Lanny’s October Dividend Income Summary

October was a busy month, no doubt and we eventually saw snowflakes on the first morning of November, yikes.  Even though it is getting cold in Cleveland, the Dividend Stock Portfolio always is heating up baby!  Without further-ado, time to jump into my October Dividend Income results!

Dividend Income

Dividend Income is the fruit of the labors for all investments being made.  Further, Dividend Income is my primary vehicle on my road to Financial Freedom, which you can see through my Dividend Income and my Dividend Portfolio.

I am adding to my Dividend Income with each Dividend Stock Purchase.  How do I research & screen for dividend stocks prior to making a purchase?  I usually put the stocks through our Dividend Diplomat Stock Screener and trade on Ally’s investment platform (one of our Financial Freedom Products).

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

Lastly, Dividend Increases add quite a bang to the portfolio, as well.  As you saw from my recent post in October, dividend increases added almost $330+ for the year through September!  I will update this again, at the next quarter-end (middle January), to show you how critical this can be for YOUR portfolio.

See – The Impact of Dividend Increases through September of 2019

During October, we (my wife and I) received a total of $734.13 of dividend income.  A record October (never gets old), and is not just based on the first month of showing my wife’s dividend income, but just in general – quite a few new positions and dividend increases.   Each month, luckily, I have been able to have a record month throughout 2019, each beating the prior year’s comparable month. This is the first month where I am showing our combined Dividend Income and she surely packed a nice punch : ) 

Here is the breakdown of dividend income for the month of October!

There was no-doubt that Philip Morris (PM) was going to be a triple bagger here, with $112.82, even with the merger talks with Altria (MO).  Tupperware (TUP) is a drag on my dividend income right now, may have to make some form of decision with them.  Also, we now have two Canadian Banks to showcase – Canadian Imperial (CM) and Bank of Nova Scotia (BNS), as I wanted each of us to have one (plus my Aunt spent over 30+ years working for BNS and praises them everyday!).

Here, it shows that I received a total of $79.98 (up from $49.14 last year) or 11% of our income stemmed from retirement accounts and the other 89% was from the individual taxable portfolio.  This % for retirement accounts stayed very similar, compared to last year.  Why?  There was a combination of growth from both taxable and retirement, that didn’t change the allocation, essentially.

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

Dividend Income Year over Year Comparison

2018:

2019:

A dividend increase, year over year, of $237.49 (when including my wife’s dividend of $28.37 last year in October)… This is a staggering 48% growth rate from prior year.  I cannot believe it, but I know it’s true.  In the words of Kurt Angle, “It’s Damn True”.  First, my wife and I both have been investing a TON.  Further, we have received increases from Realty Income (O), Medical Properties (MPW), Aramino Foods (AMNF), Cisco (CSCO), Illinois Tool Works (ITW), Philip Morris (PM); to name a few.

New investments, versus prior year, are Occidental Petroleum (OXY), Leggett & Platt (LEG), Bed Bath & Beyond (BBBY) and obviously my wife’s account has quite a few new names..  Talk about a mouthful.  Dividend income is coming through all sorts of crevices this time around.

In total, this October was higher by $237 or 48%.  At this rate, $1,100 for next year?  Is this possible?  It will be tough, but dividend increases, new investments, I’ll try my hardest.  2020 could be crazy!

Dividend Increases

These were all anticipated increases from Bert’s article on Expected Dividend Increases, except for Rockwell (ROK) that announced in October vs. November.  For the most current version – see Bert’s Expected Dividend Increases in November and see if your stock is on the list.

My favorite this go around has to go to Visa (V).  Why?  This is the world as we know it and plastic has ruled all.  Visa is one of very few in a HUGE ocean, think MasterCard, AmericanExpress and Discover.  Further, earnings and volume continue to increase and this is just one bad-ass company, that’s for sure.

Overall, $15.84 added would require an investment of $453 at 3.50% yield, in order to produce that result.

See – The Impact of The Dividend Growth Rate!

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 show that dividend income can be a revenue engine.  A revenue engine that allows you to take back control of your life.  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%.  Therefore, my new average is $1,040 per month  Therefore, my current dividend income would cover 70% of that amount.  We are getting closer to making “ends” meet in the “off” months of being a Dividend Income investor.  Dividend investing is insanely real, I can literally taste freedom.  So.  Damn.  Good.

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.

Wow… only 2 months of the year is left and what a year it has been.  I can taste it, one month closer to the goal baby!  Financial Freedom, Financial Independence, insert your freedom phrase here, awaits!  Please share your thoughts, questions and feedback below!  Excited to read how everyone did this month, as well.  Thank you again, good luck and happy investing!

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24 thoughts on “Lanny’s October Dividend Income Summary

  1. Nice job getting $700 plus dividend income! Nearly 50% YOY growth is awesome! One of the best thing about tracking monthly dividend income is the year by year comparisons. It is always amazing to see your progress and how everything you put in paid off. Congrats Lanny! 🙂

    • MDD –

      Thank YOU. The YoY comparison shows that you are doing the right thing, you know? Further, it helps ground yo, knowing where you’ve been and knowing what you’ve had to do to get to where you are, and more importantly – where you are about to go!

      -Lanny

  2. I am in the same position with TUP as well. I’m going to use it for a tax loss this year. There is no point in holding it now that the dividend is gone, and management has no clue how to turn around.

    I am glad it was a small position – Diversification is key 🙂

  3. The October dividend numbers are looking sharp, Lanny! You have turned this portfolio in a real revenue engine. Congrats! And this engine also grows organically through dividend increases. I like that SBUX and V double-digit raise. Booom!
    Keep making every dollar count.
    -SF

    • Snug –

      It is an engine, no doubt; probably sitting into 2nd gear; once I consistently cross $1k per month – then we are in 3rd gear and it doesn’t stop there. Let’s stay after it and make every dollar count!

      -Lanny

    • Lou –

      They are going through a massive deal, shedding assets and taking on debt. Concerned? Nah. This is similar to other large deals and you need a strong stomach to continue to persevere! The dividend will be interesting, but moreso excited about the new operating cash flow the combined entity will bring.

      -Lanny

  4. Crushing it Lanny! $700+ and what’s even better is the 70% coverage of monthly expenses. We’ve still got a long ways to go before we reach that level of coverage but we’re moving in the right direction.

    • JC –

      Man, oh man. 70%, I’m getting old over here, I need that to be > 100%! Joking, joking. I know it’s a journey and I will get there, need to stay focused and maintain the vision in mind, but I am confident it will happen. You will too.

      -Lanny

  5. Wowzers. Quite the haul. At that pace of increase, you’ll pass me up in 2 years. Believe me when I say it motivates me to stop blowing money on frivolous stuff and investing it. Please, keep making huge returns to crack the whip on me!
    I need it…
    Cheers
    John

      • Congrats on the 48% YOY growth! PM and CM were quite the heavy hitters for you. I’m pleased to finally be a V shareholder with you. The years of 20% dividend increases were enough for me to get off the sidelines.

  6. Records never get old indeed 🙂 Keep on reaching those ever higher milestones. I sure wish I bought some LEG when it was in the dumps several weeks ago. Oh well… can’t complain as I went the LYB route. LEG is still on my radar though. Keep up the good work.

    • DH –

      Same, wish I had even more LEG! Can’t complain with LYB, especially since my Biased self loves them and owns quite a bit! Keep making moves and reaching new heights, we’ve been in this a long time together!

      -Lanny

  7. Lanny (and Bert),
    Great stuff this month the both of you. I would have said something earlier, but new kids tend to suck up time no matter how smoothly (or not as is the case this time) they go.
    Keep killing it you two.
    – Gremlin

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