show how DRIP investing adds up quickly.

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