Earn Passive Income From September Dividend Stocks
Here’s an elite group of stocks that pay dividends in September to fill out your dividend income calendar.
To make money from dividends, select high-quality stocks. Then, hold them long-term to benefit from their current dividend income, future dividend increases, and share price appreciation.
Thus, these stocks that pay dividends in September deliver income, income growth, and capital gains.
So, let’s not delay. Because it’s time to talk about September dividends today.
Stocks That Pay Dividends In September
Here’s a list of 10 September dividend stocks:
- NYSE: JNJ – Johnson & Johnson
- NYSE: MCD – McDonald’s
- NASDAQ: MSFT – Microsoft
- NYSE: TGT – Target
- NYSE: NSC – Norfolk Southern
- NYSE: UPS – United Parcel Service
- NYSE: O – Realty Income
- NYSE: NEE – NextEra Energy
- NYSE: SO – Southern Company
- NYSE: WEC – Wisconsin Energy Group
Bonus coverage: I will add 5 more to this list before wrapping up.
Disclosure: At no cost to you, I may get commissions for purchases made through links in this post.
But first, let’s dive deeper into each of these 10 companies paying dividends in September.
Second, I will share a few dividend investing tips for these September dividend payers.
Finally, as just mentioned, I will list 5 more best dividend stocks to buy now for September dividends before concluding. Thus, you will have 15 dividend stock ideas for your consideration.
Note: all dividend metrics are as of the date of publication. So, check with your stockbroker or your favorite website before investing.
Let’s start with one of the best healthcare stocks paying dividends.
1. NYSE: JNJ – Johnson & Johnson
- Dividend yield: 3%
- Long-term average dividend growth rate: 8.25%
- Increased dividend annually since 1963
- Dividend status list: Dividend King
- The ex-dividend date for September dividend: Late August
- The stock pays dividends in March, June, September, and December
Get more information about JNJ’s dividend. Or, move on to the next one of our dividend-paying stocks in September…
2. NYSE: MCD – McDonald’s
- Dividend yield: 2%
- Long-term average dividend growth rate: 14.5%
- Increased dividend annually since 1976
- Dividend status list: Dividend Aristocrat
- The ex-dividend date for September dividend: Late August
- The stock pays dividends in March, June, September, and December
Read additional analysis on McDonald’s stock for dividends paid in September.
3. NASDAQ: MSFT – Microsoft
- Dividend yield: .8%
- Long-term average dividend growth rate: 12.7%
- Increased dividend annually since 2003
- Dividend status list: Dividend Achiever
- The ex-dividend date for September dividend: Mid-August
- The stock pays dividends in March, June, September, and December
Do you want more on Microsoft? Then check out this MSFT dividend review.
4. NYSE: TGT – Target
- Dividend yield: 3.4%
- Long-term average dividend growth rate: 14.5%
- Increased dividend annually since 1972
- Dividend status list: Dividend King
- The ex-dividend date for September dividend: Mid-August
- The stock pays dividends in March, June, September, and December
Otherwise, let’s move to our next 2 dividend stocks. They operate in the transportation sector.
But other than paying dividends in September. They do not have much other than the transport sector in common.
5. NYSE: NSC – Norfolk Southern
- Dividend yield: 2.3%
- Long-term average dividend growth rate: 12.9%
- Increased dividend annually since 2017
- Dividend status list: None
- The ex-dividend date for September dividend: see NOTE
- The stock pays dividends in February, May, August, November
NOTE: Historically, Norfolk Southern was a September dividend payer. However, in 2021, the company altered its quarterly dividend payment pattern. Shifting to February, May, August, and November.
I have elected to leave the stock in this post.
It’s a great company. One I have owned for many years. So, I didn’t have the heart to pull it out when updating this article.
NSC’s dividends are still real money, even though they aren’t paid in September!
From the rails of NSC stock for dividends. To planes and trucks. Because UPS is up next…
6. NYSE: UPS – United Parcel Service
- Dividend yield: 3.5%
- Long-term average dividend growth rate: 6.6%
- Increased dividend annually since 2010
- Dividend status list: Dividend Achievers
- The ex-dividend date for September dividend: Mid-August
- The stock pays dividends in March, June, September, and December
I have a few more companies that pay dividends in September to tell you about.
