Now its early July, I can update my dividend performance for June, and I am delighted that my dividends for 2014 are 8 times higher than June 2013 (£494.34 compared to £60.84 last year)!!
The increase in my SIPP is 474% (£349.73 vs £60.84), and all the ISA income £144.61 is new compared to last year.
|Royal Dutch Shell||£78.48||£30.69||£109.17|
I am really pleased about the increase in my SIPP as this is not the result of new money being paid in (although I did sell some shares in a lower yield company and add to a higher yield company earlier this year), so the whole increase is driven by the increase in the dividends payable this year compared to last year.
The good news gets even better when I look forward to August as for the first time ever I should receive over £1,000 in a single month, which if I can increase to every month would cover a massive proportion of the income I believe I need for being Financially Independent. I already have two other months where I am over £500, and with the addition of new monies that I will be making this year along with 100% re-invested dividends, should really start to allow the dividend snowball growth to accelerate.
It’s amazing how when I started the value of my dividends in the first year was (2002) £84.31, and as I am now adding money at a much faster rate than in the early years, the increase should hopefully keep going. Also, when I do eventually escape from my wage slavery, I will be able to transfer the value of my company pension which currently stands at approx. a fifth of the value of my SIPP and ISA combined into my ISA, and this will add a further chunk of dividend income (probably about another £2k per annum if I can escape at the end of 2016, as my forecast currently indicates).
On this basis I would be free from the need to work at the age of 57, which would be a fantastic achievement from my point of view and is far removed from most of my colleagues, who are all convinced they will have to work till they drop as they have no idea what retirement funds they currently have, or how they can best use this when they do retire.