Well, this blog entry is pretty much what the title says and not much more. Since I started this blog I am pondering about what the best way is to look at my progress in building that dividend income. Naturally, I plan to publish my monthly dividend income as soon as every month has ended. I see most dividend bloggers do that. However, I would like to add an entry on the bigger picture as well and not only cover the period of 30 days. So, I have been thinking about three charts.
The first one, let’s call it exhibit A, shows my lifetime cumulative income. For simplicity reasons I show dividend income in USD and EUR as I receive some dividends in the one currency and some in the other. Then, I simply add the two instead of converting them to one or the other. I like this chart because it shows how far I have come already in such a short time. On the downside it does not tell me much about how much monthly dividend income I can count on.
Enter exhibit B, the second chart. This one shows the actual monthly amounts I received from my portfolio without adding every month on top of the previous one. Again, I simply add EUR and USD. This chart shows me that there are still a few months in which I have no dividend income. I need to find one or two interesting ETFs that pay dividends in those months and make sure they don’t charge a lot!!! What is not right away clear from this chart is the year over year comparison, so it is slightly more difficult to monitor the progress.
The third and final chart, exhibit C, allows for monitoring progress. Per month it shows what the current and the previous year income has been. However, here I decided to not show the breakdown between USD and EUR as it would make the chart even more complicated, I think. The solid line at the 100 mark is a little target of mine. I plan to write another blog entry on goals for 2017 as we approach the end of 2016 but more on that later.
For now, I was wondering which way you prefer in terms of looking at your own progress in charts. Do you use one or multiple? I am looking forward to read your thoughts.