Dividend Income February

A bit earlier than usual I can report on my dividends of February because I already received my last dividend payment today. And what shall I say… the whole thing starts to make more and more fun right now. I received dividend payments from six individual companies, totalling € 116 which is a record for a “middle of the quarter”-month.

From now on I’m going to receive more than 100 Euros each February, May and August and November. All I have to do is to keep the stocks I’m currently invested in. As my plan is to even invest in more stocks, I can’t await to see my dividend income in one, five, ten or twenty years because it’ll be more than this 116 Euros for sure.

Here’s the overview:

AT&T € 24,64
Verizon € 19,80
Toronto Dominion € 11,15
AbbVie € 15,90
Kinder Morgan € 29,32
Procter & Gamble € 15,50

Compared to last year’s February it’s an increase of 261 %; compared to November 2014 it’s a 36 % increase.

I also reached a milestone which will be nice to track in future — with the AT&T dividend I received my first 1.000 Euros in dividends solely (including passive income from interest I received my first 1.000 “passive” Euros already a bit earlier). It took exactly 728 days to receive that amount – and if I could invest as I did the last 728 days, the second thousand Euros in dividends will find their way to my account even faster (I guess less than 365 days which would be half of the time for the same amount of money). Is that the snowball effect? I guess I started to roll a little ball two years ago which could be a nice, big, handsome snowball in one year. :-)

Recent Buy: Johnson & Johnson

I’m happy to announce that my portfolio consists of one further high quality company: Johnson & Johnson. I think I don’t need to explain what this company is doing and nobody needs stories about that 1886 founded company. I made a limit order couple of weeks ago because I wanted that stock in my portfolio and now I own it. :-) Didn’t take care a lot of numbers and figures, I just want to own it forever so I don’t really care if the P/E ratio is a little bit higher or lower than the last ten years.

Bought 27 shares @87,05 Euros.

Income & Expenses January 2015

First month of the year is over — I received my first dividends of the year and so I publish my income and expenses overview for this month as well. January’s expenses were higher than normally due to some health issues (my back… I’m getting old) as well as a nice dinner with a couple of friends at home (but with a lot of excellent food, drinks and more drinks :) ). Also some one time expenses for the houshold occured so January is typically a “bad month” regarding my expenses. The overview:

Rent (incl. groceries): -€ 800,000
Gym membership: -€ 109,00
Health insurance: -€77,30
LC insurance: -€ 16,57
Food@work: -€ 82,60
Restaurants: -€ 132,00
Sports: -€ 20,00
Entertainment: -€ 45,00
Food: -€ 14,85
Household: -€ 95,00
Drugstore: -€ 31,55
Doctor: -€ 140,00
Misc. memberships: -€ 52,20
VISA: -€ 249,60
Charity: -€ 36,00
Total expenses: -€ 1.901,85

Income: € 2.687,25

Saving rate: 29,23 %

Looks not pretty good at first sight, but I’m not totally unhappy with my expenses here. There are a lot of one-time expenses (doctor, drug store, the above mentioned expenses for groceries and household, VISA is the billing from December when I had to buy some gifts…) so I am very confident, that my saving rate will go up next months.

Recent Buy: Microsoft

Today I purchased 63 shares of a tech giant and a kind of legend within this sector — Microsoft Corp.

I think Microsoft is very well known to people who are running or working on a computer system. 90 % in Germany are using a computer with one of Microsoft’s operating systems installed. Microsoft Office, including MS Word, MS Outlook, MS Excel, MS Powerpoint…, is used by more than 1 billion people all over the world. Microsoft also wants to participate in the mobile sector, dominated by Google and Apple. At the moment, Microsoft does not play a relevant part in that business with a marketshare of less than 3 % (Google’s Android: 85 %, Apple’s iOS: 12 %). Despite that, I think Microsoft still has some room for general growth and looks into a bright future. The annual dividend of $1,24 (yielding 3 %) doesn’t hurt either.

msft
(2005: 3,40 $ special dividend)

Dividends January 2015

The first month of 2015 is over and so did I receive the first dividends this year. Not less than 78 Euros have been added to my account. Not enough to buy a Porsche each month, but enough to cover my monthly health insurance costs for example. January – as well as April, July, and October – are typically the “lowest dividend payment”-months as most companies within my portfolio paying out in the last month of each quarter. Even more impressive is the YOY comparison. In January 2014 I received just € 12,53 in dividends — meaning that this year’s dividend income is more than 6-times higher; +528 %.

The overview of each dividend payments:

Scana Corp. € 14,61
PepsiCo € 13,15
Disney € 21,68
Cisco € 13,37
General Electric € 15,94

Toronto Dominion Bank usually pays out in the 1/4/7/10 rhythm, but due to the fact they pay out on the last day of each month, the payment is shifted to the month following.

