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June 29, 2026

Monthly Update

June 2026: The Wheel Keeps Turning — A Near-Perfect Expiration and a Big Dividend Month

VTI pinned within a penny of the strike. SCHD assigned back into my hands. And a $12,246 dividend to close out the month.

Some months the wheel quietly does its job. June was one of those months — and then some.

After May's drama of getting fully assigned on both positions, June was about rebuilding. I came into the month owning SCHD again (via assignment) and holding cash-secured puts on VTI. By the end of June 18, I had $10,130 in options income locked in. And then on June 29, SCHD's quarterly dividend hit the account: $12,246.25.

Not bad for a "quiet" month.

The Numbers

$10,130
June Options Income
$12,246
Q2 Dividend (SCHD)
~$96,131
YTD Total Income

June Expiration (June 18): A Near-Perfect Result

Going into June 18, I had two positions expiring:

Here's how they settled:

SCHD ASSIGNED
Closed At
$31.86
Strike
$32.00
Result
48,500 shares @ $32

SCHD closed at $31.86 — just below my $32 put strike — so I was assigned. Exactly what I wanted. I paid $32 per share for 48,500 shares, collecting $1,552,000 in proceeds (from the puts I'd sold). I'm back to full position size on SCHD, and I collected $4,850 in premium for the privilege of waiting.

VTI EXPIRED WORTHLESS
Closed At
$369.99
Strike
$370.00
Premium Kept
$5,280

VTI closed at $369.99. One penny below my $370.00 put strike.

The puts expired worthless. I kept the full $5,280 premium and wasn't assigned any shares. I stayed in cash on VTI and immediately started planning my next position.

About that VTI pin: When an option expires within a few cents of the strike, traders call it "pinning." Market makers manage their delta exposure throughout the day and it can create self-reinforcing price action near popular strikes. Whether that's what happened here or pure coincidence, I'll take it. $5,280 collected, zero shares acquired, full flexibility going into July.

New Trades (June 25)

One week after expiration, I put new positions on for July.

SCHD OPENED
Type
Covered Calls
Strike / Exp
$32.50 / Jul 24
Premium
$9,700

485 contracts at $0.20 premium. The $32.50 strike gives SCHD about 2% room to run before I get called away again. At current prices, I'm comfortable with that tradeoff.

VTI OPENED
Type
Cash-Secured Puts
Strike / Exp
$370.00 / Jul 17
Premium
$5,060

11 contracts at $4.60 premium. Same strike as last month — if VTI pulls back to $370, I'd be happy owning it there. If it stays above, I keep the premium and roll again.

The June 29 Dividend

Being back in SCHD paid off immediately. On June 29, SCHD paid its Q2 2026 dividend.

48,500 shares × $0.2525 = $12,246.25 in qualified dividends

This is one of the reasons I keep coming back to SCHD specifically. The dividend is reliable, it's qualified (taxed at favorable long-term rates), and it compounds the wheel strategy nicely. Every quarter I own these shares, I collect this check.

The timing worked out well: I got assigned back into SCHD on June 18, and 11 days later the dividend hit. That's one of the pleasant side effects of the put strategy — even when you're "waiting to get in," you get back in right before the dividend if the timing aligns.

Portfolio State (End of June)

SCHD Shares 48,500
VTI Shares 0 (puts in place)
Cash (VMFXX @ 3.2%) ~$411,000
Open Positions 485 SCHD $32.50 calls (Jul 24) · 11 VTI $370 puts (Jul 17)
Total ~$1,965,760

Year-to-Date Summary

Month Options Dividends Total
January $31,930 $2,286 $34,216
February $12,197 $0 $12,197
March $3,525 $16,663 $20,188
April $7,600 $0 $7,600
May $6,600 $0 $6,600
June $10,130 $12,246 $22,376
YTD Total $71,982 $31,195 ~$96,131

Roughly $96K in income through six months. We're past the halfway point of the year and well on pace for another strong annual total.

Looking Ahead: July

July's projected cash flow is shaping up nicely:

Projected July total: ~$28,103 (if all positions play out as opened). That assumes the SCHD calls either expire worthless or get assigned at $32.50, and VTI stays above $370.

The strategy is the same as it's been for five years: sell premium, collect dividends, reinvest, repeat. Patience and discipline. Let time decay work for you, not against you.

One thing I keep coming back to: VTI closed at $369.99 this month — one penny from my strike — and I walked away fine. That's not luck, that's the structure of the strategy. Even in the worst case (getting assigned at $370), I would have owned VTI at a price I was comfortable with. The "near miss" framing misses the point. There are no bad outcomes when you've set up the trade correctly.

Lessons This Month

1. Pins happen — and the strategy handles them fine. VTI at $369.99 is a great story, but the real lesson is that it didn't matter whether it expired at $369 or $371. I was prepared for both outcomes. Build trades where both sides of the coin are acceptable, and you never have to sweat expiration day.

2. Dividend timing rewards patience. I sold puts on SCHD, got assigned back into my position on June 18, and collected $12,246 in dividends eleven days later. The wheel keeps you in the right assets at the right times — not because you time the market, but because you're always positioned to benefit from owning great dividend payers.

3. Quiet months are good months. No drama. No big decisions. Just the system running as designed. After May's double assignment, June felt almost boring. That's exactly how it should feel.

The wheel keeps turning.

— Russell

Russell retired at 39 using the wheel strategy on SCHD and VTI. He's back to 48,500 shares of SCHD, $411K in money market, and a fresh set of July positions. He writes about every trade at conservative-option.com.

SCHD VTI Assignment Dividend Monthly Update Options Expiration