Dividend update: June

By | July 1, 2016

Dividend update June 2016 - dividends down under blog

Author: Mr DDU.

Disclaimer: Stocks mentioned on this blog are for general entertainment/documentation purposes only, following our own investment journey and decisions. Nothing in this article should be considered investment advice nor is intended to be investment advice. Please click here to continue reading our disclaimer. By viewing any page on this blog you are agreeing to the linked terms & conditions.

One day we want to be able to live purely off the income from our investments. The earlier this happens in our lives, the better.

How do we know if we’re getting any closer? By tracking it of course.

Our dividend updates and graphs run from 1st July to 30th June each year, lining up with the Australian tax year, so this was the final tax month.

 

 

Dividend Update

In June 2016 we were paid the following in cash and franking credits:

  • Total $0.

 

Below is the graph showing our total yearly dividend income for the 2016 Australian financial year:

Dividends Down Under Dividend Graph June 2016

With the year gone, that’s an average of $40.07 a month and a total of $480.81. The average has decreased from $43.71 since our last dividend update for May.

What this sadly means, is that we didn’t hit our $500 target. So what happened? Well, all of our new purchases don’t pay until later months, and the main reason was good old Slater & Gordon (ASX:SGH) cancelled their dividend for the second half of the year. If they’d just paid the same dividend as the first half, then we’d have made it. We’ll post an article on their situation soon.

Oh well, life happens and we learned a lot of lessons from our SGH investment; it’s way better to learn these lessons at the start of our FIRE journey (and young) rather than being 20 years in and tens of thousands of dollars are at stake.

We’re really happy with our first blogged year of dividend updates; almost $500 is a great start! If we made no more purchases, $500 can do a lot of compounding on its own. Even though IVF is making our investment journey a slow start, we’re glad we’ve started and we are learning a huge amount financially (and about life in general) every week by being on this FIRE voyage.

How was your June for dividends?

 

Thanks for reading this article about our investing journey Down Under.

Onwards and upwards!

35 thoughts on “Dividend update: June

  1. Jeff

    Keep up the good work! Your dividend passive income can only grow from here. 🙂

    1. Dividends Down Under Post author

      Hey Jeff,

      Exactly right – we have only just started on our journey and it’s going to get better from here, we’re going to be in a stronger & stronger position 🙂

      Mr DDU

  2. Charlie

    Good first year! Can’t complain too much about ‘only’ hitting 96% of the target:)

    1. Dividends Down Under Post author

      Hey Charlie,

      Thanks, it has been a pretty good year for us 🙂 96% is still fantastic and the fact we’ve started is what matters.

      Mr DDU

    1. Dividends Down Under Post author

      Hey Stefan,

      We’re not down about the goal at all. We achieved 96% of it, we weren’t 4% off. These things happen, and hopefully our portfolio will be nicer from now. We’re looking forwards to the next year too, thanks for following along. 🙂

      Mr DDU

  3. DivHut

    Thanks for sharing your recent dividend update with us. Some months just turn up goose egg especially if you are just starting out. Still, you came pretty close to your $500 goal for the year and I’m sure the next 12 months will bring in substantially more than this year. Averaging $40 a month can take care of your cel phone bill and more. Just think about free cel phone service for a year or maybe internet access? Bottom line, you are headed in the right direction. Keep plugging away and hope to hear some good news on the IVF front.

    1. Dividends Down Under Post author

      Hey Divhut,

      We really appreciate your encouraging words. You’re right, we are just starting out and $500 is nothing to be sniffed at in the slightest. We can already pay for a number of things which should help out our finances.

      I hope we can give you some good IVF news this year too.

      Mr DDU

  4. Dividend Diplomats

    Don’t worry about the $0 mark! You have set the table for future periods through investing this month. Looks like you remedied this and should receive some income in the third month of each quarter!

    Bert

    1. Dividends Down Under Post author

      Hey Bert, don’t worry we aren’t worried 🙂 Australian companies tend to pay half yearly, most of them in March & April and September & October. As long as the yearly total is going up strongly, that works for us. We have bought some companies that will pay in some of the missing months.

      Mr DDU

  5. MrSLM

    You’re definitely right in that it’s best to learn all your lessons early when the stakes are low 🙂 Sucks to see the $40 average down from $43 last month, although I’d be curious more about your 3-6 month averages instead, as well as projections going forward. I’d bet those tell a different and much more optimistic story. Dividends aren’t consistent month to month, so it doesn’t really make much sense to average them that way even though we all do!

    1. Dividends Down Under Post author

      Hey Mr SLM,

      Thanks for your nice comment 🙂 I have thought about including longer averages, but I don’t want to go too crazy on graphs either. Perhaps we can add a 6 month average graph soon – I think 6 month would be fairest as most Aussie companies pay half yearly.

