I started this blog in 2016. It was a monumental achievement. I always wanted a blog, but never found a theme I liked until now. Blogging helps keep me motivated to pursue my dividend growth investing strategy. Truth be told, this is not the first time I tried dividend investing. Years ago, I started using Computershare to invest in DRIPs. It was great, for a while. Then, life happened.
I honestly don’t remember why, but I felt the need to liquidate my account. It was the last thing I wanted to do. But, I felt like I had to do it. All the benefits of compounding gone. So, in 2016, I started over. I vowed to myself, that I will do whatever I can to see this DGI strategy to the end. I believe in the strategy and I definitely intend to keep it going. But, sometimes, life just throws curve balls in your way. All you can do is do the best you can under the circumstances. The difference between then and now is that I have this blog and the support of the DGI community. Well, I have some bad news.
My take home pay for the next two weeks (after taxes, etc) is a whopping $1193, which is much less than I was expecting. My mortgage payment alone is about $1100. So, there’s no way I can survive on that. Because of recent setbacks, my last remaining emergency fund is about $1600 in Robhinhood. So, now I’m faced with the prospect of having to liquidate that account in order to eat, and pay my other bills.
I’ve held onto those stocks for more than a year, so my taxes should be less. Currently, I have 15 shares in Coca Cola, 10 shares in Realty Income and 2 shares in Apple. I plan to reduce my portfolio so I keep only 1 share in each company. I honestly didn’t want to do this. It feels like what I did years ago, when I liquidated all my assets. But, there are important differences this time around.
My dividend portfolio is comprised of individual stocks held in either Computershare or Capital One Investing. None of the stocks in the portfolio that I track on this blog is held in Robinhood. Again, because Robinhood’s portfolio was only meant as a kind of secondary emergency fund of last resort, I didn’t count or track its data on this site.
Also, my intention is not to sell any stocks in my portfolio for any reason (except a cut in dividends or an otherwise failing company). I plan on holding these companies until I retire. Even in retirement, I’m not planning on selling shares, but simply living off the dividends. But, because I am completely broke today, I have to liquidate the assets I have in my Robinhood account. So annoying! My only other option is to live on my credit cards, which I’ve already rejected. The main reason is that I already have a credit card balance of $3000. If I start using my other card, I know the balance is going to go up and I can’t afford another huge credit card bill right now.
What About My Great News?
I recently wrote about some great news coming my way. Well, the truth of the matter is, it hasn’t arrived yet. Once it arrives, I’m sure it will alleviate a lot of the stress. But, until then, I just have to keep living life as best as I can. Honestly, I wasn’t sure if I was going to use any of the funds to replenish my emergency fund, but I might take $1000 of that amount to do that. These past few months have taught me the value of having an emergency fund. Dave Ramsey teaches that you should start off with a starter emergency fund of about $1000. So, that may be my initial goal as soon as my great news kicks in.
Because I’m still in a transition phase with my current job, I don’t expect my income to be stabilize until around September. I do believe the amount I’ll be receiving for the next year will be less than what I’m used to, but hopefully more than the $1193. So, budgeting for the next couple of months is going to be super tight. I really hope that $1193 is the LOWEST it will ever go. It’s very tough to live on that amount, even if I get paid twice per month. I have huge plans which may have to be seriously modified if that’s going to be my current paycheck every 1st and 15th of the month.
I didn’t want to make this a long post. Thank you for reading. It’s just that I checked all my bank accounts today, and realized that I’m super broke. Thankfully, I was still able to purchase a 6-pack of beer. Having to liquidate my Robinhood account is the last thing I wanted to do, but it is absolutely necessary in my current position. Once I do that, the next two weeks will be covered. Now, it’s just a matter of time to see what happens around August 15. Interesting times!