Here is the dividend income report for December, 2022.
The monthly dividend income came out to $3,145.22. The yearly income total for 2022 through the end of the month was $12,185.76.
The income for December, 2021 was $3,408.55, and the yearly income for 2021 through the end of December was $10,951.48.
This is the sixth month that my twelve-month moving average was above $1,000.
Honestly, I have been kind of tired over the past few weeks: job, economy, worrying about money, etc. I am tired of reading about bitcon and corrupt-o-currency, tired of thinking about them, tired of hearing about them. I wish it would all just go away. As Emily Gilmore would say, it all just nonsense. Anyone who is into it is either a scammer or stupid. It’s bad enough dealing with people who think capital gains is the answer, or tax cuts are the solution to all the world’s problems, and then turn around and tell you the world is complicated when tax cuts do not make anything better. The Big Lie. QAnon. Monotheism. People who haven’t realized the only intelligent amount of booze is none. Generally the same people who are too stupid or too much of a jerk to grasp the concept that universal statements are not invitations to come up with exceptions. I need a break from it all.
In the past year I got RWR in both IRA accounts. Right now they are both underwater. I know I said we should not rely on capital gains; that does not mean I want my stocks to go to zero. The goal is to live off the dividends and never touch principal. I think some sectors of real estate will have some issues. I also think rising interest rates will help here. The plan is to hold these for the rest of my life.
I am still concerned I might not make it with the funds I have. My 12-month moving average after estimated taxes (which is not part of this report) would not cover my rent today, let alone my rent in 20 years. Granted, if I had my 401(k) from work in dividend ETFs, I would have much higher income. I know I have been saying for a couple of years that the end may be soon. I am still in that in-between state.
Here is a table of the number of Dividend Champions, Contenders, Challengers, and a total of all three for the first week of each January from 2011 to 2023. The methodology changed from 2021 to 2022, but I think it is still a good comparison. I am starting to wonder if the number of Champions will ever crack 140.
| Year | Total | Champions | Contenders | Challengers |
|---|---|---|---|---|
| 2023 | 723 | 130 | 348 | 245 |
| 2022 | 708 | 127 | 302 | 280 |
| 2021 | 729 | 139 | 308 | 282 |
| 2020 | 866 | 138 | 265 | 463 |
| 2019 | 864 | 131 | 205 | 528 |
| 2018 | 822 | 115 | 220 | 487 |
| 2017 | 768 | 108 | 227 | 433 |
| 2016 | 753 | 107 | 250 | 396 |
| 2015 | 611 | 106 | 246 | 259 |
| 2014 | 476 | 105 | 210 | 161 |
| 2013 | 458 | 105 | 183 | 170 |
| 2012 | 448 | 102 | 146 | 200 |
| 2011 | 447 | 99 | 141 | 207 |
| 2010 | 98 | 62 | N/A | |
| 2009 | 125 | |||
| 2008 | 138 |
I have been looking at some posts on the Dividends subreddit, and I am thinking about going back to individual stocks. It is more likely that my income would go up. I am not clear why a dividend growth ETF would have a variable payout from one quarter to another. Granted, there are always companies cutting dividends and others joining the club, but I still think the payouts should go down less often than they do. This phenomenon is not just in the DGI ETFs that I have been in from Vanguard and State Street, but Black Rock’s as well. Granted, stocks can cut or freeze their dividends, but with individual stocks there is more upward momentum. One reason I stopped with individual stocks is that it is a lot of work entering all that information. I have a customized spreadsheet that cannot be automated, and I think most banks and brokers do not know what GnuCash is. I think most of the gain I got from ETFs was in the international ETFs.
Here are the 2021 and 2022 amounts for the securities that I own, with the differences. Yes, I know this is off for 2022. I might have entered something wrong in one sheet in my spreadsheet; I am willing to live with it.
| Security | 2021 Income | 2022 Income | YOY Change |
|---|---|---|---|
| BND | 1796.89 | 1907.55 | 110.66 |
| BNDX | 453.20 | 163.47 | -289.73 |
| LAND | 204.55 | 46.10 | -158.45 |
| RLI | 315.22 | 0 | -315.22 |
| RWR Reg | 0 | 504.12 | 504.12 |
| RWR Roth | 0 | 853.13 | 853.13 |
| SDY | 3616.80 | 3501.55 | -115.25 |
| VPU | 943.49 | 1053.15 | 109.66 |
| WDIV | 3080.13 | 3508.98 | 428.85 |
| XYLD | 473.24 | 620.80 | 147.56 |
| Sold | 67.96 | 0 | -67.96 |
| Total | 10951.48 | 12158.85 | 1207.37 |
I have noticed on the Dividends subreddit they love SCHD. I plan on looking at that fund, and at its underlying index. Some of them really love SCHD over there. It is almost like a religion with some of them: And the lord spoke “thou shalt only buy” and lo, the believers prospered. The sinners sold and their fields lay barren and bereft of hope. Still, buying DGI stocks or ETFs and never selling is an idea I can get behind.
Another goal for this year is to follow a few more of Ron DeLegge’s ideas: Make a written investment policy statement, and try to pick a commodities ETF.
Here is a table with the year-to-date amounts, the monthly amounts, and the three- and twelve-month moving averages for each December from 2011 through 2022:
| Month | YTD | Amount | 3MMA | 12MMA |
|---|---|---|---|---|
| 2022-12 | $12185.76 | $3145.22 | $1296.91 | $1015.48 |
| 2021-12 | $10951.48 | $3408.55 | $1346.62 | $912.62 |
| 2020-12 | $10541.51 | $3490.60 | $1294.16 | $878.46 |
| 2019-12 | $10515.13 | $3611.13 | $1343.15 | $876.26 |
| 2018-12 | $6971.76 | $2313.99 | $1165.08 | $580.98 |
| 2017-12 | $7536.98 | $1837.78 | $913.40 | $628.08 |
| 2016-12 | $6076.53 | $1027.76 | $605.28 | $506.38 |
| 2015-12 | $5472.07 | $954.52 | $575.86 | $456.01 |
| 2014-12 | $4438.02 | $909.86 | $481.67 | $369.80 |
| 2013-12 | $3406.20 | $594.59 | $344.05 | $283.85 |
| 2012-12 | $3585.01 | $686.10 | $386.41 | $298.75 |
| 2011-12 | $3091.99 | $514.94 | $323.40 | $253.92 |
Here are the securities and the income amounts for December, 2022:
- Vanguard Total Bond Market ETF: $169.72
- Vanguard Total International Bond ETF: $13.66
- Vanguard Utilities ETF VPU ETF: $278.12
- SPDR S&P Dividend ETF SDY ETF: $984.34
- SPDR Dow Jones REIT ETF RWR ETF: $164.89
- SPDR Dow Jones REIT ETF RWR ETF: $328.31
- SPDR S&P Global Dividend ETF: $978.89
- Vanguard Total Bond Market ETF: $178.06
- Vanguard Total International Bond ETF: $49.23
Big Jim has a principle of never touching the principal.
Painting of the Anunciation at the Church of San Salvadore by Titian (1488-1576); image from Wikimedia; image assumed to be under public domain.