One of my favorites is next. Lucky dividend stock number 7.
7. NYSE: O – Realty Income
- Dividend yield: 5%
- Long-term average dividend growth rate: 4.3%
- Increased dividend annually since 1994
- Dividend status list: Dividend Aristocrat
- The ex-dividend date for September dividend: Late August
- The stock pays dividends monthly
Do you want to know more about Realty Income? Then here is Realty Income’s dividend review. Follow the link to find additional information.
Next, I will close with 3 utility stocks that pay dividends in September.
8. NYSE: NEE – NextEra Energy
- Dividend yield: 2.6%
- Long-term average dividend growth rate: 9.6%
- Increased dividend annually since 1996
- Dividend status list: Dividend Aristocrats
- The ex-dividend date for September dividend: Late August
- The stock pays dividends in March, June, September, and December
9. NYSE: SO – Southern Company
- Dividend yield: 3.9%
- Long-term average dividend growth rate: 4.5%
- Increased dividend annually since 2002
- Dividend status list: Dividend Achiever
- The ex-dividend date for September dividend: Mid-August
- The stock pays dividends in March, June, September, and December
Southern has had operational challenges over the last several years, but I still own the stock. Here’s more about dividends from this power company.
Next, it’s time for the tenth stock to pay dividends in September…
10. NYSE: WEC – Wisconsin Energy Group
- Dividend yield: 3.4%
- Long-term average dividend growth rate: 9.6%
- Increased dividend annually since 2004
- Dividend status list: Dividend Achiever
- The ex-dividend date for September dividend: Mid-August
- The stock pays dividends in March, June, September, and December
You may want to learn more about this slow and steady stock for dividends. Specifically, the WEC group. Today’s tenth stock in the list paying dividends in September. So, feel free to do so by following the link.
Dividend Investing Resources
Do you want more dividend stock ideas? Complete with robust analysis to pick the best dividend stocks to buy now.
Then consider the Simply Investing report. I get dividend stock ideas here for my portfolio every month.
Because Simply Investing covers hundreds of dividend stocks based in the U.S. and Canada. I used Simply Investing’s interactive database to pull the metrics for today’s stock list that pays September dividends.
On the other hand, you might also like the Motley Fool Stock Advisor for a broader stock set representing both growth stocks and stocks for income.
Motley Fool delivers 2 new stock picks each month along with insightful analysis.
I’ve learned much about investing over the years from services like Simply Investing and Motley Fool.
Or, stick with me right here and now because I want to talk a bit more about today’s list of stocks. Plus, give you five more September dividend payers before you go.
So, let’s continue.
Investing In Stocks That Pay Dividends In September: Tips, Tricks, And Good Things To Know
I want to share some of my thoughts on investing in these first ten stocks for dividends payable in September. These ideas apply to any high-quality dividend stock.
Tip #1: My Formula For Making Money From Stocks That Pay Dividends In September
Getting cash payments from your investments is a great approach to financial planning. Furthermore, my formula for dividend investing is pretty simple.
Number 1: Invest in good dividend stocks.
Second: Hold the stocks for the long term.
Number 3: Put the power of time and compounding to work.
Number 4: I recommend reinvesting all dividends right back into the portfolio of stocks that paid them.
This is a simple four-step formula to compound your wealth over time. Furthermore, the process is exactly how I have made money from dividends.
What’s the result? First, you receive dividend income today. Second, you collect more income in the future because of dividend increases. Finally, your stock’s prices increase over time.
Tip #2: Don’t Forget About Dividend Safety From Stocks That Pay Dividends In September
Dividend reductions are among the few things that will destroy a dividend portfolio. That’s where minding dividend safety comes into play.
Did you notice something about today’s list of stocks that pay dividends in September?
Well, I did. And here it is.
Most of today’s stocks have fairly modest dividend yields, between 1% and 4% for the most part. Lower dividend yields are an indication of dividend safety.
