Some Mid-May Thoughts

I thought I’d post some mid-May thoughts since we are all pretty much stuck in limbo for the foreseeable near-term future. The governor’s “PAUSE” order is set to expire today for New York for some parts of the State. However, here in New York City (where the death toll has exceeded 20,000), it will likely be extended to at least the first half of June. Still, there is cautious optimism that the curve has flattened and a sense of normalcy may return someday soon. There is still a lot of unknowns, especially with talk of a “second” wave of COVID-19 possibly emerging in the Fall and/or Winter season. All we can really do is hope for the best.

I am considered an “essential worker” for the city, so beginning in May I have been working two days in the office and two days remotely from home. When this policy first started in April, the remote network program wasn’t up and running yet. So, for most of April I was just getting paid to stay home and do nothing. My working income basically, and briefly, became my passive income. I guess that counts as a small taste of what financial freedom feels like. Getting fully paid while doing nothing. Unfortunately, I was mainly confined to my home so it was a very incomplete taste of financial freedom.

I have two unfortunate pieces of news to report (although there are silver linings to each of them). The first is that I experienced my first COVID-19 related dividend suspension. Kontour Brands (KTB) had suspended its dividend until the economic situation improves. Thus, $20.16 has be shaved off my forward yearly dividend income. The silver lining here is that it was my smallest holding with the smallest amount of dividend income generated yearly. It sucks to see it cut, but at the very least the damage was minimal. I don’t plan on selling KTB as it was a stock I got for “free” when VFC spun it off. I will wait and see what happens with this one.

The second unfortunate piece of news was that last week a water pipe burst in the ceiling of my bathroom. I woke up and found it raining in my bathroom. Not exactly the best way to start a new day.  I called the building super, then plumbers came and had to cut two holes in the ceiling and go through the upstairs neighbor’s floor to replace the pipe. The silver lining? The damage was minimal and because it was a pipe located in between the floors, the building assumes responsibility and the costs of repair. So, I did not have to pay for anything. Happily, my bathroom is fixed now.

And that is pretty much the month of May so far. Things could have been a lot worse and I am grateful they weren’t. I am glad I still have a job and getting paid. I’m glad I am still healthy. I am glad those I know are still well. And I am glad the dividends are still rolling in thus far. What will next month bring? Who knows, but I am at least hoping for a recording breaking dividend month if all goes well. As of now, my portfolio is set to generate $10,435 in dividend income over the next 12 months. So, how is your month going so far? Let me know in the comments below!

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