Dividend Income Summary: March 2024 Summary

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It's time to dive into my March 2024 dividend income results. Were records set? Am I almost to financial freedom? Let's take a look.

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.

I also automatically invest and max out, pre-tax, my 401k through work and my Health Savings Account. This allows me to save a ton of money on taxes, 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 takes the emotion out of timing the market and builds onto my passive income stream.

Growing your dividend income takes time and consistency. Investing as often and as early as you can allows compound interest (aka dividends) to work it’s magic. I have gone from making $2.70 in a single month in dividend income to well over $10,000+ in a single month. My dividend income record was set in December of 2021.

The power of compounding and dividend reinvestment is a wonderful component to the portfolio. Each and every month, whether big or small, I continue to report the passive income that dividend investing provides me.

Note: not pictured is my wife’s dividend income above.

I want to show you that dividend investing makes it possible to achieve financial freedom and/or financial independence. We all start somewhere, but consistently investing, compounding (reinvesting) dividends, and keeping it simple all allow you to be in a significantly better position than most. Further, if I can grow this portfolio and income stream, you can, too.

Dividend Income in March 2024

Now, on to the numbers. In March, we (my wife and I) received a dividend income total of $5,888.56. This is the first $5,000+ month in the book.

The amount and number of stocks listed below show you what it means to buy and hold for the long-term. Most of the positions are ones I have owned for years, letting dividend growth and reinvestment do it’s thing. This is what dividend investing for financial freedom is all about. The passive income stream is growing at a rapid pace.

The S&P 500 is already up 6%, down from the plus 10% it was previously at. The war potential between Iran and Iraq appears to be real, rates will likely remain higher for longer, and inflation is still hot. What an economy.

The Fed has now paused for six months, as they will let data and the interest rate hikes they’ve done over the last two years really sink in. Expectations include the rate cuts for next year. Will it be 2? Will it be 3? Who knows? I personally turn off the noise and keep investing.

Here is the breakdown of my dividend income for the month, between the taxable and retirement accounts. In addition, “W” indicates my wife’s account.

Some of my oldest stock positions pay the most.

Aflac (AFL) is a perfect example. Over $140 has been given in dividends, all from reinvestment and dividend growth for over a decade. McDonald’s (MCD) is another one closing in on $100, similarly owned for over a decade. In fact, many dividend aristocrats paid over $100, including Target (TGT) and T. Rowe Price (TROW).

My Vanguard trifecta is really coming into play, where Vanguard’s High Dividend Yield ETF (VYM) paid over $872 in dividends when combined with my wife's account. We buy VYM every week, and have been since July 2020. It was also nice to see Vanguard’s S&P 500 ETF (VOO) cross over $140 in dividends for the quarter.

I also split out my retirement accounts in the far right column, and the taxable account dividends are in the left two columns. The retirement accounts are composed of H.S.A. investments, ROTH, and Traditional IRAs, as well as our work 401(k) accounts.

In total, the retirement accounts brought in a total dividend income amount of $2,367.19, or 40% of the dividend income total. It's nice to see that the majority of the dividends in a quarter-end month comes from the taxable side.

Dividend Income Year-Over-Year Comparison

Here is our dividend income for 2023:

Here is our dividend income for 2024:

Our dividend income is up $181.02, a 3% increase from last year. It's not that significant, which is surprising. What could have happened?

Some of the main reasons were due to timing. The timing of the dividend can skew results. We had a few dividends hit on the first part of April, versus typically at the end of March. Those stocks were:

  • Pepsi (PEP)
  • BHP Billiton (BHP)
  • Kraft (KHC)
  • Travelers (TRV)

Therefore, we are missing a few hundred in dividend income in March of this year. We normally would have had received that amount, but it will be added to the dividend income total for April instead.

Additionally, the dividend cut from Intel (INTC) is evident here, which had a $60 impact.

Dividend Increases

I received 4 dividend increases in March 2024, 3 less than last month. However, 2 really solid dividend increases were announced.

The best dividend increase below was Armanino Foods (AMNF). This consumer goods company came in with a 10% dividend increase, adding almost $14 alone.

Another one to mention is General Dynamics (GD), which provided another consistent dividend increase.

In total, dividend increases created $30.41 in additional passive dividend income. I would need to invest $869 at a 3.50% dividend yield in order to add that income.

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 life on your own terms.

Therefore, 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 make sense.

I'm excited for the future, no doubt. Furthermore, all of the investing from last year and moves this year show that my aim to save 60% of my income, as well as making every dollar count, has provided the dividend growth.

More By This Author:

Dividend Stock Watch List: April 2024 Edition
Dividend Stock Purchase Summary - Sunday, Feb. 18
Dividend Stock Watch List: January 2024 Edition

Disclaimer: I do not recommend any decision to the reader or any user, please consult your own research. Thank you.

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