Net Worth Update - September 24 2022

Today is September 24, 2022. Although passive income through dividends and option premiums is my focus when it comes to investing, I decide to do a post about my current net worth.

What is net worth? Simply put, net worth is calculated by adding up all assets and subtracting the total of all liabilities. Net worth is sometimes referred to as shareholder's equity. Assets and liabilities are part of the balance sheet.

Assets

Savings

The savings section is currently into 3 segments. The 3 parts are a "high" interest savings account, savings account, and an "investment" savings account.

The TFSA savings account was with Tangerine. I was frustrated with getting such a low interest rate with Tangerine. I took the money out and placed it in non-registered high interest rate savings account with EQ Bank. Unfortunately, the account did not disappear as interest was earned in the TFSA with Tangerine for the month I transferred the balance. The balance is $0.18. With a value this low, I do not even earn interest as the balance so low.  

On September 24, 2022, the value of the savings account with EQ Bank is $1286.17.  As of the time of this writing, the interest rate for EQ Bank is currently sitting at 2.00%. 

The stock and ETF investment involves a stock and an ETF that I hold within my margin account. I keep the dividends and distributions received separate from the dividends I post in my dividend income updates.

There were a few new purchases in this account since last published update on June 25, 2022.

On July 5, I purchased 2 units of ZWC at $17.55 for a total cost of $35.11 including commissions.  The ETF currently has a monthly distribution of $0.10 per unit.  The yield on cost for this purchase is 6.84%.

On Sept 1, I purchased 6 units of ZWC at $17.48 for a total cost of $104.90 including commissions.  The monthly distribution remained unchanged.  The yield on cost for this purchase is 6.86%.

On Sept 23, I purchased 3 units of ZWC at $17.36 for a total cost of $52.09 including commissions. The monthly distribution remained unchanged at $0.10 per unit.   The yield on cost for this purchased is 6.91%.

 I own 100 units of Bank of Montreal's  Canadian High Dividend Covered Call ETF (ZWC.TO).  I received a total of $177.64 in total distributions as of September 24 2022.

I own 41 units of Transalta Renewables (ticker symbol  RNW.TO).  Transalta Renewables pays a monthly dividend of $0.07833 per share.  I received a total of $38.52 in total dividends as of September 24, 2022.

On September 24, 2022 , the current value of this "stock / ETF account" is $2274.99.  I have earned a total of $305.57 in total dividends/distributions in this account. 

Overall, the savings total is $3561.34 . 

Non-registered Accounts

The non-registered accounts consist of a margin account and 2 stocks held directly with the transfer agents. The margin account is with Questrade. The total value is $120066.16 as of September 24, 2022. This is an increase of 7.25% since the last published net worth post.


TFSA Investing Account

The TFSA investing account balance is $61629.06 as of September 24, 2022. This account is with Questrade. This is an increase of 6.67% since the last published net worth post.

Trading Account

The trading account is with Questrade. There is an active trade on in this account as of the time of this writing. As of September 24, the value of this account is $4918.64.

RRSP

I have transferred my RRSP from Tangerine to Questrade in April 2020. While at Tangerine, the RRSP was in the form of a "high" interest savings account. Now at Questrade, I decided to put the money to work.

As of September 24, 2022, I own 21 shares of CP Rail (Ticker Symbol  CP.TO) , 110 units of XAW, and 49 shares of Alimentation Couche-Tard  (ATD.B.TO).   I sold covered calls on the CP Rail position, and 100 shares were assigned recently.    

The value of this account as of September 24, 2022 is $17737.27. This is an increase of 4.31% from June 25, 2022.

Summary of Assets

Total Savings : $3561.34
Non-Registered accounts : $120066.16
TFSA Investing : $61629.06
Trading Account: $4918.64
RRSP Savings Account: $17737.27

Total Assets = $207912.47 (increase of 7.43% from 3 months ago)

Liabilities

The balance on my line of credit is $0.00. 

The owe $2157.72 CAD in my margin account.  The margin is in the Canadian dollar account within my margin account in Questrade.  The USD account in Questrade has a positive cash balance.

