Dividend Update: January 2015

For me, the highlight of dividend growth investing is tallying all of my dividend payouts and raises at the end of each month.  I aim to invest in businesses that grow their dividends every year despite the ups and downs of stock market prices.  There’s no denying that the strategy works when I look at my Dividend Payouts rising steadily over the years.  One day, this cold hard cash will grow large enough to pay all of my expenses, and I will finally claim financial independence.

This blog is living proof that you can start small and over time grow an ever rising stream of income to use for all of life’s adventures.  While this quarter is the lowest of my dividend payouts, I still pulled in $56.86 from 5 different businesses in January and I reinvested all of my dividends to accelerate their growth.  Some are through a dividend reinvestment plan and others I pool together with new investments.  Here’s what I did with my dividends throughout the month:

2015_JAN_DRIP

This was a solid start to the year.  My $56.86 was a 3.42% increase over last quarter’s $54.98 in October.  My payouts rose by 331.41% over last January’s $13.18.  This shows that if you make consistent contributions when building a portfolio, you can achieve eye popping income increases over the first few years.  January was only the 19th month I’ve received a dividend payment.  Here is a detailed look at my Dividend Payouts:

2015_JAN_DP

My goal is to average $170.83 a month in dividends throughout 2015.  That will put me at a total of $2,050 by the end of the year. In 2014, I barely passed my goal of $750 when I raked in $773.22.  I’ve got a long year of dividend collecting ahead according to this chart:

2015_JAN_DR

The most important part of my strategy is dividend raises.  In January, three separate businesses gave me a raise:

2015_JAN_DI

A.O. Smith (AOS) is now my largest percentage dividend increase to date at 26.67%.  The Kinder Morgan Inc. (KMI) increase might look light, but the year over year dividend increase is 10%.  Realty Income (O) is also higher year over year with dividend growth of 3.75%.  Those were some solid dividend raises that increased my 12 month forward dividend income by almost $10.  At the end of January, my forward annual dividend income stood at $1,483.30.

I also track my lifetime dividends received amount which isn’t even two years old at this point.  When I see the income’s constant path upwards, it get’s me excited about saving and investing as much as possible to gain even more dividends!

2015_JAN_LD

I have a lot of ground to cover in the year ahead, but I’ll be fighting hard to meet my goals the whole way.

How was your January? What was your dividend growth?

Photo By Alexandr Schwarz http://unsplash.com

My Dividend Growth

http://www.mydividendgrowth.com

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29 thoughts on “Dividend Update: January 2015
  1. Tawcan

    That’s awesome that you increased your dividend income by 331.41% YOY. That’s very impressive. Definitely keep up the good work. I’m sure you’ll exceed your dividend income goal this year. 🙂

     
    Reply
    1. My Dividend Growth

      Thanks a ton, Tawcan. I sure hope you’re right and my income soars this year, I’m very excited to see what happens. You’ve been on quite the impressive streak as well, and congrats on some excellent recent purchases. Wishing you continued success!

      All My Best,
      Ryan

       
      Reply
  2. roadmap2retire

    Way to go, Ryan! That is fantastic progress over time and Im loving those charts. Keep up the great work and thanks for sharing your details.

    cheers
    R2R

     
    Reply
    1. My Dividend Growth

      R2R,

      You’re so kind, thank you! I’m pretty excited to see the charts once they fill out a bit more. I’ve really enjoyed all your content lately and have been looking closely at ADM for quite some time now. Glad to see you speaking of it lately as a reminder. I need more exposure in the consumer area at the moment too, but it’s tough not to average down on something. I sure picked a bad time to reduce contributions! Keep at it over there!

      Best Wishes,
      Ryan

       
      Reply
    1. My Dividend Growth

      Thanks a ton, W2R and right back at you! Happy late birthday by the way 🙂 — ( I turned 32 last month, welcome to the 30’s! ) I really hope the chart blasts off like that, and it’ll even be nice to hit $1,000 in the short term. That’s something I never knew was possible just a few years back. Keep that awesome content coming and you’re killing it on the income!

      Best,
      Ryan

       
      Reply
  3. Dividend Growth Journey

    Congrats on a great month. Any kind of increase in the dividends received compared to the previous quarter is a sign of progress. Some months are higher than other, but as long as the amount is on an upward trend, it is good. I am a fellow shareholder in 4 of the 5 stocks you mentioned. Wishing you the very best for a great Feb as well.

     
    Reply
    1. My Dividend Growth

      DGJ,

      That’s a great point, it’s pretty awesome that I should never expect a decrease with this strategy (especially with a DRIP). Hopefully I’ll get this quarter up to speed soon though for the chart’s sake! I’ve got some BNS coming this quarter next time around, and GE on this pay cycle is still looking attractive. Hehe, I wouldn’t really invest for the chart alone but there are good options if they happen to be good values. So many choices lately, I’ve been enjoying your picks lately as well and am always glad to be on the same page.

      Best Regards,
      Ryan

       
      Reply
    1. My Dividend Growth

      Great to see you back Dividend Mongrel and thanks for the compliments! I made the graphs in Microsoft Excel because I liked how it shows the dollar amounts. The lifetime graph should be fun to watch at various speeds and stages. You’ve got some cool looking charts too! Keep at it 🙂

      Best,
      Ryan

       
      Reply
  4. Huw

    Hi Ryan,

    What a cracking picture. Did you take that?

