I posted my idea for the Dividends for Charity fund back in early July.  I’ve decided to dedicate an entire page here for tracking the progress of the fund as well as hopefully (encourage) people to start their own funds for good causes!  The idea here is that a lot of us are lucky enough to have plenty of money to support ourselves, and that putting aside $8750 ONE TIME and investing it in safe dividend stocks can supply a $25/month donation (and hopefully more) for the rest of your life.

For those of you who missed the article, you can see the complete details here:

I’ll include the stocks I chose below and update the performance seen on a monthly basis. I need the fund to generate $25 a month – but since dividends are paid quarterly, I will leave it as a $300 annual goal in order to fund my donation to Children International.  For simplicity, I will include the initial annual dividend amounts anticipated from each stock position.

Stock Shares Initial Value  Annual Dividend
General Motors (GM)
62 $1985 $94
GlaxoSmithKline (GSK)
11 $482 $20
Cisco (CSCO)
32 $985 $33
Ford (F)
73 $1001 $44
Apple (APPL)
12 $1162 $27
Target (TGT)
15 $1152 $36
HSBC Holdings (HSBC)
15 $490 $30
Valero Energy (VLO)
9 $454 $22
PepsiCo Inc (PEP)
5 $532 $15
AT&T (T)
14 $511 $27
Total
$8754 $348

So as it stands today, we are looking at $348 per year in dividends paid.  That will fund my $25 monthly donation.  My hope is that with dividend increases and price growth, this fund will be able to sustain much more than a $25 donation per month.  It will be an interesting experiment, so I’ll provide monthly updates below, with the key statistic being the Over/Under on whether I’ve been sustaining the $25 per month.  In order to create a snowball, I will re-invest year 1’s dividends instead of withdrawing them to donate.  That should provide a nice cushion for the fund to be fully functional.  I will start using this fund for my donations in 2018.

Month Donations Cash Dividends Price Growth ($) Over/Under
December 2016
$125 $104 $690 +$566