Freedom Fund Update 4.30.17

Another month down and time to put together a Freedom Fund recap.

Last month, I was sitting at approximately $4 in passive income per month.

This month, I added a couple shares of Intel and more shares of STB.

Screenshot 2017-04-30 at 2.15.00 PM
Monthly Dividend Stocks
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Monthly Dividend Stocks

I compiled a list of companies that have a track record of issuing dividends and have filled in the corresponding fields for the stocks I already hold. The others are on my list to acquire. I plan to base my decision to buy on the stock price and the number of years dividends have been paid. That said, GE, PG, and Waste Management are all on the short list.

Last month, I mentioned that near the end of the year I will have much more freedom with funds to put towards investing. A surprising turn of events allowed me to get to that point this month, though, so moving forward, I anticipate being able to contribute $200-$500, depending on the month’s obligations.

I added an unexpected $60 check to purchase a few shares of Intel on the Loyal 3 platform since I could buy partial shares. I am actually in the process of moving all of investments over to Robinhood, though, since Loyal 3 is being acquired by another platform that will charge fees and not allow partial shares. 🙁

I also learned that foreign stocks charge a 15% tax on dividends, so my calculate return on STB was less than I had anticipated this month. While that’s unfortunate for me, the game plan is to continue to purchase STB since it is $6/share and get it up to the point where it is generating $6/month in dividends (which would be 174 shares, taking ino account that 15% tax). Then, each month, the dividends that come in will be able to purchase one more share of that stock and start a small snowball for that monthly dividend. Once that gets rolling by itself, I will turn my efforts to GE first, Waste Management, and PG. Since Target’s stock is still pretty flat compared to a few months ago, I may buy more shares of that as well.

I’m also mulling the idea of taking $100/month and continuing to add monthly dividend stocks to the list, as well. Last month I listed several of those and while the dividends themselves seem low (less than 10 cents), they pay every month and tend to cost less than some of the others. I’m thinking about GLAD.

So after April’s contributions, I am sitting at $62.80 for the year, which is $15.70 per quarter, or $5.23 per month. It’s not a huge jump, but I was able to add $1.23 in passive income per month, up from last month.

Even small wins are wins, the important part is to keep going.

 

 

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