      Mr DDU

  6. humblefi

    When I read this, it reminded me of my own early days. I started my FI journey in 2014 but I did not have monthly progress updates. And I was definitely not in my twenties! My monthly passive income was so puny by comparison to the FI bloggers that led me to the FI path and I used to wonder…is the FI path real? And you know what, I am still a long way away from reaching my FI goals, but I no longer doubt if FI is the way to go. You are in your twenties and you are getting close to $50 a month….every night you sleep, you are waking up to more than a dollar in your account….that is amazing! I wish I had realized this so early in my life…I am envious now! Just keep putting money into your FI portfolio and you will very soon see the dividend snowball forming and you will not care about small bumps on the road. Best of luck on your life and FI journey.

    1. Dividends Down Under Post author

      Hey Humblefi, we really appreciate you coming to our blog and commenting 🙂

      In-fact, your comment is one of the nicest and most encouraging that we have ever received. We also see how little our income is compared to others, but we know that effort and consistent investing, we’ll get to where we want to. I’m glad you appreciate our start, we’re happy we have 🙂 I hope you enjoy following our journey.

      Mr DDU

  7. DC @ Young Adult Money

    Great first year! We have quite a bit of debt we are paying off (student loans), but once those are gone we can start plowing a lot more into stocks. Looking forward to starting to build up the amount we earn from dividends.

    1. Dividends Down Under Post author

      Hey DC,

      Thanks for commenting. We’re really happy with how things are going so far, hopefully in a few years this figure will be several thousands.

      Good on you for paying off all your debt first, that makes your future much more assured.

      Mr DDU

  8. Team CF

    Nearly $500 a year in dividends is a very nice start of the FI journey! Keep it up and you will end up with some serious cashflow in a few years. Well done you two.

    1. Dividends Down Under Post author

      Hey CF, we always appreciate your encouragement every time you post, thank you.

      We’re really pleased with what we have achieved so far, hopefully in 5 years time we will be well on our way to FIRE.

      Mr DDU

  9. Dividend Family Guy

    Yeah sometimes there will be dividend cuts. That is why diversification is so important. I have had plenty of cuts and have sold those guys soon afterwards. This year I tightened the controls and wont buy companies that have less than 15 years of dividend growth.
    Hope this helps and little by little we will get to FIRE.
    Cheers,
    DFG

    1. Dividends Down Under Post author

      Hey DFG,

      You’re right, there is always that risk with investing. It’s harder to choose dividend growers in Australia as there aren’t that many companies out there with long listed histories. We’re very happy with our newer choices though.

      Mr DDU

  10. Pingback: Saving for the future: June 2016 – Dividends Down Under

  11. J @ Hey It's Just Money!

    You did well! It’s $500 if you round it up, anyway. Haha! It was a great start for you guys and there’s so much room for improvement and learning and progress for you. 🙂

    1. Dividends Down Under Post author

      Hey J 🙂

      Thanks for the positive spin, it’s close enough to $500, we’ll take that. You’re right, we’re at the very start of our journey, and we’ve learned so much since starting our blogging, yet there is a huge amount more to learn over time.

      Mr DDU

  12. Tawcan

    I got lots of $0’s the first few years of investing in dividend stocks. Just keep investing money and you’ll see more dividend income very soon.

    1. Dividends Down Under Post author

      Hey Tawcan, thanks for commenting 🙂

      That’s the plan! We don’t mind $0s, as long as we get good annual income. But we will aim to fill in the gaps.

      Mr DDU

  13. Brian

    This is awesome. I’m pumped to follow along and watch all your progress. Thanks for sharing!

    1. Dividends Down Under Post author

      Hey Brian,

      I’m glad you feel so excited to see how we do 🙂 I hope your enjoy our journey for the months and years to come.

      Mr DDU

  14. timeinthemarketblog

    You were pretty close and it’s certainly better than $0! What are you planning to do with that one that cut their dividend? Do you see that being reinstated in the future?

    1. Dividends Down Under Post author

      Hey TimeInTheMarket,

      Thanks for coming over to our new site 🙂

      You’re right, being super close is way better than not having started our investment journey.

      I think we’re going to hold onto it in the short to medium term, then sell in the long run. We’ll do a post on Slater & Gordon soonish.

      Mr DDU

  15. Dividend Hustler

    Keep it up.
    Don’t stop.
    Slow and steady bro. Month after month, it gets easier. We’re all here for each other so let’s keep hustling hard.
    I wish you continued health and success. Cheers!

    1. Dividends Down Under Post author

      Hey Tyler,

      Sorry we missed this. Damn right we’re all here for each other, I really appreciate your support – from someone who’s doing SO well with their targets it’s awesome you follow us – thanks!

      Mr DDU

  16. Pingback: 2016 Goals: Halfway – Dividends Down Under

  17. Pingback: The Church of FI – Physician on FIRE (1500 day interview) and Mad Fientist | The Jolly Ledger

  18. Jay @ the expat invetor

    Stay positive at least you’re going in the right direction. Remember “slow and steady win the race.” Just give it some time a couple of year from now your portfolio will be a power house. Good luck

  19. Dividends Down Under Post author

    Hey Jay, thanks for commenting on our blog and for the encouraging words 🙂 You’re right, in time our portfolio will get bigger, so we’ll get there in time 🙂

    Mr DDU

Comments are closed.