On the other hand, investing in stocks with higher dividend yields of 7%, 8%, or even more is enticing. However, I would rather have a lower dividend yield that I can count on in the future versus a higher one that could get cut because it is not sustainable.
It’s how I think about making monthly income from dividends without taking on too much investment risk.
You may have your own way of thinking about dividend investing and finding the best dividend stocks to buy now. And that’s okay with me!
Tip #3: Look At The Dividend Payout Ratio
The dividend payout ratio is another good dividend safety metric. It is sourced from company-reported financial results.
Lower is better from a dividend safety perspective.
But that doesn’t mean a high dividend payout ratio is bad because some companies operate in very consistent industries. They can reliably pay out most of their earnings in the form of dividends without the concern of a dividend cut in the future.
That’s where knowing about dividend-paying companies is so important. At least the ones you have invested in.
And here’s another way to think about dividend safety…
Tip #4: Put A Focus On Dividend Growth
When I first started dividend investing. I wanted dividend income now.
That approach encouraged me to look for high dividend yields. Now I focus on dividend growth investments.
As a result, I like companies with long dividend histories. Also, higher dividend growth rates.
These types of dividend growth stocks will typically have lower dividend yields. That’s okay with me because I no longer chase high yields.
Tip #5: Select Companies With Long Dividend Payment Histories
Did you notice the dividend royalty included in today’s stock list? Here’s what I mean by dividend royalty.
Today’s list of dividend stocks includes kings and aristocrats. Plus, some dividend achievers too. Please let me explain.
Dividend Kings. Companies that have increased their dividends annually for at least 50 years.
Dividend Aristocrats. Stocks of companies with at least 25 years in a row of dividend increases.
Dividend Achievers: The up-and-comers in the world of best dividend growth stocks. Those companies with at least 10 years of consecutive annual dividend increases.
Next, a little about the timing of dividends payments…
Tip #6: Fill Out Your Dividend Calendar with Stocks That Pay Dividends In September And Pay Quarterly Dividends
Except for Realty Income, a monthly dividend-paying stock. All of the other listed dividend stocks pay quarterly dividends.
These stocks follow a very typical dividend payment calendar for U.S.-based stocks.
Specifically, they are stocks paying dividends in March, June, September, and December.
Thus, do not expect dividends each month of the year from today’s list of September dividend payers.
So here are some other resources to fill out your dividend calendar…
Tip #7: Know The Other Quarterly Dividend Payment Patterns
You may want to check out this article about stocks paying dividends in January, April, July, and October.
Then you only need one more set of stocks for monthly dividend payments. And I have another stock grouping to fill that need.
Here it is. February, May, August, and November dividend payers.
Invest in one stock from each list of quarterly dividend stocks. to get dividends every month.
Furthermore, pick 2 stocks from each of these 3 quarterly dividend stock lists and make even more monthly dividends.
But promise me this…
Tip #8: Never Pick A Dividend Stock Only Based On When Its Dividend Is Paid
Investing in a stock solely because of the timing of its dividend payments is not the best idea.
I suggest first looking at a stock’s dividend yield, dividend history, dividend growth rate, dividend safety and dividend payout ratio to see what they tell you.
That’s what I do.
Then and only then do I look at the timing of dividend payments. And I do so mainly to fill out a low spot in my monthly dividend income stream.
Tip #9: For Stocks That Pay Dividends In September, Remember The Ex-Dividend Date
Don’t forget the ex-dividend date if you want the September dividend payment from any of these stocks.
Thus, you must buy before the ex-dividend date to receive the September dividend.
Furthermore, for September dividends, the ex-date will typically fall in August. But every stock is different.
If you are running behind on the calendar, then give yourself more time by checking out these stocks that pay dividends in October.
Regardless, hold your dividend stocks for the long term after making your initial investment. Then you will be entitled to every dividend the company approves and pays in the future.
And when you make that stock purchase before the ex-dividend date, be sure to trade stocks for free.
That’s what I do. And I use the Webull app to make my trades. It’s fast, powerful, and easy to use.
