Saturday, September 13, 2014

WELLS FARGO'S BIG MOVE TO BOOST REVENUES

Just read that Wells Fargo (WFC) is making a big move to boost revenues by investing 100 billion dollars in asset management firms.  Right now it's just speculation as to which companies they'll be investing in, but it's a good move on the part of corporate directors, since fee income generated from assets under management is sure to boost the bottom line.

This move to change is on the heels of a slow down in regular earnings, so it's nice to see they're taking action to protect shareholders interests.  I've been a shareholder in WFC for quite some time and consider it one of my core holdings.  It is also a large holding in more than a few of my mutual funds, so I have a vested interest in future earnings.  I'll be watching to see how their plans unfold.

Thursday, September 11, 2014

TWO MORE DIVIDENDS FOR THE MONTH OF SEPTEMBER!

Collected two dividend payments this week from long term investments in LLY and CNP.  Re-invested dividends to purchase more shares of both stocks.  Did a quick check on The Motley Fool website to see if future prospects are still good for these stocks.  Both look good, with LLY having increased it's animal drug business in its' deal with Novartis and CNP improving its' business through cost cutting and adding new customers.  Also liked the fact that CNP recently increased their dividend, which increases the yield on my initial investment!

What I appreciate most about dividend investing is seeing the steady month to month increase in cash flow from reinvested dividends.  I mentioned in my last post that I am diverting dividends to my cash account to purchase shares in my "wish list" stocks.  While this may seem to go against my normal investment philosophy, what I didn't mention in the earlier post is that I only diverted part of the dividends with the rest being reinvested to continue growing current positions.  So, while income will not grow as rapidly as before, it will continue to increase on a monthly basis as positions in current holdings increase the monthly reinvested dividends.  About a year from now, I expect to have a big jump in monthly cash flow as all the dividends from newly purchased "wish list" stocks begin to flow in to my IRA and my regular account.

Will the market be up or down, I don't really know.  One thing I'm pretty sure of, my dividend income will be much higher by this time next year.

Tuesday, September 2, 2014

WISH LIST STOCKS

I mentioned in a recent post of wish list of stocks with a history
of increasing dividends that I’d like to add to my portfolio.
Since I don’t have the cash readily available to purchase
positions in these stocks, I had to come up with a plan to make
my wishes a reality.  So I diverted dividend income from my
bond funds and 2 of my stock funds to my cash account.  I then
set up automatic orders to buy INTC for my IRA account and
CLX for my taxable account.  As dividend payments
accumulate in my cash account, the purchases will go through
automatically when the dollar amount of each investment is
reached.  As soon as I’ve purchased a position in each of these
stocks, I’ll change my automatic investment to include the next
two stocks on the list:  ADP and GPC.  The final two, WPZ and
MSEX will follow next.

The advantages of this plan:  I won’t have to take any cash out
of pocket to purchase these stocks.  I should be able to add all
six stocks to my portfolio in less than a year and will increase
the number of dividend payments collected per year from 160
to 184.  Which works out to an average of 15.33 dividends per
month!

Monday, September 1, 2014

FIVE DIVIDEND "PAYDAYS" THE FIRST DAY OF SEPTEMBER!

The month of September started out right with 5 dividend payments from WFC, RRD, and a few of my fund holdings.  Always like to see those payments at the beginning of the month, it gets me excited about the possibilities for the month ahead.  September is one of the big dividend months.  I should collect a total of 16 dividend payments for the month.  With 5 down, I'm looking forward to 11 more dividend paydays for the month!  What's not to get excited about.

I seem to be having a small run of luck for some reason.  Won a second chance drawing in the Lotto last month, not cash but still a nice prize.  Also been finding quite a bit of cash while walking my dog.  Mostly change, but a couple of $10 dollar bills too.  Saving the change for a vacation.  Haven't had one in quite a while, so I'm saving up to take Pickles and I on a nice little excursion.  

Renewing the job search this month.  Hope to have better luck this time around.  Still getting more hours at my current job, but things are slowing down, so don't know how long that will hold out.  Would like to have a second job or new job before my hours drop too low.

Making good progress on reducing debt.  Took a lot of positive steps in that direction all last month and at the beginning of this month.  Am starting to see some results there as well.  Be glad to have the final bills out of the way so I can divert that money to my investment account. 

Have a new wish list of stocks with a long history of raising dividends.  Want to add all 7 of the following to my long term portfolio as soon as possible.  The list includes:  WPZ, CLX, INTC, ADP, GPC AND MSEX.  

DIVIDEND INCOME UP OVER 30%!

