This is a couple weeks late, but I’m finally getting around to posting our secondary income update for the month of August. It was a mixed month with gains in military reserve income and dividends, and losses from stock trading and rental properties.
I spent the majority of the month on military orders and received payment for four days in August and two days in July. I should get paid for the rest of the time served sometime in the next couple weeks. I’m curious to see how much I end up with by year’s end in my first full year as a reservist. I’m definitely enjoying it as a part time gig.
As most of us are probably aware, the stock market hit a rough patch last month. I didn’t do much trading and aside from one great small trade, I really missed the boat on a couple others. Two option contracts I bought early this summer expired worthless when the correction erased any chances of coming out ahead. Truthfully, I took on too much risk with those trades and will only use options in special cases moving forward.
On the positive side, dividend payments came in as expected and I was able to automatically purchase additional shares at a lower price. The market dip will have an even bigger impact this month when the majority of our stocks/index funds pay out a portion of their earnings. I’m hoping the market stays down for at least a few more weeks. A couple of our larger holdings pay out dividends at the end of the month and I really want to maximize their reinvestment.
We initiated a third private real estate loan. Between the three loans, we’ve accrued about $2,500 in outstanding interest. As of this post’s publishing date, our first loan has been active for over six months and should be ready to close out in the coming weeks.
Looking at our rentals, this is the first month I can remember that we’ve had expenses for both properties. On one we replaced the garage door opener and on the other we replaced a leaky kitchen faucet. Combined, those two expenses resulted in a net loss for the month.
Overall, even though we’re still on track for a good year, our projected annual side income fell slightly to just over $40K. September is shaping up to be a very strong month which should boost projections up a bit.