Who doesn’t love passive income? I mean, really? “Hey buddy, do you want a perpetual money making machine working for you while you sleep?” “Nah, seems foolish,” said nobody ever.
As I develop my own streams of passive income, I am continually looking for new and different ways to diversify this income. Part of this means expanding existing holdings through purchases, affecting the relative weights of investments in my portfolio, and in other ways this means adding new positions or entirely different forms of income. Some folks keep track of credit card rewards, savings account interest income, and random side hustles (but are those really passive) that might kick out some income. While I haven’t jumped into any other passive income sources just yet, I do experience utilize the first two mentioned, I just don’t track them actively on the blog. Perhaps something to consider for 2015…
In any case, let’s dive right in to what I do track, my passive income from Lending Club, Prosper, and dividends.
August Passive Income and Pageviews:
Blog Pageviews: My blog saw a very slight uptick in pageviews as I return to posting, albeit somewhat irregularly. Given my return to posting several times per month, I should see this number begin to increase again in the near future. A very short-term goal would be to hit 5,000 pageviews in September. Going to be a stretch given my overall slower posting schedule now, but why not reach for the stars?
My secondary goal was to hit 20,000 unique visitors, users now as Google calls them, for the year. Thus far, I’ve hit 11,935 for the year to date, measured only in total for the year-to-date, given that some pretty spectacular folks like to read more than one month of the year! A snapshot of my August Google Analytics dashboard is below:
Lending Club/Prosper: Combining my two peer to peer lending accounts for simplicity and brevity, August was another really strong month, pulling in my second highest combined total of the year at $180.30. While I am still nowhere near where I wanted to be when I set my annual goals, I understand this is mostly a result of two things: 1) my lack of additional capital invested for the year, and 2) overzealous goals not taking my maturing accounts into consideration. Even with that being said, I am still earning a return in the double figures for all my accounts.
Don’t get me wrong, I am thrilled with the progress my peer to peer lending accounts have made, and am anticipating hitting just shy of $2,000 of total net interest between the two for all of 2014. My plan is to continue to add some capital to these accounts, hopefully another $1-2,000 or so before the end of the year, which should set me up to exceed the $2,000 mark in 2015.
Dividends: My dividend growth investments are continuing to blossom nicely as I’ve been able to consistently invest each month with Loyal3 while the bulk of my cash has been tied up with other investments, life expense, etc. Going forward, I am anticipating that in addition to my $500 monthly investment in Loyal3, I will be able to make at least one purchase a month in my traditional account as well. While it is extremely unlikely I will hit my goal of receiving $1,650 of dividends in 2014, I will come fairly close, and will absolutely blow last year’s $1,005.94 out of the water.
Speaking of my dividends, in August I received dividends from four different holdings of mine. Those positions were American Capital Realty (ARCP), Kinder Morgan (KMI), Omega Healthcare Investors (OHI), and Prospect Capital (PSEC).
- ARCP: $15.39, reinvested into 1.177 shares
- KMI: $54.16, reinvested into 1.336 shares
- OHI: $25.05, reinvested into 0.663 shares
- PSEC: $20.33, reinvested into 1.862 shares
As with previous months, I am directly reinvesting all my dividends until my annual dividend income falls between $2-3,000 per year in a particular account, allowing me to reinvest more selectively a few times per year. This of course is always subject to change. For the dividends in my Loyal3 Portfolio, they will be selectively reinvested as earned or combined with additional contributions monthly. You can read about the dividend reinvestment options with Loyal3 in my Snowball City – Loyal3 Dividends post.
In addition to the dividends being reinvested above, I also made $700 worth of purchases in my Loyal3 account. The details of those purchases can be found here: Trades – August No-Cost Dividend Growth Portfolio Purchases
When factoring in my dividend reinvestments, any dividend increases, and the stock purchases during the past month, my forward 12-month dividends increased to $1,548.04. This represents an increase of $31.50 from July’s mark, and an increase of $360.74 from a year ago. The below chart reflects my dividends received, as well as my forward 12-month dividends since the beginning of 2013, when I started tracking things on the blog. Up and to the right, the best chart in the world for anyone focused on growing their passive income streams.
Passive Income Summary
During August, I received a total of $295.23 of passive income, well diversified across my two investment types, dividends and peer to peer lending. Overall, my year-to-date passive income earned is $2,108.46, which is just $535.02 away from exceeding last year’s total. Given how little I’ve been able to invest in these accounts this year I am thrilled that I should pass 2013’s passive income total sometime in early October. You can find below my updated passive income chart showing my overall passive income for the last 20 months, since January 2013.
Well that does it, August is in the books and the passive income machine continues to chug along!
Don’t hesitate to look around; you can find details on the various aspects of my passive income pieces under their respective pages, Lending Club, Prosper, and Dividend Growth. Additionally, you can find all of my monthly updates under the Passive Income Updates page, and all my monthly updates and incremental progress towards my 2014 goals on the Goals page.
Flickr: Sunova Surfboards