Fall is in the air. It is my wife’s favorite season, and I’m enjoying celebrating it with her and my daughter. The leaves should be changing soon. Plus, there have been plenty of great festivals and the best part, different fall beers, to try! Lanny kicked off our website’s dividend income summary festivities with some jaw-dropping numbers. Combined, his household dividend income was over $3,000! Couldn’t be more proud of them and what they are accomplishing. It sure motivates us to keep pushing forward. While we didn’t hit $3,000 in dividend income, we are continuing to grow our income in some capacity. Let’s check out our September Dividend Income summary.
Bert’s September Dividend Income Summary
In September, my wife and I earned $1,678.26 in dividend income! That is a 41.79% increase compared to last September. The following chart details the individual dividends received:
Here are some highlights from the month:
- Over the last 12 months, I have worked on building sizeable positions in Exxon Mobil and UPS. Rather than make one large purchase, I slowly averaged down my position over the year. I’ll continue adding to Exxon, but I’m comfortable with my UPS position at the moment. Those two new positions accounted for over $60 in new dividend income compared to last year.
- Our mutual fund dividend income continues to grow. In addition to trying to maximize our 401(k) plans once again, we have even invested some capital in low-fee ETFs at brokerages where the option is available.
- The HSA dividend represents cash invested in my HSA’s investment account. After leaving an employer last year, I opened a HSA account at Lively, a no-fee on-line HSA option that allows you to invest your excess cash at TD Ameritrade. The dividends received in 2019 are the new investment funds compared to my old HSA’s investment funds. I was definitely able to grow that income with the account transfer, luckily. If your HSA’s funds are “Trapped” in an old employer’s plan, I would highly suggest seeing if Lively is the right option for you. It has been awesome for Lanny and I.
- This is more of a statement, but if you don’t believe that DRIP doesn’t have an impact, look at the table above. Many of the dividends I received increased by dollars and cents due to the re-invested shares from the previous dividends received. Slowly, but surely, that dividend snowball makes an impact.
- Lastly, you’ll see a new dividend titled “Cash” for my wife and I. Before the zero-fee trade madness started, my wife and I moved our brokerages to Fidelity (Article to come in the future). At Fidelity, idle cash sits in a money market account earning 1.90%. Thus, we received dividends this month on our idle cash! This number will fluctuate from month to month based on cash balance versus investment activity. But hey, it was nice receiving $18 in dividend income from idle cash.
Bert’s September Dividend Stock POrtfolio Updates
In this section, I show the additional dividend income received due to dividend increases and stock purchases (individual, 401k contributions), during the month. I’ll start with dividend increases. The following table shows the dividend increases I received in September:
All in all, I didn’t receive that many dividend increases! The few I did receive have added $16.36 to my forward dividend income total. I summarized the dividend increases received in September here, so the items included in the table shouldn’t be a surprise to many of you. Unfortunately though, I was a little disappointed by the dividend growth rates. Just a frustrating trend that has persisted in 2019. Now, on to the additional income received from stock purchases. This table is a lot more fun to review:
I already summarized my stock XOM and MMM stock purchases in an article last month. It was the first stock purchase I had made in over two months (at the time) and was quite the way to step off the sidelines. Anytime you can add over $100+ in a few days from stock purchases, you have to be happy! And my wife’s 401(k) purchases continue to buzz along at a nice clip. This provides a nice, steady stream of new dividend income each month.
Where are my 401(k) purchases, you may ask? That’s a fair question. My company’s 401(k) investment options are limited. Rather than have an investment fund that has a ticker with easily trackable dividends, I am forced to invest in a S&P 500 Separate Account. I’m still making regular contributions and receiving dividend income. However, it is impossible to predict the amount and report it in this article.
All in all, over $183 in dividend income from dividend growth and additions to my portfolio is pretty freaking nice! I’ll look to continue adding more in the fourth quarter and building on the foundation we have established.
Another month in the books. I need to keep pushing, fighting, and clawing my way towards financial freedom. 2019 fell off the tracks in the first half of the year, for more reasons than all of you know. But I am finding my way back to investing at a steady stream. The exciting part is that my wife and I are closing in on a major investment milestone. One that just helps me fuel our FIRE. It is one that I cannot WAIT to write about in the coming months. So stay tuned everyone. In the meantime, let’s make every dollar count and let’s continue to fight towards financial freedom.
Did you have a solid month of dividend income? Did you set a personal record? What was your year over year dividend growth rate? What is the largest dividend increase you received in September?