Union Pacific Corporation (UNP) Dividend Increase Announced on July 26, 2018

The growth of the dividend that Union Pacific Corporation (UNP) has paid since in was added to my nonPension portfolio has been phenomenal.  In two and a half years, the dividend payments I have received has increased by 54%, which works out to an annualized growth rate of 19%.

There have been three increases in the dividend at UNP over the past four quarters.  During the time I have owned the company, the value of the shares I own has also increased significantly.

Wells Fargo & Company (WFC) Dividend Increase Announced on July 26, 2017

The dividend growth offered by Wells Fargo & Company (WFC) has under-performed relative to expectations during the time I have owned it in the nP portfolio, but its most recent dividend increase is a bit more respectable.

During the time I have owned WFC, the value of the shares has increased while the dividend payments has grown.  Those dividends have grown by 20% in two years, or 9% on an annualized basis.

Penske Automotive Group, Inc. (PAG) Dividend Increase Announced on July 18,2018

The next dividend that Penske Automotive Group, Inc. (PAG) will pay in September will continue the tradition of raising the dividend by a penny per quarter, which has occurred since my initial purchase in the spring of last year.

While the dividend payments have gone up, the value of the shares has gone up as well.

The 20% increase in my next dividend payment over the first payment 15 months earlier is 16% higher on an annualized basis.  16% is an excellent annualized growth rate for a stock in the nP portfolio.

Ryder Systems, Inc. (R) Dividend Increase Announced on July 13, 2018

 Ryder Systems, Inc. (R) raised its dividend again in July. The company has had four dividend increases in the less than three years that it has been in the nonPension portfolio.  Thanks to dividend increases and dividend reinvestment over the time I have owned R, the next payment will be $1.66 more than my first one.

During the time the dividend has gone up, R's stock has increased in value as well.  If R keeps up its dividend growth rate continues over the next 17 years, it will make a great contribution to my overall income when I turn 65. 

The nonPension portfolio turns three today!

In the future, society will recognize that the majority of individuals will benefit more by keeping more of their money to save for their old age rather than handing over large chunks of their income to an employer or the government in exchange for a promise to receive a monthly allowance. 

Until that day in the future, it will be necessary for those who get it to provide enough examples that this premise is valid so that the number of people who understand it increases.

To do my part, I decided three years ago to take some cash that was available to me when left a job that I held for seven years, and turn that cash into monthly income that will be at least as valuable as it would have been if it had stayed in the pension plan that I was forfeiting.

Granted, I was not vested in the pension and had no intention of returning to work for the organization so that I could stay enough years to become vested.  But if I were to qualify for the pension based on money paid in, then I would have qualified for a $560 monthly payment starting at age 65.  The investment that would have generated this income included my approximately $21,000 in non-voluntary contributions as well as a larger contribution from my employer.  The payments would have ended after my life ended.

My goal is to generate $560 or more in dividend income from the $21,000 that was returned to me in 2015 starting in 2035 when I turn 65.  There will be two bonuses if my plan comes to fruition: 

(1) I will do it without the additional contribution from my former employer.
(I had to forfeit those contributions.)  .... and

(2) The dividend income will continue after I die, unlike the pension plan that I left behind. 

I call my plan a nonPension plan because I have control of the investments.  When I started tracking my nonPension income in January 2017, I was making about $66 per month on average.  That amount has increased over the past 18 months to about $84.  There are about 17 years to go before the monthly income of $560 needs to be available to me.  This blog tracks the progress since the beginning, and hopefully will continue until the the goal is reached.  Will it be possible for me to reach my goal?  We will see.

Below you can find the stocks in my portfolio that are working toward that goal for me.

Ticker	Shares	Share Price	Value
AAPL	5.172	$191.44	$990.13
ABBV	9.832	$88.91	$874.16
ADM	13.013	$47.12	$613.17
ADNT	1.000	$46.43	$46.43
AFL	11.063	$43.06	$476.37
AMGN	3.185	$190.49	$606.71
AMP	5.293	$139.53	$738.53
BA	4.285	$354.90	$1,520.75
BBY	16.969	$76.11	$1,291.51
BG	9.500	$68.03	$646.29
CAH	7.274	$48.80	$354.97
CCL	11.606	$58.14	$674.77
EAT	10.790	$49.97	$539.18
EMN	7.443	$99.99	$744.18
GEO	25.481	$26.09	$664.80
GILD	6.349	$77.37	$491.22
GLW	28.622	$29.12	$833.47
HBI	24.847	$22.17	$550.86
HOG	12.899	$41.62	$536.86
HPQ	39.192	$22.94	$899.06
INTC	14.744	$51.91	$765.34
IP	14.229	$52.84	$751.86
IRM	16.242	$34.95	$567.66
JCI	10.383	$36.14	$375.24
JPM	8.439	$111.28	$939.12
KSS	12.208	$73.65	$899.12
LAMR	7.364	$71.62	$527.41
LM	17.077	$33.36	$569.69
M	13.473	$38.65	$520.73
MPC	17.064	$72.52	$1,237.48
OHI	17.733	$30.49	$540.68
PAG	11.402	$48.90	$557.56
PFE	16.150	$37.33	$602.88
PRU	6.496	$95.25	$618.74
PSX	6.386	$110.36	$704.76
QCOM	9.800	$58.61	$574.36
R	10.649	$74.70	$795.48
SBUX	8.165	$50.91	$415.68
T	17.052	$31.10	$530.33
TGT	7.544	$77.76	$586.61
UNP	6.349	$141.41	$897.81
VIAB	12.713	$27.49	$349.48
VZ	10.976	$50.62	$555.59
WFC	10.581	$56.41	$596.89
WH	7.339	$58.34	$428.16
WHR	3.155	$151.80	$478.93
WRK	8.007	$57.50	$460.40
WYND	7.375	$46.86	$345.59
Cash ($)			$136.11
Total Value			$31,423.12
Three Years Ago			$21,346.15
Increase			47.21%
S & P 500			2801.83
Three Years Ago			2051.82
Increase			36.55%