January Progress Report – Building a Location Independent Income

by Centsable One on February 4, 2012 · 6 comments

Early in January, I published a post about my vision for generating a location independent income in 2012.  You can read more about my plan for generating this income here. In summary, however, by the end of 2012 I hope to have 5 streams of location independent income, each producing $200 per month.

This is my first progress report.  Most of the results reported are the result of decisions and work performed prior to setting my 2012 goal of improving my financial position by building a location independent income.  So it also represents a starting position.

The target listed at the start of each section represents the amount I’d like to see in that category by the end of 2012.  Some of those targets seem very far away as I compile these results. I keep trying to remind myself that all those bloggers out there earning a grand per month online had to start somewhere.  This is my somewhere.

The amounts under “Result” are the amounts achieved for the month.  I didn’t expect to have much to report for the first month, after all, the types of incomes I’m targeting generally take time to develop.

Never the less, here are the numbers!  If you’re anything like me a picture is worth a thousand words…

A long way to go...click to enlarge

Dividends and Fixed Interest

Target – $200 per month

Result – $119

At first glance at the results for the dividend stream of income, it looks like the annual target may be a bit low.  The results however are skewed by a $98 General Electric (GE) dividend payout – the result of a 10 year experiment in dollar cost averaging.  The number of shares I hold in GE has kind of snuck up on me while I wasn’t looking.  I swear the last time I paid attention to this dividend payment it only produced $30 a quarter.   Since GE pays dividends quarterly I expect every 4th month will look promising.

The breakdown of this category includes:

Dividends

$98 from General Electric (GE)

$7 from Altria (MO)

$4 from Vanguard Senior Income Fund (VVR)

Interest:

$9 from high yield internet savings account

The Altria dividend was from a new share purchase made in December 2011, as part of a “Build my own Mutual Fund” experiment.  This experiment started in 2006 and went dormant 12 months later and was resurrected in December upon reviewing the results of a handful of small investments made in an ING Sharebuilder account, using their automatic investment plans.

Some did well over the intervening years despite a global financial crisis, some did ok, and well, some just tanked.  It was the dividend paying or high yield stocks that did well.  I will be adding small positions to this account, all dividend earning. The idea is to make many small investments in a number of companies, hopefully reducing the risk of being invested in the market by diversifying.

Blogging

Target – $200 per month

Result – $16

For the record, one month after launch, this blog, a joint venture, remains a labor of love.  I do have another small blog hosted on a free blogging platform that I also write.  It is monetized via Google Adsense and Infolinks and is currently responsible for the income in this category.

Income in this category has been static (or stagnant?) for the past few months.  To reach my goal of $200 per month by the end of 2012, I need to see my income increase $180 over 11 months or roughly $16 per month (on a linear basis).

Without traffic, however, there is no income, so next month’s efforts will be to target a traffic increase.  Hopefully, that will turn into a revenue increase as well…

Affiliate Income – Amazon

Target – $200 per month

Actual – $11

A handful of articles at content mills continue to drive Amazon sales.  Amazon sales generally drop off after January.  My experience has been that sales are skewed towards October – January each year.  This of course is in my limited experience and my goal is to grow and smooth the income in this category.

I expect income in this category to drop without further work invested.

Content Mills

Target – $200 per month

Result – $5

Traffic to these sites continues to fall, with income falling instep.  I don’t expect that this category will remain on these reports beyond a few months if traffic and income do not increase.

Update:  There was an increase in traffic late in the month.  The increase still leaves traffic well below per-panda highs, but for the first time in months the move is in the right direction…

Kindle Publishing

Target – $200 per month

Actual – $0

This remains a plan for the future.

Total Target Income – $1000 per month

Total Result – $151

 

 

 

 

Related Posts Plugin for WordPress, Blogger...

{ 5 comments… read them below or add one }

cashflowmantra February 5, 2012 at 12:41 am

The good news is that you are 15% of the way to your monthly goal. Making money with blogging requires almost daily activity whether it is writing or commenting or responding to comments. Stay active and you will see results.

Reply

Centsable One February 14, 2012 at 12:27 am

You are so right Cashflowmantra. It also means checking your spam folder for genuine comments! Sorry it took so long to reply!

Reply

Dollar D @ The Dollar Disciple February 9, 2012 at 8:19 pm

It’s cool that you are working on multi-source strategy and I’m interested to see how it works out for you. Having multiple sources of income can bring a lot of stability to your finances should one or more of them dry up!

Reply

Centsable One February 9, 2012 at 9:12 pm

One of the reason’s I’ve chosen a multi-income stream approach is exactly for that reason. Like so many content mill writers I have watched that income stream trickle to barely anything over the past 12 months through Google’s Panda updates and rule changes at writing platforms themselves.

I am finding it difficult to dedicate enough time to each stream though to make a meaninful difference month over month!

Thanks for reading, Dollar D! I’m enjoying your blog.

Reply

Dindha March 12, 2012 at 4:49 am

Personally I find it quite amazing that you can rtielally buy so many good stocks, dividend paying and not, for almost nothing these days, and certainly at a far lower cost than borrowed money. Borrow at 2.5% (after-tax), and buy the TSX yielding almost 6% (after-tax), and reap at least a 3.5% profit without even so much as lifting a finger.Why is this happening? Because stocks have been the ‘out of favour’ asset class this decade, as people chased the housing bubble.What’s even more amazing is the plethora of stocks you can find these days that will even yield enough to make the interest payments just on the dividends alone, nevermind the re-invested capital.While most of our friends will probably be paying mortgages on their consumption assets (houses, boats, cars, etc.) for the rest of their lives, we’re building up solid assets that will, in time, provide complete freedom from debt servitude and interest. A little bit of consumption foregone when young, leads to the ability to consume much more when old.

Reply

Leave a Comment

{ 1 trackback }