Dividend Income Update April 2016

It’s dividend income update time. One of my favorite times of the month as I get to review my previous month of passive income received from my dividend income portfolios.

 

As we have witnessed thus far in 2016, the market will do whatever the market will want to do. No amount of statistics, economic data nor talking head predictions could have called the incredibly weak start to the year we had, nor the amazing rebound either. We have witnessed oil prices climb out of their recent depths along with gold, silver and other commodities seemingly shaking off some of their collective dust. Seeing all these market highs and lows occur every few months just reminds me of why I became a dedicated dividend growth investor. As you know, my primary concern is the increasing of my passive income every year without having to worry about the roller coaster ride the market, individual stocks or commodities have to go through. One thing I like about being a dividend investor is the reliability and predictability of the returns. With that being said, let’s take a look at my April 2016 dividend income.

 

Dividend income from my taxable account totalled $277.55 up from $261.36 an increase of 6.2% from April of last year.

 

Dividend income from my ROTH account totalled $135.84 up from $94.80 an increase of 43.3% from this time last year.

 

Dividend income from my IRA account totalled $0.00 equal to $0.00 from this time last year.

 

Grand total for the month of April: $413.39 an increase of 16.1% from April 2015.

 

Brokerage Account

Year to date dividends: $1,180.80

DateDescriptionSymbolAmount
04/01/2016DIVIDEND:KOKO$32.21
04/04/2016DIVIDEND:KMBKMB$32.31
04/04/2016DIVIDEND:JCIJCI$19.58
04/07/2016DIVIDEND:ITWITW$30.84
04/08/2016DIVIDEND:KHCKHC$31.99
04/11/2016DIVIDEND:PMPM$38.37
04/12/2016DIVIDEND:DEODEO$43.95
04/14/2016DIVIDEND:MDLZMDLZ$5.42
04/21/2016DIVIDEND:CBCB$6.01
04/25/2016DIVIDEND:GEGE$36.87
Total: $277.55

ROTH Account

Year to date dividends: $476.40

DateDescriptionSymbolAmount
04/01/2016DIVIDEND:KOKO$10.32
04/04/2016DIVIDEND:KMBKMB$6.60
04/08/2016DIVIDEND:KHCKHC$19.68
04/11/2016DIVIDEND:PMPM$7.37
04/14/2016DIVIDEND:MDLZMDLZ$7.31
04/28/2016DIVIDEND:BNSBNS$84.56
Total: $135.84

IRA Account

Year to date dividends: $131.37

 

The proof of our dividend investing strategy rests in these real results. After all, dividends don’t lie. It’s real cash being returned to investors. With patience and consistency these results and better can be achieved.

 

Are any of these dividend stocks in your portfolio too? How was your April dividend income? Please let me know below.

 

Disclosure: Long all above

72 thoughts on “Dividend Income Update April 2016

  1. hey DivHut,

    16 percent increase since last year is nice. 🙂

    I have some questions
    I read about it in a lot of blogs, whats the difference between taxable, IRA and ROTH accounts? I am from Austria, dont think we do have something like that.

    Another question I have is the following:
    Is it okey for you, if I share your income posts in my blog too? in the future I will make an income article about my favorite bloggers, so we can connect a little bit more trough the articles. I will share a link to the website of the bloggers erverytime. Will it be okey for you if I will post your monthly income on my blog as well?

    keep up the great work 🙂
    easydividend recently posted…Was bewegt die Märkte? – Teil 1My Profile

    • Hi easydividend,

      You won’t hear me complain about a 16% year over year increase. You just have to love this investing style. To answer your question about the different types of accounts, a taxable account is a regular account in which all income derived in that account is taxable in the current year. In other words, taxes must be paid every year on anything that’s made in that account. The IRA and ROTH accounts are different retirement accounts that are not subject to yearly taxes. An IRA is created with money that has not been taxed and any income derived in that account is not subject to yearly taxes. Your income can grow and grow without paying any taxes until you pull the money out at retirement at the minimum age of 59 1/2. Once you pull your money out you then pay the taxes on the income. In this way, an IRA allows for faster compounding growth because the taxes are deferred until retirement age. A contribution you make to an IRA is tax deductible in the year you make it. A ROTH is also a retirement account but it is used with money that has already been taxed and thus can grow tax free till retirement age. I tried to keep my explanation as simple as possible. Obviously, there is more to these accounts but those are the general differences. I had a nice time in Austria a few years back. I visited Salzburg and Vienna. You are welcome to share my income posts on your blog. Thank you for asking and for commenting.

