January 2025 Dividend Recap

 As we enter 2025, it's the perfect time to reflect on our financial journey and set an exciting new goal. There's something incredibly satisfying about watching dividends grow year after year. Today, I want to share our progress over the past few years and set a new milestone: achieving a $23,000 dividend goal by the end of 2025.

January 2025 Dividend Recap

Our portfolio showed impressive growth compared to previous years:

Year	Total Dividends
2022	$423.16
2023	$465.70
2024	$572.46
2025	$675.94 (Current)

Total dividends received: $675.94

Year-over-year growth: 18.1% from 2024

This strong start puts us on track to potentially exceed our $23,000 goal for the year if we maintain this momentum.

Top Performers

Several stocks in our portfolio delivered exceptional dividend growth:

DOX: The standout performer, contributing $95.80 in dividends after paying nothing in previous years.

DG (Dollar General): Continued its impressive growth trajectory, paying $28.59, up from $19.20 in 2024.

MO (Altria): Remains a reliable income generator, with two positions combining for $91.27 in January.

Steady Contributors

STWD (Starwood Property Trust): Our largest dividend payer at $77.74, up 10.1% from 2024.

CINF: Provided a solid $50.04, growing 10.9% year-over-year.

BNS: Despite a slight decrease, still contributed a significant $46.85.

Looking Ahead

As we move further into 2025, we'll closely monitor our progress towards the $23,000 goal. With a strong January behind us and a diversified portfolio of reliable dividend payers, we're well-positioned for success.

Remember, consistency and patience are key in dividend investing. Let's stay focused on quality companies with strong dividend growth prospects, and we'll be well on our way to achieving our income goals for 2025 and beyond.

Maximizing Wealth Through Dividend Reinvestment: CSCO,STWD,CINF,VTR

 Investing in dividend-paying stocks is a time-tested strategy for building wealth, and reinvesting those dividends takes it a step further by leveraging the power of compounding. Let’s explore how recent dividend transactions demonstrate the benefits of this approach.

What is Dividend Reinvestment?

Dividend reinvestment involves using cash dividends paid by a company to purchase additional shares of the same stock. This strategy allows investors to grow their holdings over time without needing to contribute additional funds. It’s particularly powerful in tax-advantaged accounts like IRAs, where reinvested dividends can grow tax-deferred or tax-free.

Real-Life Examples of Dividend Reinvestment

Here’s a snapshot of recent dividend activity across different stocks and accounts:

1. Cisco Systems Inc (CSCO)
   • Received $28.95 in qualified dividends on January 22, 2025.
   • Reinvested into 0.4722 shares at $61.3096/share.
2. Ventas Inc REIT (VTR)
   • Received $17.21 in prior-year non-qualified dividends on January 16, 2025.
   • Reinvested into 0.2962 shares at $58.1043/share.
3. Cincinnati Financial Corp (CINF)
   • Received $50.04 in dividends on January 15, 2025, within a Rollover IRA.
   • Fully reinvested back into additional shares.
4. Starwood Property Trust Inc (STWD)
   • Received $77.74 in dividends on January 15, 2025, within a Roth IRA.
   • Fully reinvested back into additional shares.

Why This Strategy Works

• Compounding Growth: Each reinvested dividend buys more shares, which in turn generate more dividends over time.
• Cost Efficiency: Many brokers offer automatic dividend reinvestment with no additional fees.
• Tax Advantages: In IRAs, reinvestments grow tax-deferred (Rollover IRA) or tax-free (Roth IRA), accelerating wealth accumulation.

Key Takeaways

• Over time, even small dividends can add up significantly when reinvested.
• Dividend reinvestment is a disciplined approach that builds wealth passively.
• Tax-advantaged accounts amplify the benefits of this strategy.

By adopting a dividend reinvestment plan (DRIP), you can make your money work harder for you and achieve long-term financial goals with minimal effort.

July 2024 Dividend Analysis:

 Introduction: July 2024 marked a significant milestone in our dividend portfolio, with total dividends received amounting to $749.59. This represents a substantial year-over-year growth of +27.53%, driven by strong performances from key holdings and the introduction of new contributors.

Key Growth Drivers: One of the standout performers was FXAIX (Fidelity 500 Index Fund), which delivered an impressive $138.38, reflecting robust market conditions. Similarly, MO (Altria Group) continued its strong performance, contributing $84.18. The addition of DOX (Amdocs) was a game-changer, adding $91.25 in its first-ever dividend payout.

Steady Performers: Companies like Coca-Cola (KO) and Realty Income (O) maintained their consistent growth patterns, contributing to the overall increase in dividends. Both companies are known for their reliable dividend policies, which continue to benefit the portfolio.

Challenges and Declines: However, not all was rosy. Ladder Capital (LADR), which had been a consistent contributor in previous years, saw its dividends drop to zero, signaling possible financial challenges. Bank of Nova Scotia (BNS) also showed minimal growth, indicating a more cautious approach in the current economic climate.

SYMBOL	2021 July	2020 July	2022	2023	2024	Difference
KO	9.89	9.17	10.67	11.94	13	1.06
MO	48.88	36.3	56.7	72.21	84.18	11.97
VTR	15.15	15.15	15.64	16.29	16.94	0.65
O	6.31	6.22	7	8.03	10.35	2.32
LADR	4.67	4.07	5.49	6.67	0	-6.67
CSCO	32.82	30.91	35.72	38.9	42	3.1
BNS	41.9	37.69	48.8	48.06	48.88	0.82
NLY	12	12	13.42	10.96	12.59	1.63
CINF	35.65	33	39.87	44.47	49.42	4.95
STWD	56.64	56.64	61.09	67.4	74.12	6.72
AGNC	6.26	6.17	7.31	8.42	9.8	1.38
MO	8.71	7.81	9.79	11.11	12.66	1.55
IRM	6.17	5.74	6.5	6.84	7.47	0.63
FXAIX	90.52	89.45	106.71	113.29	138.38	25.09
DG	4.22	3.6	11.07	13.46	20.68	7.22
STWD	26.45	25.32	28.52	31.44	34.59	3.15
ITW	7.32	6.76	15.71	17.3	18.9	1.6
Fundrise	31.22	16.92	40.2	49.32	50.55	1.23
TROW	155.91		0	0	0	0
DOX	0	0	0	0	91.25	91.25
JPM	9.96	9.9	11.36	11.72	13.83	2.11
	610.65	416.32	531.57	587.83	749.59	161.76

Summary of the Data:

• Total for 2021 July: 610.65
• Total for 2020 July: 416.32
• Total for 2022: 531.57
• Total for 2023: 587.83
• Total for 2024: 749.59
• Total Difference: 161.76

2024 Dividend Goal Progress Summary

As of July 2024, your total dividends received amount to $9,663.29. Here’s how each month has contributed to this impressive figure:

• January: $572.46
• February: $765.00
• March: $3,116.15 (a standout month)
• April: $699.64
• May: $790.46
• June: $2,970.00
• July: $749.59

Key Observations:

1. March and June are the top-performing months so far, with March alone contributing over $3,000 in dividends.
2. June also saw a significant contribution of nearly $3,000, reflecting strong mid-year performance.
3. July marked a smaller increase, but it was still a solid month, adding $749.59 to the total.

Progress Towards 2024 Goal:

Your 2024 goal is 49.56% of your target, with the current total reaching $9,663.29. You’re making steady progress, and with five months left in the year, you’re well on your way to achieving, if not exceeding, your goal.