Here are the top 20 stocks in my Dividend Portfolio as of 5/31/11 ranked by size of holdings.

1. Kinder Morgan Energy (KMP) USA
2. DCP Midstream Partners (DPM) USA
3. Johnson & Johnson (JNJ) USA
4. ONEOK, Inc. (OKE) USA
5. Procter & Gamble (PG) USA
6. Barclays PLC (BCS) UK
7. Abbott Labs (ABT) USA
8. General Electric Company (GE) USA
9. CommonWealth REIT (CWH) USA
10. Becton, Dickinson and Co (BDX) USA
11. PepsiCo (PEP) USA
12. Exxon Mobil (XOM) USA
13. GlaxoSmithKline (GSK) UK
14. Unilever NV (UN) Netherlands
15. Aircastle Limited (AYR) USA
16. Banco Santander (STD) Spain
17. AT&T (T) USA
18. Pfizer (PFE) USA
19. Novartis (NVS) Switzerland
20. Verizon Communications (VZ) USA

Here are the top 20 holdings of the Vanguard Value ETF (VTV) as of March 31, 2011. The Fund seeks to track the performance of the MSCI® US Prime Market Value Index, which measures the investment return of large-capitalization value stocks.

1. Exxon Mobil Corporation (XOM) USA
2. Chevron (CVX) USA
3. General Electric Company (GE) USA
4. AT&T (T) USA
5. JPMorgan Chase (JPM) USA
6. Procter & Gamble (PG) USA
7. Johnson & Johnson (JNJ) USA
8. Pfizer (PFE) USA
9. Wells Fargo (WFC) USA
10. Bank of America (BAC) USA
11. Intel (INTC) USA
12. ConocoPhillips (COP) USA
13. Verizon (VZ) USA
14. Merck (MRK) USA
15. Occidental Petroleum (OXY) USA
16. Goldman Sachs Group(GS) USA
17. United Technologies (UTX) USA
18. Citigroup (CP) USA
19. 3M (MMM) USA
20. Home Depot (HD) USA

I have been building a stock portfolio of dividend stocks outside of my retirement accounts that I will use to help produce income in retirement. This portfolio was valued at $146,553 as of the end of May.

My Annualized Dividend Income as of the end of May increased to $6,511 from $6,506 over the past month. This means my dividend stocks will pay $6,511 in dividends over the next 12 months. This portfolio of stocks has a current yield of 4.44%.

All my dividend distributions from the month went toward paying down debt. The stock market was down for the month but we continue to see companies increasing their dividends this year.

Most of my stocks are held in my new Vanguard Brokerage account and the rest are DRIPs. I am keeping track of the amount of income I could receive once I retire or choose to receive the dividends in cash.

I will post my Top 20 Stock Holdings on Friday.

As of the end of May our Net Worth decreased to $965,562 from $982,002 for the month which is a 1.67% decrease. The decrease in net worth is tied to the decrease in the stock market for the month.

The breakout is as follows:
ASSETS
Retirement Accounts $516,140
Taxable Accounts $146,553
Cash $26,912
Home $205,000

Other Real Estate $137,500
Cars $6,400
Personal Property $3,000
Kids 529 Accounts $41,636

DEBT

Other Mortgage $111,939

Credit Card $5,640

NET WORTH

$965,652

Here is the summary for this month:

The stock market was down for the month of May. The S&P 500 was down around 2% for the month and that accounted for most of our decrease in value.

We now have $5,640 in credit card debt that is interest free for 12 months. The money was used to furnish our new investment condo. We will continue to use our other credit cards for rewards but payoff the balances each month. All dividends received this month went toward paying down debt.

We will be paying down debt and trying to building up our cash over the next few months to increase our cash reserves. You can click on my Net Worth graph on the right to see the changes in each category from the previous month. We continue to fund our Roth IRA's each month.

I will post my Dividend Income Update on Thursday.