2010 Investment Dividend Income Summary

Our dividend income improved in 2010 although not as much as I anticipated. Up until 2009 I had been tracking a 30-50% growth rate in dividend income, but 2009 was the first year our dividend income actually shrank despite a net increase in stock holdings for the year. Our dividend income increased about 6.7% in 2010, but it is still not where our dividend income was back in 2008 despite significantly more equity holdings on our part.

This drop is largely explained by the significant dividend cuts by Pfizer, KBW ETF, and other financial holdings over the past 2 years. We have continued to make sizable and somewhat regular investments in dividend paying stocks through 2010 and 2011 that should help us return to double digit dividend growth in 2011.

I pay close attention to our annual dividend income because it is one piece of the passive income we are going to need once we hit our financial goals. As part of our passive income strategy we will need an annual cash flow to sustain ourselves once we reduce our earned income and before we can raid our retirement accounts.

Heres a look at our dividend income for 2010:

Annual Dividends
Investment 2008 2009 2010
Sold off Equity Holdings $ 554.29 $ 104.17 $ -
Pepco $ 22.67 $ 22.68 $ 22.68
Argo International $ - $ - $ 10.84
AT&T $ 20.80 $ 21.32 $ 21.84
Bank of America $ - $ 1.00 $ 6.65
BP* $ - $ 11.02 $ 9.40
CMS* $ 21.99 $ 31.64 $ 29.44
Connoco $ 44.78 $ 106.56 $ 156.58
Chevron $ 34.16 $ 37.17 $ 41.19
Duke Energy $ 100.98 $ 111.83 $ 122.30
Edison $ 15.57 $ 16.35 $ 17.28
ExxonMobil $ 80.66 $ 88.24 $ 94.80
Fairfax Financial $ - $ - $ 260.00
GE $ 114.97 $ 102.07 $ 199.00
Healthcare SPDR $ - $ 173.76 $ 175.93
IBM* $ 555.74 $ 520.33 $ 394.42
Lowes $ 14.59 $ 15.72 $ 18.28
Medtronic $ 53.74 $ 68.70 $ 76.82
Merck $ 212.83 $ 222.68 $ 229.84
P&G $ 46.94 $ 53.52 $ 60.49
Pfizer* $ 972.66 $ 255.60 $ 247.48
Radian $ - $ - $ 1.14
Spectra $ 45.07 $ 49.54 $ 51.97
Microsoft $ 0.75 $ 0.86 $ 0.93
Johnson & Johnson $ 16.13 $ 17.88 $ 20.21
Union Bancshares $ - $ 6.00 $ 25.21
VXF $ 66.84 $ 55.31 $ 62.46
VWO $ 108.32 $ 52.62 $ 79.73
VTI $ 96.93 $ 337.00 $ 370.01
KBE ETF $ 92.58 $ 208.17 $ 68.17
Total $ 3,293.99 $ 2,691.74 $ 2,875.09

*Indicates we sold a portion of this equity holding in 2010.

You can also see our 2005 passive income, 2006 passive income, 2007 passive income, 2008 passive income, and 2009 dividend income.

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Comments (1)


Ahh, another fan of "Rich Dad, Poor Dad." Kudos to you for making it actually work.

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A personal finance weblog of my journey to reach my goal of $2 million + the value of my primary residence.
Current Net Worth: $1,574,185

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