Summary of Liabilities

Credit Line = $0.00

Margin = $2157.72

Total Liabilities = $2157.72

Conclusion

On September 24, 2022, my net worth is $205754.75. This is an increase of $13723.00, or 7.15%, from 3 months ago.


The market continues to go up and down. During the last 3 months, we have seen the rise of inflation and the fears of a recession take hold. 

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To read the eighth net worth update, click here.  

To read the ninth net worth update, click here.

To read the tenth net worth update, click here. 

To read the eleventh net worth update, click here. 

Disclosure: - Long all aforementioned stocks
  

DISCLAIMER

I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice.

Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk.

Dividend Income From Some Canadian Bloggers - August 2022

In Canada, the federal Conservative party concluded their leadership election. Pierre Poilievre won with 68% of the vote on the first ballot. Poilievre, born in Calgary, is given up for adoption by 16 year old teen mother. His adoptive parents were teachers from Saskatchewan.

Also in Canada, the federal Green Party is in turmoil. They are looking to select a new leader. Inflation in continuing to affect the lives of people around the world. From supply chain issues, shortage of drivers and port workers, and COVID19 slowing factories, their is a huge backlog. The ongoing war in Russia is continuing to affect the fuel prices.

On September 7, the Bank of Canada raised the interest rate hike 75 bps, or 0.75%, to 3.25%. At the start of the year, the interest rate was 0.25%. Therefore in less than a year, the interest rate has been raised 3%. For lines of credit and variable rate mortgages, the increased the greatly increased the amount of payments. For new mortgages, the cost of borrowing had deterred a lot of people from buying a home or condo.

There are predictions we will be in a recession later in 2022, while others are saying in 2023.

Let's get to the list of dividend income from some Canadian bloggers for August 2022.  Of course, I first want to mention my own dividend income report.

Passive Canadian Income received $1848.83 in passive income for the month of August 2022.  Of this total, $539.75 was dividend income.  The amount of new shares / units dripped came in at 6.

All About The Dividends received $571.34 in dividend income and added over $22.45 in forward dividend income via DRIPs.   

Reverse The Crush received $109.17 in dividend income in August  2022.  This is a 110% YoY increase.  

Our Life Financial received $1317.61 in dividend income.  Combined with her husband, they received $1546.97 in total dividend income and 28.17% increase YoY.  

Moneymaaster received $606.87 in dividend income and dripped 31 new shares/units to boost his future dividend income. 

My Own Advisor and Gen Y Money shared their individual dividend income updates with the world. Although their actual amount of dividend income received in August 2022 is not mentioned, there is some great information in their respective posts.    

Fire We Go  , via YouTube video, received $2099.73 in dividend income for the month of August. 

Conclusion:

We all started with $0.00 of passive income and have grown our investments over time. Each "BUY" transaction can provide ongoing dividend income which may also be increased over time.

In Canada and the United States, many brokerage accounts offer commission free trades and/or commission free ETFs. You can get started on your investing journey with very little money.

DISCLAIMER

I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice.

Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk.

Dividend Income Update - August 2022

       

The month of August 2022 is another month of dividend income landing in my accounts.

Due to becoming debt free, I changed my pay myself model. Starting the beginning of August 2021, I am paying myself 30%, just like before. This will now consist of 24% to investing, and 6% to savings.  The investment portion is going to my TFSA. Any money left over at the end of the month, I put towards investing on top of the money allocated from paying myself first. Hopefully, I can keep this up!

Update on paying myself first. At the start of August 2022, I now pay myself 35%.  This will consist of 25% to investing and 10% to savings. 

Note: All the dividends and totals below are in Canadian Dollars

I received a total of $352.45 in dividend income for the month of August 2022. This represents a 4.12% increase from 3 months ago and 19.74% increase year over year.

I received dividend / distribution income from 8 different companies.

I received $58.05 in option premiums within my investment accounts in August 2022.

Below is a visual of my dividend totals for the last 5 years.

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Most of my dividend income comes from my margin account.

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Next, I will show the percentage of total income for each position.  

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In the first 8 months of 2021, I received $3809.85.  In the first 8 months of 2022, I received $4451.16 in dividends.  This is an increase of 16.83% over the same period of 2021.  

