Hi there, thanks for stopping by for another monthly financial update.

In case you are a first time visitor, My Financial Shape documents the path of me and my family towards Financial Independence. My wife and I want to achieve that goal by the end of 2024 through dividend growth investing and by establishing other passive income streams.

We will hit the USD 15’000 passive income milestone for 2021

In the past eight months of the year, we collected CHF 9’150 resp. around USD 10’065 in dividends, representing 67.1 % of our annual goal.

We have almost reached the level of the whole previous year in just eight months. For the whole 2020 we had cash inflows from our investments in the amount of CHF 9’721 resp. USD 10’700.

Compared to August 2020, the passed month really has been a slow one, with “only” USD 150 versus over USD 1’000 in the same month one year ago. This difference is mainly due to the fact that last year I received in August a reimbursement of witholding taxes (I report all passive income amounts net after taxes and show the reimbursements of witholding taxes separately). Furthermore there were several changes in dividend payments dates. 2020 not only showed several dividend cuts (Disney, Nichols, HSBC, LVMH etc.) but also several changes of the timing of shareholder distributions.

So, a year over year comparison on a monthly basis shows quite significant discrepancies.

But as said, over the whole year, we will end up with prospected total passive income of around USD 15’000, roughly 50 % higher than the year before, mainly due to the fact that the majority of businesses having cut their shareholder distributions reinstated their dividends. Furthermore, there are a few companies in our portfolio that increased their payouts quite heavily (for instance mining giants Rio Tinto and BHP Group).

How about you, fellow reader? How was your August in terms of passive income?

Disclaimer
You are responsible for your own investment and financial decisions. This article and this YouTube Video are not, and should not be regarded as investment advice or as a recommendation regarding any particular security or course of action.