I received my very first cash dividend last week from my hero stock Megaworld (MEG).
The cash dividend was Php0.03322 / share and with my 4,000 MEG shares, I received a cool Php119 after taxes! Woohoo!
That might not seem a lot to others, but think of it this way, if I deposited Php10,000 in a savings account (SA) that earns 2% p.a., I would have earned Php160 after taxes [(Php10,000 x 0.02) - (Php10,000 x 0.02 x 0.20)]. With stocks, I earned a little lower than my SA but at a shorter period of 2 months (Ex date was June 26, 2012). So 2 months of investments yielded dividends almost equal to one year of earnings with my SA.
And take note that we're only talking about the dividends here, the profits that my stock earned are another thing altogether. Any way you look at it, stocks easily trump any SA.
My other stocks are also scheduled to release dividends soon. Again, the dividends I'll be receiving are practically inconsequential, but considering that I only started investing last April, I think it's a good start. Here's to baby steps!