    Congratulations on the start you’ve made to the year. Over 300% is outstanding. I also had a ridiculous increase YOY. You never let us readers down on the graphs. I’t nice to see the YOY comparison since you’ve started doing DGI.

    All the very best for the year ahead!

    Cheers
    Huw

     
    Reply
    1. My Dividend Growth

      Hope you are well Huw! Good to hear from ya 🙂 I didn’t take that picture, but credited it at the end of the post from a site with some sweet free images if you care to check them out. I’ve found some pretty neat ones so far.
      My dividend income was nice YOY, but I would have to add zero to the end to equal yours! That was huge and great job 🙂 Glad you’re digging the new graphs, I like that they’re more detailed to see amounts, especially when at full size.
      Keep at it man, you’ve got a crazy load of goals to defeat and I’m rooting for you!

      All my best,
      Ryan

       
      Reply
  5. Dividend Gremlin

    Ryan,

    Too bad the year does not start in March, you’d probably be way ahead. January is just usually a down month. All kidding aside, nice YOY growth. Hopefully you can meet your average, that is a tough set of goals you have set for yourself. If you meet them its awesome, if not I bet you are still doing a ton to put you on your path to FI.

    By the way, I wish I had O in my Roth account. A solid REIT like that in the Roth is definitely more powerful than in the taxable because of the shielding it gets there.

    Continue the good work, and keep putting up sweet pictures.

    – Gremlin.

     
    Reply
    1. My Dividend Growth

      March is going to be huge, DG. It’s been tough sitting on the sidelines during this market turbulence knowing I have a good chunk of cash just gaining dust until this fall. If there’s one thing DGI has taught me so far, it’s patience. I can wait a little longer no problem 🙂
      I wish I had way more REITS and way more O. I would love to own OHI, DLR, VTR, and HCP at some point. They’ve all run up quite a bit, but I’m still watching and waiting!
      I just revamped the site now that I have a decent amount of content, lots more pictures like that to come and thank you for noticing!

      Best,
      Ryan

       
      Reply
  6. Dividend Mantra

    Ryan,

    Great stuff across the board. Love how all of your charts are all slanted up and to the right. 🙂

    Awesome job on the YOY growth. You’re off to a solid start for the year. Can’t wait to see where you’re at halfway through the year. Exciting times still ahead. Keep at it!

    Best wishes.

     
    Reply
    1. My Dividend Growth

      It’s great to hear from you and thanks Jason! I’m so excited to see what happens in 2015 with all the work I put into the portfolio last year. Last year at this time, I was only just starting the consistent contributions, so going forward it will be my first real look at YOY growth. My charts are still looking way up to yours though, you’ve done such a great job paving the path!

      Have a nice week!
      ~Ryan

       
      Reply
    1. My Dividend Growth

      DD,

      Pretty cool that our January dividends were within a few dollars of each other, great job. I’m excited to see your first YoY stats for this quarter eventually too, and your own ridiculous percentage gains 🙂 Keep that net worth shooting higher, it’s very inspirational.

      Best,
      Ryan

       
      Reply
    1. My Dividend Growth

      Thank you much, DivGuy. It’s still a small dividend total today, but the future is looking bright. BAX and PM are both at great prices currently and I wouldn’t mind adding to either position. I’ll have to buy something within the next week or so 🙂 I tried leaving a comment on your recent Dividend Reads article but it must have been lost in the magic of the internet. Wanted to root you on in your resolutions and thank you for the mention. Have a great rest of the week!

      Best Wishes,
      Ryan

       
      Reply
      1. DivGuy

        No prob Ryan! Always a pleasure to get your comments, no matter where they are! 😉 I’ll sure try to read on your next purchase as well. Great week yourself!
        Mike

         
        Reply
  7. A Frugal Family's Journey

    Well done Ryan…that year over year growth is awesome! And equally impressive is your visuals. Must say, I really like your charts. It conveys the message quickly and clearly. Best of luck average $170/month throughout 2015. Continue putting your dividends back into the market while adding more should surely get you there!

    Keep up the great work! Have a great holiday weekend. AFFJ

     
    Reply
    1. My Dividend Growth

      Thank you for those very kind words AFFJ, it means a lot when someone with your level of success signs off on my progress 🙂 It’s also very reassuring to see another CA resident proving that FI is still possible with the super high taxes here. I’ll be keeping up the investments here, and I’m eager to see what you choose next!

      Have a great week,
      Ryan

       
      Reply
  8. JC

    Looks like a great start to the year. Even though you’re behind your required monthly average you had a good start to it with a fairly slow month for dividend payments. The biggest factor to determine success is whether you fully commit to the plan which your chart shows you have. Consistent saving and investing will supercharge the kind of yearly dividend growth you’ll obtain. Best of luck!

     
    Reply
    1. My Dividend Growth

      Great to hear from you JC. I’m excited to see the growth from here. This should be a much bigger quarter next time around with my recent additions of BNS and BEN. You’ve been a huge inspiration to me on the commitment front and you’ve shown how rapid this process can go. I’m hopeful that in a few years I can make about 50% more than I do now and that would do wonders for my contributions. Sending good thoughts to you and your family 🙂

      Take care,
      Ryan

       
      Reply

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