Yay — I just paid myself 50 Euro!

Haha, it’s actually not a big deal, but I just repaired/cleaned a blocked drain in my bathroom. Small step for mankind, huge step for DividElephant who is the most untalented individual on earth regarding home improvement things…

Asked a friend who is an electrician what the current rates for a craftsman are (I don’t think there’s a big difference in electrician and plumber tariffs?): € 75  per hour plus material costs and eventually a call-out fee depending on where to go. The cleaning itself just took a few minutes so I guess they would’ve charged me 0,5 hrs (€ 37) plus materials which I charge with € 10 and € 0 call-out fee because I would’ve find a plumber nearby. Adds up to an amount of 50 Euros; 50 Euros saved, 50 Euros that can be invested now and earn money in return!

Income & Expenses December 2014

The last I&E blogpost for the year 2014 is a good one in terms of figures. December’s always an expensive month because of charity and christmas-gifts. But this year I received actually more in cash-gifts than I spent on gifts and charity. I’m very happy with my overall December expenses as they were pretty low. Here’s the overview:

Rent (incl. groceries): -€ 725,00
Gym membership: -€ 109,00
Garage: € 0,00
Health-insurance: -€ 74,89
LC insurance: -€ 16,57
Food @ work: -€ 34,20
Restaurants: -€ 89,00
Entertainment: -€ 77,00
Food: -€ 66,55
Household/Drugstore: -€ 14,00
Mobility: -€ 9,00
Credit Card: -€ 70,00
Total Expenses: -€ 1.285,21

Income: € 3.150,60

Saving rate: 59,20 %

My expenses in the last quarter of 2014 were very low, average of less than 1.500 Euros. I think that’s a pretty good number which I will try to beat also in future. Unfortunately my saving rate did not exceed 60 % — but I will take this as another challenge for 2015. Also worth to mention is the expenses-passive income ratio for this month: more than 16 % of my December expenses have been covered by passive income (dividends & interest)!

I’m also happy with my Year 2014 expenses. In total, I spent € 23.000 of which € 12.245 were rent & groceries (53 %) and € 10.670 (47 %) were spent for all the other stuff like entertainment, car/mobility, additional medical costs, restaurants, partying, etc. But of course I try to spend in 2015 less than these 23.000 Euros.

Recent Buy: Verizon

My recent buy for the month of January is Verizon Communications (VZ). I bought 55 shares at € 39,55 (again perfect intraday-timing… not) — bringing something around 75 Euros of fresh dividends in 2015 to my brokerage account. It’s almost exactly one year after my purchase of AT&T; and I thought it’s a good time of buying the second big telecommunication service company just before the ex-date. With these two companies I think I covered the telecommunication services sector quite good in my portfolio and I don’t think that I will add another company during next years. I just want to show some figures, that show the power of these two companies:

AT&T Verizon
Revenue $128 bn $120 bn
EBIT $31,7 bn $31,9 bn
Employees 243.000 176.800
Customers >110 mio. >140 mio.

It shows some cool numbers: total revenue is something around $250 billions — that’s more than the annual GDP of Ireland. T and VZ are employing as many people are living in Miami. And the amount of customers equals to more than one third of whole Europe’s population (which is the sum of Germany’s, UK’s, France’s and Spain’s population – it’s like every single German, Brit, Frenchman and Spaniard would use AT&T or Verizon).

I’m very confident that I will hold these two companies for ages and I’m looking forward receiving dividends quarter by quarter that also increase steadily.

2014 in review – WordPress annual report

Even if it’s not really relevant, I like the way the stats & figures are presented. Happy new year to everyone!

The WordPress.com stats helper monkeys prepared a 2014 annual report for this blog.

Here’s an excerpt:

The concert hall at the Sydney Opera House holds 2,700 people. This blog was viewed about 9,000 times in 2014. If it were a concert at Sydney Opera House, it would take about 3 sold-out performances for that many people to see it.

Click here to see the complete report.

Dividends December 2014

Today I received the last dividend in 2014. Coach’s dividend of 15,36 Euro has been credited to my account. In total, I received not less than ten individual dividend payments, which is a nice feeling receiving an email regarding a dividend payment every three days. December’s dividends set a new monthly record: € 145,89 which is five times the amount of the Dec. 2013 dividend.

The overview:

Wells Fargo € 11,24
Pfizer € 16,35
Unilever € 17,03
IBM € 9,84
Chevron € 15,95
Du Pont € 14,00
Coca Cola € 12,72
McDonald’s € 15,19
Total SA € 18,21
Coach € 15,36

YOY: +517 % (28,24 to 145,89 Euro)

My passive income for December is going to increase a little bit more, as the interest from my savings account is credited at the end of the year, so I think a few bucks will be added on this amount.