My dividend employee Steve

BY TIMEINTHEMARKET

Source: My Dependable Dividend Employee Steve - Time In the Market

Steve is a great metaphor

Hey guys, meet Steve, my dividend employee.

Steve’s a cool guy and a real go getter.

I first met Steve when I bought my first stock in college. The stock itself is irrelevant but it was the start of something special. I didn’t know it at the time but when I made that first purchase, I apparently hired Steve. I didn’t plan on it but it just happened.

Three months later, he showed up at my house to say hello.

“Hey friend,” he said, “here’s 73 cents.”

“Oh,” I said, “that’s cool, but why are you giving this to me; and what am I going to do with 73 cents?”

“It’s your 73 cents,” he said, “remember that stock you bought a while back? It comes with an added benefit, a great employee like me.”

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For rest of article, see My Dependable Dividend Employee Steve - Time In the Market

 

but this is not happening?


Combine that with additional contributions in 2019 and dividend increases by companies I own and you can see why Steve is having a better year in 2019 and will have an even better year in 2020!

 

Really sorry to hear that Steve is currently in an induced coma, I'm sure he will pull through, but he may be on light duties for a year or two when he returns to work...

 

Dont spend all that money Steve is putting in your hand as many have seen lately steve has been sneaking it out of the back pocket while giving you the pleasure of donating to the government and not re-imbursing you a 50% discount either. Beware of Steve's trap, many are getting caught.

 

I reckon after this year Steve will be renting a houso in the Druitt, driving an old commodore and growing a few in the backyard just to try and make ends meet.

And he'll change his name to Stevo.

 

Just have to ask as a few people like to jump the fence in those places and can smell the Hindu Kush from half a mile away as you would end up where you started..

 

There are a lot of fence jumpers , but, they're mainly on reconnaissance missions. It's at harvest time that vigilance is needed.

 

Right. So there seems to be a general consensus that evey company in existance will either not make a profit or if they eek one out won't pay a dividend. No point in commencing or staying in business in that case. Across the board. Period. Back to exchanging a carrot for a nail to build the IP whuch you are unable to rent.

What a gloomy lot.

 

We always have bull and bear, Steve won't be able to get business only selling bulls, he may need to learn to hunt

 

Dividend and Expense Review - April 2020 - Stimulus Check

 

Cute pic. A succinct summation.

 

The Best Source of Investment Income? - A Wealth of Common Sense

 

Yep, flat out investing

And a quick summation below because you don't read the links

Steve, my dividend employee, earned himself $1.28/hr this month. That’s not a great month and it brings his annual hourly wage to $4.09/hr.

That’s not a lot but Steve’s biggest months are still ahead of him as you can see by the graph below.



And from the earlier one..

I use Steve as a way to translate my dividend income into an hourly wage. It’s as if my portfolio were an employee generating revenue for me.

For the purposes of my hourly wage calculations, Steve works 250 business days and 8 hour days. He delivers income each month based on my holdings. He reinvests everything for me because I’m in the growth stage right now, not in the withdrawal stage.

The income may be barely noticeable at first. However, the growth is substantial and speaks to the power of continue investing and reinvesting.

I only started tracking my dividends in 2016 but the growth has already been substantial as evidenced by the totals below.

In 2016, Steve brought me $7,023.82 in dividends. That grew by 18.4% in 2017 with a total of $8,317.30! By 2018, Steve’s deliveries had grown another 28.6% and eclipsed 10k with a total of $10,702.03. The best part about Steve’s work is that it keeps getting better. 2019 is set to be another record year with my growth year to date eclipsing what I saw in 2018!

It’s awesome to see Steve’s growth!

The goal here is to help Steve grow his income and have him help me smooth out any rough periods by providing income that can be reinvested through good times and bad. The ideal scenario would be a time where Steve covers all my costs. It’d be nice to never have to touch the principal but I’m a long ways away from that.

 

And the reason I don't is probably due to me being slightly jaded. I do think the information is very useful especially for those starting their investment journey and kudos to you posting it. However, I found commentary available on various media platforms doesn't say anything new or rather new to me. Fossilised Brain Syndrome?

 

"Dividends are actual cash flows being paid out by corporations into the hands of investors."

Give me the money.

I'll decide when, how or if I'll place it. Apart from the 50% in personal holdings and 100% in the SMSF - excluding ETF distributions. Dichotomous attitude.

Don't want all of it kept by a company to improve their executive stock options or performance bonuses. If they then go kaput at least I'll get to keep something.

 

Poor Steve has been conned by his employer, he reinvested his dividends into some good dividend paying employers, NBA, ANZ, WEB, FLT CWN he has gone to the bank to withdraw his December wage but two thirds of it has gone missing along with part his salary for the last 5 years. Steve should regularly put tenders out for a new boss, who has a better way to reward Steve and give him better conditions and benefits with more holiday pay, sick leave and large bonus's

 

I thought I'd better check in on Steve to see how he's doing

March Dividends

Link

 

Good work Steve!

 

I agree, no smoothing dividends give it me

 

On another note re: Dividends

Lookinmg at this (Dividend income)/(Dividend %) = Amount invested

example
$52'000 a year required ($1'000 per week)

$52'000/0.04 = $1'300'000 amount to be invested