 

I will update my dividend income tab with the new amount. I will include my option premium income also. It is great to see money from passive income sources deposited into my brokerage account every single month.

Note: Any activity in my RRSP account is not included in these totals.

How was your dividend income for August 2022?

Disclosure : Long all mentioned securities

DISCLAIMER

I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice.

Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk.

Portfolio Update - August 2022

The month of August 2022 is now behind us.

The inflation is taking its toll on the economy.  The price of food, gasoline, and utilities remain high.  Also, shrinkflation is happening.  Today, I noticing Campbell's Chunky soup have smaller cans now.  Cans use to be 540ml and now 515ml. 

In Canada different provinces are helping people out with inflation.  For instance, the Alberta government has removed the provincial gas tax for the second time on July 1 for another 3 months.  Also, the Alberta government is giving $50.00 per month rebates on electricity costs for 6 months. 

In western Canada, we have been in a heat wave for last 2 weeks of really high temperatures.   

A lot of families are struggling to get by due rise in inflation. 

The S&P 500 is down 18.19% year to date.    

Portfolio Activity

Margin Account Activity

On August 19th, I sold 2 Telus  Sept 09 2022 $30.50 covered calls at $0.35 for a net premium of $58.05 after commissions. 

TFSA Activity

There was no activity in this account in August 2022, besides depositing cash.  

Shares Purchased Via DRIP

1 unit  of BPF.UN.TO @ $16.00 for a total cost of $16.00 (TFSA)

1 share of EMA.TO @ $61.66611 for a total cost of $61.67 (TFSA)

1 unit of KMP.UN @ $17.92 for a total cost of $17.92 (TFSA)

Boston Pizza Royalties Income Fund pays a distribution of $0.10 per unit monthly, or $1.20 per unit annually.  This drip adds $1.20 CAD  to my annual dividend income.  The yield on cost for this DRIP is 7.50%.

Emera Inc. pays dividend of $0.6625 CAD per share quarterly, or $2.65 CAD per share annually.  This drip adds $2.65 CAD to my annual dividend income.  The yield on cost using the Canadian dollar equivalent for this DRIP is 4.30%.

Killam Properties REIT pays a distribution of $.058333 per unit monthly, or $0.70 per unit annually. This drip adds $0.70 CAD to my annual dividend income.  The yield on cost for this drip is 3.91%.

 

I have some other positions with the DRIP turned on, but might not have enough of a dividend to purchase a whole share. 

My Enbridge position directly with the transfer agent is set up to DRIP.  Around November 2018, Enbridge stopped their DRIP program.  If Enbridge decides to start a DRIP, then my shares will start to DRIP again automatically.  

Please note that if some brokerages DRIP shares when there is no DRIP program by the actual company. This DRIP is when the brokerage buys the shares directly off the public market stock exchanges. 

Dividend Increases

On August 8, Boston Pizza Royalties Income Fund (BPF.UN) increased their monthly dividend from $0.085 CAD to $0.100 CAD.  This is an increase of 17.6%.  

At the time of the press release, I owned 267 units of BPF.UN.  This increase adds $48.06 CAD to my annual dividend income. 

Dividend Decreases

There were no dividend decreases announced in August 2022.  

Summary: 

As of Sept 4, 2022 , the total value of the portfolio is $178000.17. This is a 0.203% decrease over last month's total.  

The portfolio is estimated to produce an estimated $7298.74 in dividend income over the next 12 months. This is an increase of $68.36  CAD , or 0.945%. Some of the dividends in the Canadian stocks section are paid in US dollars, which are converted to Canadian dollars.

Please Note: Positions in Enerplus Corporation (ERF.TO), Restaurant Brands International (QSR.TO) , Intertape Polymer Group (ITP.TO), Brookfield Renewables Corporation (BEPC.TO), and Algonquin Power and Utilities (AQN.TO)  pay dividends in US dollars. Brookfield Renewables Partners (BEP.UN) pays distributions in US dollars. My investment tab spreadsheet displays the Canadian dollar equivalent within 15 to 20 minutes of real time. 

Disclosure: Long aforementioned stocks

               
DISCLAIMER

I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice. Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk.