What is a REIT and How Are Dividends Received from a REIT Taxed?

This year, we started a financial education series geared towards educating beginning investors and more specifically, beginning dividend growth investors.  Our first two articles explain what a dividend is and the dividend payout ratio (and how to calculate it). In this article, we will take a deeper dive into one specific type of holding that can be found in many dividend investors’ portfolio.  This holding typically pays a higher dividend, which is why dividend investors are always on the lookout for a great one. If you’re looking into becoming a dividend growth investor, you better get used to reading these four letters…REIT. Here is a deeper dive into what a REIT is and how dividends received from a REIT is taxed.

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Expected Dividend Dividend Increases in September 2018

Dividend increases are the name of the game and the two of us are checking every evening to see if one of our companies increased their dividend! And best of all, we love sharing this excitement with each of you via our blog, Twitter Feed, or by other means.  For those of you that are new to the website,  each month, I try my best to compile a list of companies that are expected to announce a dividend increase in the coming month.  While I can’t include every company in the article, I do my best to capture as many Dividend Aristocrats and other companies as possible.   Let’s see the companies that are expected to announce dividend increases in September!

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Bert’s Recent Stock Buys – Illinois Tool Works (ITW)…Two More Times

The market continues a crazy August.  After a few weeks there was a solid selection of opportunities afoot, the market suddenly turned and now the opportunities are far and few between.  Luckily for me, I had the opportunity to continue building a position I initiated earlier in the month.

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Bert’s Recent Stock Buys – Illinois Tool Works (ITW) & WestRock Co. (WRK)

It turns out that Lanny is pretty good at finding undervalued dividend growth stocks.  I was such a big fan of some of his recent purchases that I decided to follow his lead and purchase two of the stocks he recently purchased as well.  Luckily for me, even though I recently purchased shares of Tyson Foods, I had some extra capital to deploy.   See why I initiated two new positions in my portfolio at the beginning of August.

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Bert’s Recent Stock Purchase – Tyson Foods (TSN)

July was a long month for my portfolio.  With Capital One selling their investment portfolio to Etrade , I was looking for a new trading form.  After many, many talks with Lanny, I finally settled on Ally Investing.  My transfer was initiated at the beginning of July, but my assets were not fully transitioned until the end of the month.   This waiting period was unique and shook up the flow of the first six-months of the year that saw me making a lot of stock purchases.  For the first 30 days of July, I did not make any stock purchases.  However, on the final day of the month, I was able to sneak one purchase in.  Here is why I purchased shares of Tyson Foods (TSN) on July 31!

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Dividend Payout Ratio: Explaining the Most Important Metric

In a recent article, Lanny broke down what a dividend is and highlighted what is so great about receiving a dividend.   When I first started learning about dividend investing, there were a lot of articles and emphasis on assessing a company’s dividend payout ratio.  So I thought I would take some time today, provide a definition for the payout ratio, show how to calculate the metric, and some other details/tricks of the trade that we have picked up over the years as we continue to invest in dividend growth stocks.

Read:  The 3 Metrics of our dividend stock screener, which includes the dividend payout ratio!

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5 Financial Mistakes I Made in My 20s and How They Cost Me Thousands of Dollars in Dividend Income

Mistakes.  We’ve all made them.  I’ve made my fair share of mistakes over the years, professionally and personally.  Sometimes, the best way to learn is to experience the pain yourself.  It is funny, my mom and I were talking over the weekend and she told me that my grandpa always used to tell her that “learning is expensive.”  This didn’t specifically relate to education, either.   This related to different life situations her and my dad encountered over the years.   This year, I’ll be turning 29.  My 20s will soon be in the rear-view mirror.   I’ve made plenty of financial mistakes over the years that have likely cost me a lot of dividend income.  With the benefit of hindsight, I wanted to share my top 5 financial mistakes and calculate the true impact they had on my life and my dividend income.

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