June 2025 Dividend Income Update
Hi Everyone,
Welcome to our latest update: our June 2025 dividend income update.
A reminder for anyone new to the site, this is a standing monthly series related to our hybrid investing approach for semi-retirement funding that I started some 15+ years ago.
This is how we invest:
- We invest in Canadian and a few remaining U.S. dividend paying stocks – about 25-30 stocks that collectively deliver income and growth over time…and
- We invest in some low-cost equity ETFs – that deliver long-term growth for extra diversifcation.
You can always read a bit more about what we own, why and where (i.e., in what accounts) on this dedicated My Dividends page I keep updated here.
I invest this way since I believe a combination of income investing + growth assets will deliver a healthy financial retirement.
June 2025 Dividend Income Update
It’s been a very (I mean very) challenging month, personally, due to some family illness news so I might write about that another time…but suffice to say my mind has been on my father, his health and supporting my family. Hardly about blogging or dividends but I wrote this post anyhow.
Over the years, I’ve posted this mantra a few times: health is wealth. That’s always been true of course but that hits home, quite hard, now.
- Good health is the foundation upon we all live our lives.
- While money can provide access to some comforts and provide some healthcare access itself, money cannot guarantee good health.
- And finally, while prioritizing healthy activities can/could lead to good longevity outcomes (i.e., following a good diet, maintaining consistent exercise, maintaining or improving your mental wellness) those practices cannot guarantee a healthy long-lived life.
The way I see it: health is the ultimate form of wealth.
I only want the very best for my father.
Fritz at Retirement Manifesto previously shared his 3-legged stool of retirement:
…Finding the right balance is the key….I think of those three legs as:
- Time
- Money
- Health
Indeed…and so we look forward, we stay positive, we look for options and we march on.
Last month, I mentioned we’ve sold off most of our U.S. stocks over the years in favour of moving proceeds to XAW in registered accounts in particular but Trump’s One Big, Beautiful Bill (BBB) had me thinking and had me worried.
Well, that BBB passed (sadly) but to my knowledge there are no U.S. withholding tax changes that should impact Canadian investors near-term. This is what I was fearing from last month:
“For example, the U.S. currently imposes a 15 per cent withholding tax on dividends Canadians receive from U.S. companies. Under tax treaties, however, an equivalent tax credit from the Canadian government generally offsets the withholding tax.
If the measure becomes law and the Trump administration designates Canada as a country with discriminatory taxes, a new five per cent withholding tax would go into effect. That tax would increase by five percentage points per year to a maximum of 20 per cent. It is not known if Canada would adjust its tax credits to offset such a tax.”
The only change I made to my portfolio in early June was purchasing more Brookfield (BN) when it dipped under $80. Otherwise, I am out of money to invest for a few more weeks or potentially months and so we’re back sticking to the broader plan for the rest of 2025:
- Remain invested in our current basket of stocks and low-cost ETFs.
- Continue to try and reduce any future sequence of returns risk for 2026 and 2027 by keeping all near-term spending in cash/cash equivalents. This way, I/we spend from that. It is my hope I won’t be selling any stocks nor any equity ETFs to fund our lifestyle until maybe sometime in 2027.
June 2025 Dividend Income Update
Thanks to many dividend raises earlier this year, with more BN in the portfolio, along with more HEQT dripped inside my small LIRA each month, our *projected income moved higher this past month!
*Recall these PADI updates on my site focus on 1. our non-registered accounts, 2. our RRSPs, and 3. my small LIRA from a former job years ago. I have reported things this way since January 2023 since these are the first accounts I will use to fund semi-retirement along with any part-time work: live off taxable dividend income, live off RRSP withdrawals and live off LIRA/LIF withdrawals.
I share this information not to brag. Hardly. I know folks that earn much more income from their portfolio than I do. Rather, I share it to tell part of our overall investing journey – to keep me honest, motivated and accountable for my investing decisions. I hope this transparency and what I share helps you out too.
What does this all mean? Well:
- That’s averaging just over $4,288 per month without any TFSA or other assets counted.
This is a decent income stream to support our long-term financial future….however long that may be.
A reminder that the first wealth in anyone’s life will always be health.
Take good care, stay positive and fight for your health and that of your family.
Mark
Related Reading:
Here are the returns of the S&P 500 related to dividend policies (i.e., dividend growers, steady dividend payers, and non-dividend paying stocks) with thanks to Dividend Growth Investor.
Young Canadians seem to love passive income (subscription) but they are finding out making money doesn’t come easy.
