My 2021 Dividend Income

[cemanuel]

With LMT paying I can calculate my dividend income for 2021. After three years of increases of 30-40% I could talk (brag) about, this year's is just 2.45%.

Now for the justification (rationalization? Excuses?).

If you take away the two MSM special dividends from 2020 it comes to 6.76% - this probably is the actual "real" increase number.

If you take away what I did to my Roth it's likely more like 13-14%. I haven't done a precise calculation but when you replace IRM, OHI, ARCC, etc., with AMZN, PYPL and CHWY well, it has an impact. I didn't start tracking the Roth separately until September. I could figure out the number but not going to bother. I know it was significant. At the end of last December my Roth yield was 7.28%. Today it's 2.74%.

My dividend increase goal for next year in my Taxable Account, with dividends being used to live on and occasional AAPL sales, is 6%.

I'll have more details when I post my annual portfolio review. I'll do something here though it won't resemble my SA blog posts which are 3,000 or more words. Thinking I'll start a thread and reply to myself with different sections and charts. And many fewer words.

[fenders53]

It's OK, sometimes I talk to myself too. I knocked my yield down some this year but growth is about 7% before reinvestment. I don't know if I can reasonably expect much more for the overall port.

[ken-do-nim]

Looking forward to it.

[rnsmth]

Our 2021 dividend growth will be 11.5% and that includes dividend reinvestment. Our stocks plus SCHD portfolio would have been 7.2% without reinvestent. Toss in our 4 CEFs and it would have been 5.9% without reinvestment.

I do not really know how to think about without dividend reinvestment. The dividends make up about 15% of our income, and it is a part of our margin lf safety. I do not anticipate needing to take any of them as cash in 2022, but at the age of 70 I know that unanticipated things can happen.

Looking at a bigger number in 2022. Thanks in part to a good special in Janaury from NIE, and a 32% increase in NIE's regular distribution - and those nice dividend increases for next year already announced by CM, TD, WEC, ENB, and others, the projection for 2022 is already up a bit over 8% over 2021 - and that does not include dividend reinvestments or further dividend increase announcements from our other companies.

[cemanuel]

My projection for 2022 is almost dead flat compared with 2021 but it doesn't account for any increases during the year. But it also doesn't account for whatever will happen with T - it's about 5% of total income using current payout, even considering how much I've sold. On the plus side, January 2022 dividends look to be about 11% above January 2021.

But it's the taxable account where dividends matter. Those look better but I didn't separately track them through 2021 so I won't have anything to do a YoY comparison with until September.

[fenders53]

(12-24-2021, 08:03 AM)rnsmth Wrote: Our 2021 dividend growth will be 11.5% and that includes dividend reinvestment.  Our stocks plus SCHD portfolio would have been 7.2% without reinvestent.  Toss in our 4 CEFs and it would have been 5.9% without reinvestment.

I do not really know how to think about without dividend reinvestment.  The dividends make up about 15% of our income, and it is a part of our margin lf safety.  I do not anticipate needing to take any of them as cash in 2022, but at the age of 70 I know that unanticipated things can happen.

Looking at a bigger number in 2022.  Thanks in part to a good special in Janaury from NIE, and a 32% increase in NIE's regular distribution - and those nice dividend increases for next year already announced by CM, TD, WEC, ENB, and others, the projection for 2022 is already up a bit over 8% over 2021 - and that does not include dividend reinvestments or further dividend increase announcements from our other companies.

You have a good handle on your dividend plan.  Mine is in a bit of disarray as I get settled in for retirement.  I am thinking I am only going to get about 5% dividend growth if I try to exceed 3 1/2% port yield.