Dividend Income Summary: Lanny’s May 2020 Summary

dividend income

The stock market continues to rise and dividend income keeps coming in.  The uncertainty is still significantly high and the direction the stock market is going does not make sense.  Time to see my May dividend income results below!

Dividend Income

Dividend Income is the fruit from the labor of investing your money in the stock market.  Further, Dividend Income is my primary vehicle on the road to Financial Freedom, which you can see through my Dividend Portfolio.

How do I research & screen for dividend stocks prior to making a purchase?  I use our Dividend Diplomat Stock Screener and trade on Ally’s investment platform (one of our Financial Freedom Products) – commission free.

See – Dividend Diplomat Stock Screener

See – Financial Freedom Products

I also automatically max out, pre-tax, my 401k through work and my Health Savings Account.  This allows me to save a TON of money come tax time (aka thousands), which allows me to invest even more.  In addition, all dividends I receive are automatically being reinvested back into the company that paid the dividend.  This helps take the emotion out of timing & making a decision.

See – Tax Strategy – Part 3 to Reduce Taxes & Increase Investment.

See – Why I Don’t Time or Predict The Market

On to the numbers… In May, we (my wife and I) received a total of $903.89 of dividend income.  May was a boring month, to say the least, on the dividend income front.  However, between re-openings and the tragic news from our police enforcement, it was another volatile month.  We didn’t crack the 4 digits, but slow and steady will win the race.

Here is the breakdown of dividend income for the month of May:

First, I have to start with a similar message to my last dividend income month.  Occidental Petroleum (OXY) cut their dividend AGAIN.  They cut their dividend from $0.11 per share, per quarter, down to $0.01.  A penny.  Great.  Goodness.  I never thought THAT would happen.

Secondly, there  is a new name in here with People’s United (PBCT).  They are a dividend aristocrat that I began acquiring shares during April and May.  AT&T (T) also came in heavy with over $120 in dividends in my taxable account with a “chip shot” of $50 in the retirement account from my wife.

Lastly, I have no idea what to expect for the quarter coming up.  The stock market is consistently rising and it just doesn’t make sense to me.  Given that we are still coming out of the pandemic, high unemployment with awful events occurring, the uncertainty is still high.  I have been keeping my eye on the stocks to buy in a post-pandemic world, keeping it boring!

See – Stocks to Buy in a Post-Pandemic World

See – Top 5 Foundation Dividend Stocks

Related to retirement accounts, we received a total of $144.45 or 17.5%.  The other 82.5% was from the individual taxable portfolio that can be used for everyday expenses.  I like that the taxable amount is higher, which means more is accessible, right now, if I wanted/needed.  Lastly, I always maximize the 401k and IRA, and that continues to pay-off in dividends, literally.

See – Maximizing your Roth for 10 Years… Then Set It & Forget It!

Dividend Income Year over Year Comparison



Dividend income, year over year is higher by $25.83 (including my wife’s dividend income of $175.93 last year with mine).  This is a 3% growth rate from prior year.  Barely inching growth here, woof.  There were changes to my dividend income from last year to this year.

WestRock’s (WRK) dividend cut is felt, as you can see the decrease year over year.  In addition, Muncy Bank (MYBF) does not pay until June this year.  Further, Delta (DAL) paid me $22 last year and is a fat $0 in dividends right now, due to the entire industry crashing to a blistering halt.

See – Dividend Cuts: Pandemic Impact on Lanny’s Portfolio

However, two companies paid me this year versus last year.  Two names happen to be two dividend aristocrats.  General Dynamics (GD) and People’s United (PBCT) were bringing in dividend income for me.  Love having the lengthy dividend increase history in my dividend portfolio.

We shall see what April 2021 brings, with how the markets have been shaking up.  Loving the new dividend reinvestment lately, at much lower prices, that’s for sure.

Dividend Increases

No dividend increases this month.  Sad.  Leggett & Platt (LEG) chose to maintain their dividend and Caterpillar (CAT) never announced anything for the month.  Lyondell Basell (LYB) joined Leggett & Platt in maintaining their dividend rate.  What a time we are in.  Check out Bert’s Expected Dividend Increases for June, though, to see what should happen this month!

See – The Impact of The Dividend Growth Rate!

I am hopeful for June to bring great dividend increases from the likes of Target (TGT), Starbucks (SBUX) and Kroger (KR).  I believe all three can support a dividend increase, even if small.  The pick me up will be if Caterpillar (CAT) decides to edge theirs up, even by a small margin, or not.  In fact, I just realized that they are a Dividend Aristocrat.  To find out more about who & what are dividend aristocrats, see our article below:

See – Dividend Aristocrats: Who & What Are They? 