      • hey, thank you very much for the explanation!
        I dont like Vienna, its to busy for me, but I love Salzburg 🙂 I am happy that you liked it:)

        thanks, today the first income post summary will apear on my blog.
        wish you the best for a 16 percent increase in 2017 😉
        easydividend recently posted…Was bewegt die Märkte? – Teil 1My Profile

        • Hi easydividend,

          My pleasure. I hope I was able to clarify any questions you had. Thank you for including DivHut on your own blog too.

    • Hi JC,

      I’m already on track to beat my 2015 dividend total by a nice sum and as you know part of that is because of my consistent buys. I will continue to put fresh capital every month no matter what the market is doing. Thank you for your continued support.

  2. A 16pct dividend income increase is a real nice result. Keep up this good work and soon your dividends will shower you with cash each month.
    I don understand your thoughts on the roller coaster of the stock market vs the nice stable income from dividend stocks.
    amber tree recently posted…Perspective from a charity runMy Profile

    • Hi at,

      One of the fun parts of being a dividend growth investor in solid companies with reliable dividends is watching your income increase year over year every single month. Just imagine getting that kind of raise from a regular job. It just doesn’t happen. In my post I mentioned that I do not really enjoy watching the extreme volatility in the stock market with wild swings up and down every few weeks. As you can see the market can be very irrational and can move any which way, but dividends are a lot more stable and reliable. You can predict your future dividend income with much more certainty than you can predict the price movement of a particular stock or index. Thank you for commenting.

        • Hi ambertree,

          It can be rough investing “freely” when certain countries tax income from foreign holdings at such a high rate. As an American investor we are also subject to high withholding taxes if we hold certain foreign stocks in our accounts. It’s not all free an easy here. We have to consider taxes as well. I think you have the right idea by focusing your investments on the “home front” and sticking with Belgian global companies to minimize your tax consequences.

  3. Nice YOY, especially in that Roth. Like Amber said above 16% when the market is doing its best to keep the active investors guessing. Also interesting to note that CB is back to paying a dividend – still surprises me they did not give out shares of ACE in that merger / purchase event.
    Dividend Gremlin recently posted…April Review / May Preview, 2016My Profile

    • Hi DG,

      You hit the nail on the head with that comment. Active investors will keep guessing and predicting but I can predict with much more certainty where my dividend income will be in any particular month. I would much rather have that kind of reliability than depend on the fickle and irrational nature of the market. When the CB/ACE deal went through we got shares in the new company plus cash instead of shares in ACE. Thank you for stopping by and commenting.

  4. Thanks for sharing Keith. Keep it up. That’s life changing money there and the more the better. Dividends received is one of life’s pleasures 🙂
    Hope your enjoying the ride and have a great weekend bud. Cheers.

    • Hi DH,

      I’m totally enjoying this ride and much more so since I began to blog about it. I feel more intimately connected to my portfolio and what it produces which is a great benefit of blogging. Thank you for your continued support and encouragement.

    • Hi IH,

      It’s a pleasure to report these monthly dividend income totals and seeing the year over year increases. It just shows me that I’m headed in the right direction slowly but surely. The push towards FI continues. Thank you for stopping by and commenting.

    • Hi Tawcan,

      Thank you for your kind words. I just want to keep putting up solid year over year increases each month and I’ll be a happy camper. As always, I appreciate your comment.

  5. Nice job on the 16% increase this month DivHut! Not easy to do in a month like April where there are less dividend paying companies than the more popular third month of the quarter. You summarized the market perfectly and it is tough to pin down what exactly caused the pull back at the beginning of the year and then this subsequent two month rally. I hate when the market acts irrationally. It is just a good time for us to compile our cash and wait for the perfect opportunity to strike. It will eventually and when it does, we are all going to pounce on it!

    Again, great progress!

    Bert
    Dividend Diplomats recently posted…Stanley Black & Decker, Inc. Stock Analysis (SWK)My Profile

    • Hi DD,

      I guess the one thing to remember is that the market always behaves irrationally. Think about how much a stock pops or drops based on expected earnings or some other news event. Businesses do not change that quickly, positively or negatively. I always have that thought in the back of my head when I see some of my holdings deep in the red. For me, it usually screams “buy more.” I guess all you can do is ride out any interim storms and just rely on the more dependable and predictable dividend income. While not guaranteed, dividend income never changes as dramatically as stock or commodity prices. Let’s keep the momentum going as we approach the half way point of 2016. Thank you for stopping by and commenting.

    • Hi R2R,

      Obviously, I like each of these companies for a variety of reasons but if I had to pick one super solid, long term, boring business I’d choose ITW. This is not a recommendation by any means, especially today as ITW had a pretty nice run up since January but I like the overall business model and product suite of ITW. It’s a company often referred to as a mutual fund of companies as it owns a very diverse set of businesses all under the ITW umbrella. The race continues my friend. Thank you for your comment.

