December 2020 Passive Income – New Record. Ho Ho Ho!

December 2020 Passive Income – New Record. Ho Ho Ho!

• 1 Dividend raise – Enbridge
• 1 Dividend Cut – Riocan
• 3 Sources of passive Income
• $772.50 from dividends
• 19 stocks dripped in December

2021 Baby! Happy New Years to you all. 2020 was a weird year but we tried to make the best of it. Financially things could of been a lot worse but the markets keep roaring and the incomes keep coming in. New records continually become broken among the financial blogging community. Its great to see!

Life

As I mentioned last month our landscape season shutdown for the year and I was starting to look for a new job for the winter. I found one pretty quickly and got a 6.50 raise the 2nd day! Doing indoor reno’s – demoing right to the studs and redoing everything, so that’s been good.

Christmas was good but we are in lock down again. So it was quiet and full of zoom calls. Kids got spoiled and I spent the day basically building everything for them. haha Kept it simple and just made some pulled pork sandwiches. Wife got me some sweet socks for Christmas though.

Weather has been all over the place this month, but we finally were able to get on the rink and start tearing it up. The kids definitely enjoy it more this year than last year. I keep working on my mighty ducks triple deke.

Alright, Let’s Get To Our November 2020 Passive Income

Raises or Cuts

1 Raise and unfortunately another cut

• Enbridge raised theirs by 3% which added $27.70 in forward income
• Riocan slashed theirs by 33%. Brutal. A loss of $126.72 in forward income.

Total Added Income from Dividend Raises in 2020 – $205.69

Dividend Cuts Reduced Dividends in 2020 by $453.75

Unfortunately the numbers don’t lie. Without new cash or dividends being reinvested this year our dividend income would of dropped. In total we had 3 companies cut their dividends this year. Interpipeline, Riocan and Disney.

All of them got effected by the “pandemic” and I could see why they would cut their dividend.

• Interpipeline – Energy Stocks got beaten this year but Ipl probably bit off more than they can chew with the heartland project, but at the same time that will be huge once construction is completed. (I have actually been debating adding more at current prices to enable drip and lower that dollar cost average price)
• Disney – Of course. Parks and cruise lines etc have not done well to say the least. A big reason I bought them was disney plus and that has been fantastic. The stock price has done very well and easily makes up for the lack of dividend.
• Riocan – Retail has been changing for awhile and they seem to be pivoting to residential. This year though I feel governments killed retail. It makes no sense to close down most businesses and force everyone to flock to the big corporations. Lock downs clearly don’t work, just kill small businesses and test how much they can control people. Meanwhile politicians clearly aren’t listening and when they get caught, oh he wont do it again… But kids get arrested for playing ice hockey outside in Calgary……..

End of rant. Dividend cuts suck, but whats happening politically right now is waayyy worse.

December 2020 Dividend Income

14 Companies paid us this month.

Stocks	December 2019 Income	December 2020 Income
IBM	29.16 usd	45.64
JNJ		43.43
3M	17.28 usd	32.34
Microsoft		6.72
Altagas	2.40	sold
Inter Pipeline	28.64 (1 Drip)	8.32
Canadian National Railway	33.33	44.28
Extendicare	17.92 (2 Drips)	19.20 (3 drips)
Riocan	29.64 (1 Drip)	31.68 (1 Drip)
Canadian Utilities	84.54 (2 Drip's)	90.56 (2 Drips)
Smart Centers	0	25.59 (1 Drip)
Brookfield Renewable	98.55 (1 Drip)	83.28 (1 Drip)
Brookfield Property Partners	111.39 (4 Drips)	121.14 (6 Drips)
Enbridge	163.10 (2 Drips)	220.32 (5 Drips)
Totals	615.95	772.50

19 stocks Dripped in December – Beautiful stuff!