Dividend Income Conclusion & Summary

The name of the game is to apply what you learn through financial education.  The next steps are to maximize every dollar for investment opportunities and live a balanced life.  My plan is to demonstrate that dividend income can be a revenue engine.  A revenue engine that allows you to take back control of your life.  A revenue engine to help you reach financial freedom.  Dividend investing, once you learn the right way, becomes easier and starts to immensely make sense!

There is a nice adjustment to my most recent monthly expenditures article.  Sadly, my property taxes increased by 14% in 2018.  Therefore, our average is $1,040 per month  Due to that, my current dividend income would cover 87% of that amount.  However, that includes both tax-deferred accounts/retirement accounts and my taxable brokerage accounts.  I need to close the gap, the time is now!

Excited for the future, no doubt.  Further, all of the investing from last year and moves this year, shows that my aim to save 60% of my income, and making every dollar count, has allowed promising results already this year.

Community, we made it through another month.  The pandemic and uncertainty is still here, but we are getting better, with each passing week.  The dividend income has remained fairly stable and deep down inside, I know that we’ll be stronger than ever.  We are entering the final month of quarter 2 and we will learn more about how businesses are really doing in the coming 60-90 days.  Buckle up everyone, this ride may get a little bumpy for us!  As always, stay safe, healthy and of course – good luck and happy investing!

17 thoughts on “Dividend Income Summary: Lanny’s May 2020 Summary

  1. Lanny,
    You and Bert both had a pretty good May. Cuts will happen in this climate, but pushing up that income base is huge right now. Keep up the good work, enjoy the fruits of this chaotic market.
    – Gremlin

    • Gremlin –

      That is very true. Hoping the stings will slow, as the economy comes trickling back. I told Doug earlier, but I have been reinforcing quite a few dividend aristocrats and am upset that the market continues to roar. Kills my opportunities out there! Taking one day at a time Gremlin. Thanks again.


  2. Great May for you almost $1000 on the month that is rocking. Stinks about the no raises hopefully next year lots of good raises and our dividend income will sky rocket. You can defiantly see the impact of that WRK decrease. Hopefully they get back to some raises soon.

    • Doug –

      It does, but glad that the only cut I experienced was the double cut from Oxy, woof!

      I am already at one increase this month from Realty Income and am expecting Target to announce tomorrow.

      Yes – hoping WRK comes back, surprised me when they did cut it and am wondering if they did it to simply pay down their debt. I noticed a trend in Q4 of 2019 – the market was significantly overvalued and I am learning quite a bit from all of this. I was investing in companies that may not have had as long of a dividend growth history that I typically like to see. I am now reinforcing my aristocrats, no doubt.


  3. Looking good for the month of May. Isn’t it amazing that despite all that’s going on in the world those dividends keep hitting our account. Of course, if the day ever comes that they stop… then we’re all living in a very different world. Nice jump and always happy to see quite a few names in common paying us both. Keep it going!

    • DH –

      We are so lucky that dividends continue to roll in. The 20 year old me is happy for doing all of this. Now, it’s ensuring that the majority of our portfolios are strong and can continue to weather the storm, day by day. We will continue to march on DH, tough, but that we will.


  4. Looking good Lanny. Cuts will continue to happen in this climate and all we can do as investors is to monitor the stocks and get rid of the ones that may cut dividends.

    We received over $1,800 in May despite all the cuts and suspensions. A bit disappointed that we didn’t hit over $2k but $1.8k ain’t so bad.

    • Tawcan –

      Right. $2k is amazing and if the economy continues to pick up, even if it is 1-5% per month before they are back at 100% firing on all cylinders, I’ll be pleased. Hope everyone continues to stay safe, that business continue to provide value and persevere through this with solid plans in reducing costs/creating efficiencies in a smart manner. The storm will be weathered and I hope that it has started to do just that.


  5. Lanny,

    Congrats to you and your wife on collecting over $900 through an uncertain time. It looks like the market is finally plummeting right back down to Earth. I hope it stays this way for a while as I almost have capital freed up to aggressively begin investing again.

  6. Shame about the cuts, but racking up allmost $1000 in May in these times is nothing short of grand! I’ve only had 1 suspension so far and thats from Disney. I’m expecting a cut from SPG but they have not made the statement yet.

    I’m somewhat lucky that SPG and DIS are my two smallest postions in my portfolio so the impact is relatively small.

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