    • Hi FV,

      Yes, yes, yes, yes, yes. I’m going! These updates keep feeding fuel to the investing fire. I’m in no way finished building. Thank you for the continued encouragement.

    • Hi MI,

      Thank you for your kind words. I think these posts are always inspirational to anyone who reads them as they show, in reality and not in investment theory, what dividend growth investing can achieve. I appreciate your comment.

    • Hi Chris,

      True, that April tends to be a slower month in terms of dividend income received but the main goal is to continually put up decent to good year over year gains. As long as I see a nice percentage increase I know I’m headed in the right direction and on pace to beat my previous year passive income totals. Thank you for your comment.

    • Hi TCF,

      That’s the name of the game… growing passive income each and every month. I’ll gladly take a 16% raise any day. Thank you for your continued support.

    • Hi BSR,

      You already know from my portfolio that I like to stick with the more “boring” dividend payers than chase high current yield. I’ll gladly take $400 from high quality dividend payers that are sustainable. Thank you for stopping by and commenting.

  6. Hi Divhut,

    again pretty nice month. Everything above 400$ is really great. I had a solid month but May is already awesome thanks to the german stocks I already have an income of more than 100 EURO 🙂

    • Hi DI,

      You won’t hear any complaints from me about my passive income earned. Not to rush things, but I’m already looking forward to the half way mark of 2016 so I can get a better picture of my potential earnings for the year. Looks like you are rocking and rolling with your passive income this month. The joys of dividend investing. As always, I appreciate your comment.

  7. Nice YoY increase! It’s always great to see the payout increase year over year. I just strated tracking mine and I’m still far from where you are but i hope to see similar increases as dividends grow and I get more shares. Good luck!

    • Hi timeinthemarketblog,

      I have to admit that one of the benefits of starting this blog was seeing and tracking my year over year increases. Prior to the creation of DivHut, I knew dividends were rolling in but never fully appreciated the increases I was making year over year nor seeing my progress throughout the year. Just stick with the solid sustainable dividend payers and you should do well long term during all market conditions. Thank you for commenting.

  8. So right about the Market. I’m still learning SO MUCH about how the market works and all I’ve learned is I know nothing and no one else does either. It’s so nice being a dividend investor because no matter what, I receive money each month. Although your monthly income is $400 more than me this month, I will catch up 😉

    Thanks for sharing as always DivHut.

    • Hi WS,

      Don’t ever forget that fact that no one knows about the future of the market nor any particular stock, legally. Two years ago, when oil was well over $100 a barrel, you would have been laughed at to “predict” oil falling to the $20s within a year to year and a half. Similarly, no one knows where it’s headed. Just invest in real businesses that churn out good revenue and profits every quarter like clockwork, stay diversified, don’t panic sell or feed into the talking heads on TV and you should do just fine long term. While dividends, are much more reliable and predictable than stock or commodity prices, you should also remember they are never guaranteed as many can attest to recent energy sector dividend cuts. Still, with cuts or even eliminations, if you have a basket of many solid stocks you can still post year over year gains. Thank you for your comment and continued support.

    • Hi DL,

      Something to smile about, indeed. I still cannot understand why there are so many detractors for this investing style? I display my year to date income each month on these posts above the tables that show the stocks that paid me but I do not make a formal comparison to year to date income changes. As long as there is a year over year increase to report I know I’m ahead of last year and on track to set a new passive income goal. As always, I appreciate your comment.

  9. Good job with the 16.1% increase in the past year. If you can maintain that growth rate, year after year then the power of compounding becomes mighty indeed. Assuming your growth rates stays at 16.1%, April 2017 dividend income will be $479.95, April 2018 dividend income will be $557.21, and April 2019 will be $646.93. Keep it up!

    • Hi DQ,

      Thank you for your words of support. Your comment highlights one of the great benefits of being a long term dividend growth investor, compounding. With fresh capital being added, dividend raises and continual reinvestment the income returns should be even greater each year. Thank you for stopping by and commenting.

    • Hi Dividendsdownunder,

      Getting a 16% income raise is not too shabby in my book. I’m quite happy with my results. For now, my taxable and ROTH accounts have a similar makeup, though much smaller, and my IRA is exclusively filled with REITs. I don’t foresee any changes to this order anytime soon though one day I’d like to do an IRA to ROTH conversion. Thank you for commenting.

