Tuesday, July 12, 2022

A Major Milestone Has Been Achieved

As I'm writing this blog post, the temperature here in Central Wisconsin is reaching into the high-70 degrees Fahrenheit range. And these ideal temperatures are anticipated to last into the next few days. That's why I will aim to get outside as much as I can this weekend!

Equally as important, my dividend growth stock portfolio just reached a milestone. I'll detail what that milestone was and a couple of takeaways from it.

The First Takeaway: Annual Forward Dividend Income Accomplishments Are Getting Faster and Faster

My annual forward dividend income surpassed $3,000 at the start of July 2022. And experience has taught me that annual forward dividend income is very much the snowball rolling down the hill analogy that many have used before me. 

For context, it took me two and a half years to go from $0 in annual forward dividend income in August 2017 to $1,000 in March 2020. It took just a year and a half to reach $2,000 from that point in September 2021. And my most recent achievement clocked in at just 10 months to top $3,000 in annual forward dividend income.

Just as impressive is the fact that my annual forward dividend grew by $7.014 from dividend increases alone in June 2022. This was more than the double the $3.15 in net dividends collected in October 2017 - - my first month of being paid dividends.

The Second Takeaway: Every Extra $1,000 Provides Even More Motivation

What makes dividend growth investing especially great is that it is self-reinforcing. That is, the more success you have with the strategy through deploying fresh capital, reinvesting dividends, and receiving payout raises, you also aim higher.

And the success of the strategy has also allowed me to stay the course during market crashes like the COVID-19 induced bear market and the bear market that happened this year.

Concluding Thoughts:

I'm very blessed to have exceeded $3,000 in annual forward dividend income after four years and 10 months to the day that I made my first dividend stock purchases on September 5, 2017. With my undergraduate years behind me and my total net income rising with each quarter, the next $1,000 increments should come slightly faster than the 10 months it took me to move from $2,000 to $3,000 in annual forward dividend income.


What was your most recent dividend growth stock milestone?

Are you taking full advantage of the market downturn that has occurred in 2022?

As usual, thanks for reading. Please feel free to leave a comment below!