Firstly, it can’t be just me who finds it hard to accept that we’re in October already?! That Christmas is just around the corner and then it’ll be 2019. Nope, it can’t be that already. Frugal Baby will be 1 before we know it, and I’m definitely not ready for that.
As another month is over, I get to write about my favourite topic: dividend investing. I mentioned last month about having a rebalance of my portfolio; selling some of my individual holdings and putting them all into a fund. I got some good prices plus it will (hopefully) but slightly less volatile going forward.
I love logging into my account and checking out if I’ve received any dividends. I keep meaning to write down when I’m due dividends, but never seem to get round to it! So, I log in fairly regularly to see if I’ve received any income. I do have written down which holdings should pay out during each month, but not the actual amount. In terms of my holdings, it’s been a bit of a ride in terms of numbers going up and down as valuations are somewhat rocky at the moment. My stocks and shares ISA is with Hargreaves Lansdown, which is very easy to use and I’d definitely recommend them. You can get information about that here or even open an ISA in about 5 minutes.
The aim eventually is to use the dividend income to pay some household bills. Things like council tax, or water rates. That’s when passive income really takes over. To pay fixed expenses each month from passive income would be amazing. To be able to pay for things that we have no control over, such as our council tax or the water rates, by using dividend income would take the pressure off other areas of money. At the moment I choose to keep my dividend income within my account and reinvest so as the keep the ball rolling.
The dividend income received in September is a combination of dividends from shares and funds. There are always going to be swings in terms of how much income is produced by dividends, just because different holdings pay out at different times. In September 2017 I received £36.69 which wasn’t too bad. This year, it’s definitely better 🙂
Dividends received in September:
Aviva – £18.50
BT – £52.75
Lloyds Bank – £4.28
Premier Monthly Income – £0.51
Standard Life – £10.95
Standard Life Inv UK Real Estate – £0.54
Vanguard FTSE 100 Index – £24.44
Total: £111.97
Look at that! Another three figure month; the third one in a row. I am loving looking at those numbers 🙂 The dividend snowball effect is definitely happening. Just by us living a more frugal lifestyle and investing our hard earned pennies is now beginning to pay off, literally. Over £100 received for nothing. Passive income at it’s finest 
I hope this is inspiring someone else to begin their frugal journey. If we can do it, anyone can! We are not depriving ourselves of anything, just making purposeful choices and it’s beginning to pay off. Literally!
My dividend income aim for 2018 is £800 received. At the end of September I’m up to £621.48 so I’m still behind but feeling slightly more confident about reaching that £800 milestone. October’s dividend income will be small, much smaller than this. But I’m hoping for a strong December to finish off the year! We shall see.
Have you received any dividends this month? Thanks for reading!
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Hi Nicola,
Great month and congrats on crossing the triple-digit mark one more time 🙂 That BT dividend was huge! Checking how much dividends I received and posting the results is the favorite post each month for me as well. Even though, my amounts are much smaller (received ~$12 this month), it still makes me happy.
Keep it up!
BI
Thank you! We all have to start somewhere 🙂
You’re getting so close now!! The snowball is really building isn’t it! Imagine what you’ll be making this time next year 😀 My debts going down and I’m inching my way towards being able to invest 🙂
It really is! Looking forward to seeing the numbers build year on year 🙂 you’re doing great as well!
Are you reinvesting the dividends each month to maximise returns or building up over time to help reduce dealing fees?
I add them to a lump of savings and reinvest – reduces fees.
good job. its great when you cross that 100 mark three months in a row now you jast have to hop it is 4 then on to bigger and better numbers. Keep it up
Well done over £100 this month must feel pretty good! I will have my last payment of the year next week from the shares I currently have but I also have some money to go in so I can purchase more (I might be able to squeeze a few more payments in before the year is out)
I have been keeping track of how much I receive and it’s always nice to see what comes back 😀
The snowball is rolling and you are starting to see some awesome growth in your dividend income FC. This article just made me smile as I read it. Everything felt genuine and you seemed pretty darn excited to be on this journey.
Keep up the great work!
Bert
I find investing very confusing. The only thing I really invest in is my work based pension and it’s all done for me