Another month has passed by, and it's time for me to post an article on my favorite subject: dividend income. The reason why I love to post articles on dividend income is because it's pure numbers. It's hard to argue the success of long-term dividend growth investing when you can slowly and surely see dividend income rise over time and get closer to covering one's expenses.
I'm including the dividends I received from the month of March. This past month, I received the largest total of dividends in one month so far in the two years since I started investing. It feels really great to see the progress I've made over the last couple years. One of the best things about dividends is that they are tangible. You can see them hit the brokerage account, and it surely makes it easier to separate your emotions from the day-to-day stock price fluctuations.
I hope these monthly dividend income reports provide inspiration for any investors out there that are just starting out. It's easy to see these payments rising month after month and it shows that it's possible to one day pay for monthly expenses with dividends, which would provide an investor opportunities and freedom to pursue other interests than full-time work. Without further ado:
March 2012 Dividends Received
- ConocoPhillips (COP) - $36.30
- Intel Corporation (INTC) - $15.12
- Aflac Incorporated (AFL) - $24.42
- Emerson Electric Co. (EMR) - $12.00
- Exxon Mobil Corporation (XOM) - $15.51
- Chevron Corporation (CVX) - $20.25
- Norfolk Southern Corp. (NSC) - $7.99
- Johnson & Johnson (JNJ) - $39.90
- McDonald's Corporation (MCD) - $9.80
- Harris Corporation (HRS) - $13.20
- UniSource Energy Corp. (UNS) - $17.20
- PepsiCo, Inc. (PEP) - $39.66
Total dividends received during the month of March: $251.35
That's a big month. It certainly helps that a huge chunk of my portfolio pays out in March, so I expect April and May to be lower. It should also be noted that I no longer own XOM. This total compares very nicely with the dividends I received in March of 2011, which came out to $88.76. The great thing about it all is that this income came without me having to do anything at all. I simply invested with quality companies who continue to reward patient shareholders with rising earnings and dividends. Sounds like a great arrangement to me! Although my expenses were higher in March due to taxes, at my usual spending level of ~$1,200 per month I was able to cover 21% of expenditures through dividends.
This is a great step toward completing my goal of receiving $2,000 in dividend income through the year of 2012. With the first three months of 2012 behind me, I've received a total of $563.53 in dividends. If I'm able to keep this pace for the rest of the year I'll easily exceed my goal. I'm already 28.2% of the way there!
I'll update my dividend income page to reflect March's dividends.
How did the month of March treat you?
Full Disclosure: Long all but XOM.
Thanks for reading.
Photo Credit: sscreations