Here we are, June of 2016. It has been a very big year thus far and I have climbed another rung of the illustrious ladder that we are all holding. The steepness to the ladder and the climb up is definitely hard mind, body and soul - but this was never supposed to be easy, and what is the point of going for something if it isn't a hard road? This has definitely been worth it and I have learned a vast amount of information and simpler techniques on the way… Yes… you read the title correctly, this month events and activities have allowed me to Crush through $7,000 in projected dividend income!
Crushing $7,000 in projected dividend income
Soon after the numbers were plugged in after my recent purchase of 30 shares of Target (NYSE:TGT), the number turned to over $7,000 in projected dividend income. What's funny, is after a few more reinvestments over the weekend, my projected income is actually at $7,081! I cannot believe it. It has been almost 10 months since I last cruised over another $1K mark, as back in August I leaped over the $6,000 projected amount. It took around 8-9 months to go from $5K to $6K and then 10 months to go from $6K to $7K.
This was a hard milestone to breach. As we all know, I took a huge smack when Kinder Morgan (NYSE:KMI) made the decision to cut their dividend. This took a punch that carried a negative $214 to the projected dividend income. That round in the ring was a hard one to push through, that's for sure. Just when I thought that was over, BHP Billiton (NYSE:BBL) came in as well to the next round with a left hook.
This took a rung down of $116 to my projected income as well. Just hard punches to continue to persevere through. But perseverance occurred. Since then, the focus has been even more, as my 2016 goals and strategy have changed to combat these decisions/difficult times. Not only did I have to increase my income, but I had to also make up for over $330 in lost projected income from these two entities, something that would take close to $10,000, depending on the dividend yield of the stocks to be invested in. The road was cracked to get to $7,000, that's for sure.
How I Crossed crushed $7,000 in projected income
How did I do this? After establishing the 2016 goals and entering the year at a projected $6,505 (before BBL's cut), it didn't seem that daunting to cross. Obviously, take $116 away once BBL announced the cut and I'm back at $6,389. So truthfully, I had to add $611 to cross it. Of course, to which I can't stress it enough - I aim to save at least 60% of my income, each and every month.
I truly believe that you can make a fair amount of money, but if your spending/saving habits aren't there, then you are just as far away as a person who has no ability to generate income. Even with weddings and other festivities, the tax bills, vacation/getaways this year, I know I am still well over saving 60% of my income, to which I am fortunate, but it has been a hard form to do this in.
Additionally, I have made some MASSIVE investments, as one of my goals is to make at least three $3,000+ purchases into aristocratic type entities, I have done twice - Archer Daniels Midland (NYSE:ADM) and T. Rowe Price (NASDAQ:TROW). Additionally, there have been quite a few dividend increases along the way, as well as plenty of dividend reinvestment into more shares that are producing even more income for me.
This month of June has already been a blessing, with my recent investment into Target and it being one of my best dividend income months ever. The reinvestment of that plus the purchase propelled me to fly over the $7,000 mark easily. And there are still more dividends I have yet to receive for June, so I know I may even be well over the $7,100 mark by the end of this month.
Here below is the screen capture of my spreadsheet showing the exact amount going forward. Where does this leave me? In my mind, I now have 6 months to generate somewhere between $800 and $900 of forward dividend income to reach my goal I set as a projected amount by the end of the year of $8,000. That is still a LONG ways to go, but I see that I went through something VERY similar for the first 6 months. Therefore, I am ever motivated to get there. I love the clockwork action of dividend investing! See the shot below:
The journey is not over. The journey is still in the early phases, but I am happy to smile and nod my head to this one. I know Bert is climbing the rungs as well, and he is seeing how fast it starts to become a journey, with the more that you do and time playing its part. Time is a huge piece to this puzzle. This income number, by itself, can grow dramatically, with no further investment. However, with fresh capital, new shares of sound fundamental companies, you propel that into the next gear.
I am so damn fortunate to have this sort of income, where I know if something happened in my life, $7,081 translates into $590 per month to aid in my expenses and life. Once I reach $8,000 THIS YEAR, that number will be $667, and will be even closer to my recently updated monthly living/housing expenses. I'll take a day to celebrate now, but I'm not finished. Time to put the foot down on the pedal and go full throttle on this epic journey. I could not have done this without one of my best friends in Bert, the lady for supporting me, the community here and all other individuals in my family and friends. Thank you.
With over $7,000 now - do you guys celebrate a milestone ever? I know Hustler recently cruised over a projected $30,000! And he took time to realize that and give a little nod to that epic milestone. Are you reaching your goals this year? Thoughts on over $7,000? Think you are far from or was this amount a thing of the past? Thank you everyone for sharing your thoughts, suggestions and comments. Talk soon and keep GOING!!!