As part of our long term plans for early retirement, we need enough money in savings and/or income to make sure we can live on a budget long term. I am now hoping that a small income stream will come from dividend payments as part of our investment portfolio. Each month when I receive dividend payments, I will do a post about the dividends received from which company. I’m hoping to chronicle my journey and hopefully inspire others to join me.
Dividends received in February:
Next – £5.40
BT – £4.40
I know, hardly ground breaking amounts, right? But, these are the first ever dividend payments I have ever received, which I find very exciting! Two, rather large companies have paid me just for holding shares in their company. And this should continue every year from now on, unless for some reason they decide to cut their dividend payments.
As I wrote about the effect of the magic snowball, this is the beginning of mine. Although, I suppose it’s more like a snowflake than a snowball at this stage! However, it all starts somewhere and I believe that continuing to live a frugal lifestyle and save as we go along will see us right in the end.
I am aiming to receive £100 in dividend payments over the year, which is a big aim considering I’ve only just started investing in dividend paying stocks. I realise that with my level of income and saving rate, this is probably very over optimistic, but I like a challenge 🙂 I also won’t get dividend payments every month, as I haven’t invested in enough companies as of yet, plus lots of them seem to pay in either Jan/July/Aug/Sept so perhaps trying to get dividend income every month will also be a challenge.
Have you received any dividends this month? Thanks for reading!