Tuesday, May 28, 2019

Why I Can Live Off My Dividends

I do not have money for my retirement because I worked; but because I invested some of what I earned in companies. I lived slightly below my income and invested a little each year into stock and mutual funds and later just in stock. I also went the dividend reinvestment route, but stopped because it involved a lot of tracking. However, I continued to reinvest dividend income. This is why I am able to live off my income (which is mostly all dividends).

I started off by buying Canadian Savings Bonds on a monthly basis and when I cashed my bonds in in November, I had enough money to buy some stock. I was lucky because November turned out to be a very good month to buy stocks.

I eventually found that dividend growth stocks were the best investment for me. I like them because they raise their dividends over time. My dividends have grown faster than the rate of inflation. This sort of puts you in a better position each year.

On my other blog I wrote yesterday about Ritchie Bros Auctioneers Inc (TSX-RBA, NYSE-RBA) ... learn more. Next, I will write about Industrial Alliance Ins. & Fin. Srv. Inc (TSX-IAG, OTC-IDLLF) ... learn more on Wednesday, May 29, 2019 around 5 pm.

This blog is meant for educational purposes only and is not to provide investment advice. Before making any investment decision, you should always do your own research or consult an investment professional. I do research for my own edification and I am willing to share. I write what I think and I may or may not be correct.

See my site for an index to these blog entries and for stocks followed. I have three blogs. The first talks only about specific stocks and is called Investment Talk. The second one contains information on mostly investing and is called Investing Economics Mostly. My last blog is for my book reviews and it is called Non-Fiction Mostly. Follow me on Twitter. I am on Instagram. Or you can just Google #walktoronto spbrunner8166 to see my pictures.

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