    • Hi EL,

      My goal is to always report a year over year increase. They may be large or small increases but I just want to know that I’m moving forward as a whole. The hard part of investing in this manner is the slow start we all experience in the beginning of our dividend growth journey. The compounding returns are often quite small but with patience and consistent investments the real magic eventually takes hold of your portfolio and the returns really become magnified. Thank you for your continued support and comment. It’s much appreciated.

  10. Looks like another Q to Q breaking record! Awesome, bro! My savings is depleted after buying that rental, but your post is really help validating the fact that being in the market is better than out of the market, the number keeps going up and up!!

    • Hi vivianne,

      With each passing month that I’m able to show a year over year increase, I’m happy. As you already know, being a dividend growth investor it’s always best to have your money working for you than sitting on the sidelines. Congrats on your recent rental buy. Though your savings might be depleted you can be happy in the fact that you put your money to good use rather than waste it on some nonsense. You are building up future equity and invested in an income producing asset. In my book that’s a good thing. Thank you for stopping by and commenting.

  11. I’m interested in your thoughts on how to select the % for any one given holding. Putting more in one basket now, vs higher purchase/sale/paperwork/time monitoring more securities/waiting to purchase – what were the tradeoffs or rules for you? Any good resources you recommend?

    • Hi AL,

      I don’t have any set rules about how I allocate my assets. At best, I have general guidelines I like to follow based on my level of comfort and tolerance for risk. I like the consumer staples the most and will always make that my largest sector overall but within each stock I do not follow a concept of being “fully invested.” In general, I like to average down on my positions so if a stock is in the red, even if it is outside a sector I favor I tend to buy more at the lows. I think it’s most important to focus on stock allocations within a particular sector rather than trying to find some arbitrary figure for determining a percentage of your holding. I hope this answers your question. Thank you for commenting.

    • Hi FP,

      Thank you for your kind words. As long as I make consistent buys each month and reinvest my dividends along with annual dividend raises, I know I can count on always increasing my year over year totals. I appreciate your comment.

    • Hi FTPI,

      I appreciate your support and happy to inspire with my real world results. I’m sure you already know it’s quite addicting watching your dividends rise month after month on a year over year basis. Patience and consistency are both key. Thank you for stopping by and commenting.

    • Hi AB,

      Thank you for your kind words. One thing about being a dividend growth investor is that you have to realize it’s a marathon and not a sprint. Many new dividend investors are eager to juice their returns from the start which often leads to poor buying decisions as many chase unsafe high yield. I welcome you back to DivHut any time and hope you can learn from my real world portfolios. Thank you for stopping by and commenting.

  12. Hi DivHut,

    Well done, good to see an healthy increase from last month.

    As you are a dividend expert, I have a question for you.

    I have invested in some US’s ETFs, and I got the dividends every month, but I notice a 30% TAX. I was shocked.

    In Asia region sometimes the tax on the dividend is 10% or 15% max. Is it normal to get taxed 30% in the USA?

    Appreciate your reply and valuable time.
    Rudy SMT recently posted…Trading Strategy; How to profit from stock movementsMy Profile

    • Hi SMT,

      It’s always very satisfying to report year over year income raises especially when there are times when little new money has been added to your account. To answer your question, dividends or distributions are taxed at different rates. While I do not know the specifics of the ETF you have invested in, I can tell you that regular, qualified dividends are taxed typically at 20%. However, not all dividends are created equally. Some are distributions, return of capital or some other form of payment that may be taxed as regular income which can be at 30% or more even. Typically, regular dividends, from regular U.S. corporations are taxed at 20%. Names like MCD, MMM, CAT, PG, CLX, etc. pay out regular dividends. REITs, MLPs and ETFs are a different kind of animal and do not pay regular dividends rather “distributions” which are taxed at higher rates. Hope this helps shed some light that not all dividends are created equally.

    • Hi ACI,

      You know the drill… fresh capital, dividend raises and reinvestment all help that dividend snowball grow. I’m plenty happy with double digit year over year gains. There’s nothing wrong with that 🙂 Thank you for stopping by and commenting.

  13. Hi DivHut

    Great dividend income you’ve got in April. Keep the snowball rolling.

    Now I’m looking for an Investor that will invest in my Ecommerce that I’ve started in May 1st.

    Thanks

    Sharon
    divorcedff recently posted…WantedMy Profile

    • Hi divorcedff,

      The snowball does indeed continue to roll and get larger. You already know the long term benefits of being a dividend growth investor. As long as I can put up year over year gains I know I am headed in the right direction. Congrats on your new e-commerce venture. I’ll take a look at what you are selling. As always, thank you for commenting.

    • Hi MF,

      Thank you for your kind words. I eagerly look forward towards the end of each month as I tally my dividend totals and see how it compares on a year over year basis. As always, I appreciate your continued support.

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