You can learn more about Webull here.
Tip #10: Income Taxes Due On Stock Dividends
When you buy and hold your dividend stocks in a taxable brokerage account, you will likely owe income taxes on your dividends received.
How much income tax? I can’t say for sure. It all depends on your tax situation. So consult with your tax advisor.
But I do know this. Taxes are deferred when you buy and hold your dividend stocks in an IRA. Or, in the case of a Roth IRA, tax payments will never be required.
Okay. I promised you 15 stocks that pay dividends in September. As a result, it’s time for me to deliver five more.
Stocks That Pay Dividends In September: Bonus Coverage – 5 More Stocks
- NYSE: ADM – Archer Daniels Midland
- NYSE: BDX – Becton Dickinson
- NYSE: CVX – Chevron
- NYSE: EMR – Emerson
- NYSE: IBM – International Business Machines
There are your additional five September dividend payers. So, that’s a wrap for today. Let me conclude with some final thoughts about what we have covered.
15 Stocks That Pay Dividends In September
I highlighted for you 15 stocks with September dividends. They were:
- NYSE: JNJ – Johnson & Johnson
- NYSE: MCD – McDonald’s
- NASDAQ: MSFT – Microsoft
- NYSE: TGT – Target
- NYSE: NSC – Norfolk Southern
- NYSE: UPS – United Parcel Service
- NYSE: O – Realty Income
- NYSE: NEE – NextEra Energy
- NYSE: SO – Southern Company
- NYSE: WEC – Wisconsin Energy Group
- NYSE: ADM – Archer Daniels Midland
- NYSE: BDX – Becton Dickinson
- NYSE: CVX – Chevron
- NYSE: EMR – Emerson
- NYSE: IBM – International Business Machines
For full disclosure, I own all of these stocks in my dividend portfolio.
Build A Diversified Portfolio Of The Best Stocks That Pay Dividends In September
As I look at this group of stocks, I see a diverse range of industry representation, including:
- Technology
- Retail
- Industrials
- Health Care
- Energy
- Utilities
- Real estate
- Consumer staples
Thus, I recommend you build your dividend portfolio with diversification in mind. As a result, invest in various companies from different industries.
Tips For Dividend Investors Hunting September Dividends
Finally, I also discussed other things to consider as a dividend investor when buying dividend stocks. These points apply regardless of when your stock’s dividends are paid.
- Use the power of compounding dividends
- Don’t forget about dividend safety
- Look at the stock’s dividend payout ratio
- Focus on dividend growth
- Make long dividend histories a priority
- Look for stocks paying quarterly dividends
- Know your stock’s dividend payment pattern
- Never buy a stock based only on when it pays dividends
- Check the ex-dividend date
- Hold your stocks in an IRA to save on taxes
- Diversify among industries
That’s all for today. Here’s some additional reading and the resources I mentioned in the article.
More Reading About Stocks That Pay Dividends In September & Other Months Too!
- Our dividend stock investing library
- Best stocks that pay dividends in August
- How to forecast future dividend payments
My Favorite Dividend Investing Resources
Make the most of your investments with some of my favorite resources. I mentioned them in the article, and they are summarized here for your convenience…
- Trade stocks for free with the Webull app
- Get dividend stock recommendations from Simply Investing
- Get top stock picks from Motley Fool
- Manage all of your finances with Empower
Author Bio, Disclosure, & Disclaimer: Please join me (Tom) as I try to achieve my goals, find my next place to live, and make the most of my money. However, I am not a licensed investment adviser, financial counselor, real estate agent, or tax professional. Instead, I’m a 50-something-year-old, early retired CPA, finance professional, and business school teacher with 40+ years of DIY dividend investing experience. I’m here only to share my thoughts about essential topics for success. As a result, nothing published on this site should be considered individual investment, financial, tax, or real estate advice. This site’s only purpose is general information & entertainment. Thus, neither I nor Dividends Diversify can be held liable for losses suffered by any party because of the information published on this website. Finally, all written content is the property of Dividends Diversify LLC. Unauthorized publication elsewhere is strictly prohibited.