A reader asked me about RRSP taxation recently so I pointed them to this article. Best to consider getting that RRSP/RRIF money flowing early in your retirement vs. waiting until age 71 to 1. help smooth out taxation and 2. reduce the tax liability associated with those assets. I will be doing just that.
Sorry to hear about your father’s health issue. I hope things unfold as well as they can. On a positive note, your long journey to FI now gives you the freedom to be there for him and support him through this difficult time; a small yet meaningful light in his current predicament.
Best wishes,
Bob
Thanks very much. I appreciate the kind words.
Yes, it is good in that I am working part-time now and can help my mother (and him of course) much more readily. Interesting how life unfolds to be honest…
Mark
Sorry to hear about your father Mark. I hope these challenges can be overcome and there’s many years left to share with him.
Thanks, James. Tough times to be honest and near-term more about pain management and keeping his energy up for treatments. We’re all trying to remain positive and overall, I think he’s doing a great job at that given the circumstances – extent of spread.
Mark
Hi Mark ~
I’m very sorry to hear of your father’s health issues, and wish him, you and your family all the best. A reminder to us all not to take our health, and our days on this earth, for granted.
Best wishes,
Barbara
Thanks very much, Barbara. I appreciate your kind words.
Well said. 🙂
Mark
Mark,
My best wishes and prayers for your father and family. My own father has been diagnosed with cancer 3 years ago, and while it has been challenging, his positivity and support of friends and family has led to a good quality of life so far. Keep your chin up and carry on.
Thanks, Stacey. More test results will reveal all but we continue to remain as positive as well can. Life is for the living and caring. 🙂
I hope your father continues to thrive.
Mark
I wish you and your father the best. Mark. Watching those we love in distress is very tough.
Thanks, Sharon. Yes, very tough but we’re all trying to remain positive. No point in being angry or other.
I appreciate your note.
Mark
Hoping your Dad has the best possible outcome. Sadly, just attended a funeral for a good friend at 62 years old. I also lost my dad at 67 years. He worked hard to provide and save for us, but he never even really enjoyed his savings or pensions — and there was a large income tax bill on his RRSP when it was terminated (deemed disposition), not to mention all the crazy expenses to settle estate. And then, you have to give away what remains to people who don’t even deserve it. In the end, we wish he retired earlier, saved less, and enjoyed life more. Makes you wonder??
Thanks for that, Sal.
I’m sorry about your father…all that work and no play per se.
I appreciate your note and yes, makes you wonder. Thankfully, my father has been retired for many years.
Mark
Praying. for you and your dad and family to get through these tough times. Keep strong Mark.
Thanks, Bipin. We are all remaining strong and positive – namely he is too. I’m very proud of him.
Mark
I wish your father well. My heart goes out to all your family. Money only goes so far. Good health will go much further. Take care . I will be thinking of you.
Thanks very much, Jan. Health is a true form of wealth for sure. I appreciate your kind words and note. 🙂
Mark
Hello Mark,
Sorry to hear about your father , hoping the best for him .
Truly is Health is wealth you got your health you got everything because money can’t replace it or any loved one but unfortunately that’s the circle of life.
I had a couple of incidents in my life as well my wife dealing with cancer then both my parents with sudden health deterioration.
I pray that your dad will get better and things go back to normal.
Thanks, Gus. I hope his quality of life improves as he undergoes more tests including this week. We’re all here to support him and I know he knows that. 🙂
Stay well back.
Mark
Hi Mark – hoping for the best for your Dad as your family navigates through this chapter of life. As you said, life is precious and “health is the ultimate form of wealth”. Experienced that just last week attending a celebration of life for a former colleague and good friend who passed away due to illness just over a year after we retired from our company together. ;-(
Sorry to hear about your friend, MikeyP. Yes, life is short, precious and every day is meant to be enjoyed. These things are becoming very real to me now. I appreciate your comment and kind words.
Mark
Wishing you well during these difficult times.
Thanks for that, Carl. 🙂
Mark
Wishing all good things for your Dad.
Take care Mark
Kind words, thanks Chuck. 🙂
Mark
Hi Mark, Sending my best to you and your family. Take good care of yourself.
Very kind and thanks, JF. 🙂
Congratulations on moving forward with the income drive.
Wishing you well with your father and his illness.
Thanks, Deane. I appreciate the support. 🙂
Sorry to hear about your Dad’s health Ironically as I am about to retire this month on my 55th birthday I am suddenly through the same issues with my Dad.
It definitely shows you what is important in life and makes our own small day to day worries trivial
Thanks for your kind words. It’s been tough but staying positive since negativity does not help anyone. 🙂
I wish you well with your Dad, Vader.
Take good care and life is precious – meant to be savored for sure…
Mark