A noteworthy 25.41% year over year growth rate. All those core positions have grown nicely other than brook field renewable, but that’s because we sold the spin off stocks we received. Hindsight – That was a bad move…. haha =)

If your interested check out our Previous Dividend Income Reports.

Our Drips (Dividend Reinvestment Program) added $33.57 to our yearly forward dividend’s this month.

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Other Income

Private Investment Payment – $500.00

Nothing new here, just our regular monthly payment. (I don’t even have to edit this part every month) Steady Eddy…….

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Solar Panel Income

In November (We always get paid a month later) our solar panel system generated 287 kWh. Since we bring in a fixed rate of 28.8 cents per kilowatt hour, Hydro One deposited $82.66 into our chequing account this month.

Last November the system generated $64.22. So we were slightly higher year over year.

Total Income for 2020 – $2,535.83

System Installed January 2018

Total System Cost ——–$32,396.46

Total Income Received ——–$7,505.24

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Amount to Break even —- $-24,891.22

 

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Total December 2020 Passive Income – $ 1,355.16

December 2019 Passive Income – $1,304.59

Total Passive Income Increase over last year. – $50.57

It’s great to see growth year over year but when you look at them like this it’s not sooo much. Looking at last years results though I notice we got paid by both adsense and amazon in December. Take 125 away for comparison and things look good again!

Totals For 2020

Dividends Year To Date Total – $6,648.94
Other Passive Income Year to date – $9,061.58
Total Passive Income for 2020 —– $15,710.52
Year End Goal – $17,200 ——– %91.34

We fell short of the goal, but if we look back at the end of December 2019 our income increased by $800. Not massive but at the same time we focused on buying higher quality lower yield dividend growth stocks.

Moving forward I plan on continuing to focus on buying high quality dividend growth stocks. There were a couple companies in the portfolio that didn’t raise their dividend. I’ll give the banks a pass in 2020 as they weren’t allowed to but it may be time to switch out a couple positions.

 

December 2020 Purchases

This month has been a crazy month for expenses this year. I really have never noticed but so many yearly bills come out in December – caa, union dues, scouts, website renewal etc etc toss in 800$ for car repairs and more for Christmas gifts and yeah its not been a cheap month. We were still able to put some money to work though.

• Added 51 more shares of Algonquin Power – This adds 31.64 usd to that forward income.
• We also added 10 more xaw etf this month.

You can read about those moves in this post. Algonquin power – doing it well

It always feels good putting money to work for you.

 

Financial Goals Update

Charities

• We continue to make our monthly donation of 75 bucks to The Nature Conservancy of Canada

Increase Dividends by $1,713.42 this year. (bringing our forward income from dividends to $7,500 a year)

• With New Purchases, Drips, Dividend Raises and dividend cuts we basically broke even this month with our dividend Portfolio. Total increased so far in 2020 is $1,442.40. 83.46% of our goal.

Behind on the target but if I look back at a post I made awhile back predicting how our portfolio may look each year for the next 30 years, we are right on track. So that’s good!

Dividend Growth Investing – Looking 30 years into the future.

 

Etf Monthly Purchase of $250

• We added 10 more shares of xaw etf this month for roughly 315 bucks in our questrade account. Questrade* is great because it offers free etf trades and cheaper stock trading options than most Canadian brokers. $250.00 a month would kill us if we needed to pay high trading fees.
• * Note the questrade link is a affiliate link and at no additional cost to you, I would get a little payment if you were to sign up. You could get $50 in free trades by using my link though.

December 2020 Passive Income Conclusion

Overall a great month. The totals keep increasing and new records keep getting set. Unfortunately looking back those 3 cuts hurt, but they also remind you to focus on quality. The portfolio still has some room for improvement and I plan on tightening it up in 2021.

How was your 2020? Did you achieve or surpass your goals? Keep growing that passive income, I wish you all the best in 2021.

cheers!

 

 

“What the new year brings to you will depend a great deal on what you bring to the new year” – Vern Mclellan