DIVIDEND INCOME UP MORE THAN 30% FOR THIRD
QUARTER!

Given setbacks to personal earned income in the past few
months, I was pleased to see third quarter dividend income is
up more than 30% when compared to the first 2 months of the
second quarter!  I don’t attribute such success to any special
investment skills on my part, it’s more a matter of sticking to
the plan.  So far the plan has worked well and I don’t see that
changing anytime soon.

Paying off final medical bills from my heart attacks has been
painfully slow.  Partly because there were so many of them and
partly because of my reduced earned income.  However, there
is light at the end of the tunnel and my goal for September is to
pay off the next smallest bill.  With a little luck, by December
I’ll be in a much better financial situation.  I should have at
least 2 more bills paid off, bringing my total monthly payments
from 11 down to 9.  During the first 6 months of 2015, I should
be able to pay off 2 more bills and reduce credit card debt
dramatically.  With only 7 monthly payments, the remaining
credit card debt should drop rapidly starting in July of next
year.  That may seem like a long way off, but I’ve found if you
plan for the year ahead, it’s much easier to keep things in
perspective.  You don’t worry so much the day to day problems
and you keep focus on where you want to be.  Staying focused
on future goals makes it much easier to get from where you are
to where you want to be.

Thursday, August 28, 2014

END OF MONTH, BIG 3 DIVIDENDS!

I'm down to the final 3 dividend payments for the month of August, each paying on the last day of the month, labor day.  Not planning much for Labor day weekend, I'll be working my regular schedule Sunday and Monday.   It's nice to know I can expect a big payment at the end of each month, since all three are monthly dividend payers (CRF, CLM, AOD).  But what's even better, the very next day on the first of each month I collect all the beginning of the month dividends.  So I get two big payments back to back each month.  Didn't really plan it that way, but it's nice how it worked out.  When I start taking payments instead of reinvesting all dividends, it will work out well for bill paying.

It's been a busy month.  Had some luck, winning a Bose wave radio in a lottery second chance drawing.  Picked up a little extra cash doing some odd jobs on the side and am planning on putting some items up for sale at my sister's next yard sale the first week of September.  Also managed to pick up a few extra hours at work, so the money situation is improving.

Celebrated paying off another medical bill.  Made my final payment to ER Physicians this week.  One more down, 5 more to go.  Also cancelled one of my credit cards.  It was the only one that still charged me an annual fee and I don't really have any need for so many cards, so I cancelled it and saved myself the $100.

I'm liking my phone service with Virgin Mobile, been doing a lot more texting since it's included in my package.  Just had one problem with items being billed to my account which I did not purchase.  A couple of game charges from Gamestop for $6.99 each, but Virgin Mobile took care of it and reversed the charges when I called customer service.  So it was no big deal.  I'm loving getting my phone service for half of what I was paying AT&T.  Big fan of AT&T, also a shareholder, but if they don't offer the best deal, have to move my service to another provider.

Wednesday, August 6, 2014

160 EXTRA PAYDAYS PER YEAR!

The month of August kicked off with 5 dividend payments in
the first few days of the month.  I like to think of dividend
payments as “extra paydays” only I don’t have to do any extra
work to get paid.  Once the money is invested in shares of stock
or dividend paying funds, the paydays just keep coming.  So
far I’m up to 160 days per year, or a payday every 2.28 days.
If you add in the 24 paydays I get from my job that brings my
total paydays to 184 per year, or a payday every 1.98 days.
Think about that for a minute.  How long would it take to
accumulate a good deal of money when you get paid every 2
days?  Of course the answer would depend on what you do
with the money when you get paid.  For now I’m reinvesting
100% of the “paydays” from my investment account and I
continue to add additional cash to build my portfolio as rapidly
as possible.  Honestly it’s been very tough for me the past few
years.  I’ve lost a great deal of my life savings due to medical
bills from my heart attacks and heart surgery, haven’t been
able to find a good job and the job I have has cut hours to
avoid paying for Obamacare insurance.  So I’ve had to adjust
my standard of living and look for ways to pay the bills and
make ends meet.  Some months I’m barely able to keep my
head above water, but I don’t give up.  I’ve been given a second
chance and I’ve come a long way.  Still have some medical bills
to pay and there is never any money for luxury items.  Some
weeks I have only $10 to buy food for the week, but I can see
the light at the end of the tunnel and I know that frugality and
perseverance will win out in the end.

The “paydays” get bigger each month and the bills get smaller
and that’s the way to dig yourself out of a financial hole.  Just
have to stay the course and everything will work out fine.