As a way of tracking my progress towards financial freedom I total up the dividends paid to me each month. The end goal is to have my dividends cover my expenses. This is a long term goal, so I have a lot of years to go, but I find it encouraging to see my dividend income steadily grow over time. This reminds me that I’m on the right track and to stick with it.
My dividend income for August 2013:
Canadian Dividend Income
- Royal Bank – $15.12
- SNC Lavalin – $23.00
Total Canadian Dividend Income – $38.12
US Dividend Income
- AT&T – $16.65
- Proctor & Gamble – $9.46
Total US Dividend Income – $26.11
I didn’t earn a lot of income in August, but this was expected. This month of the quarter is always the lowest one. With my purchase of Potash Corporation of Saskatchewan I expect dividend income to increase. Potash pays out one of its quarterly dividends in August, but I purchased it to late, so I won’t start receiving the dividend until November. With my purchase of Potash I’ll add $46 per quarter in dividends to my dividend income.
Potash was my only purchase in August. I had my eye on Rogers Communications, but it didn’t quite make it to my $38 target. With the news that Verizon Communications is not coming to Canada, Canadian telecoms have bounced back up in price, making it unlikely that I’ll be able to buy Rogers below my target price.