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Dividends are a good way to extend the earnings of your funding portfolio, and are one thing many individuals search in retirement or once they want more money. Dividend shares and funds might help you earn common passive earnings from a few of the strongest corporations within the economic system.
Listed here are 10 high-dividend S&P 500 shares to contemplate in your portfolio and the way to spend money on them.
10 excessive dividend shares to look at in 2025
All dividend and yield info is present as of September 29, 2025.
1. LyondellBasell Industries (LYB)
LyondellBasell Industries is a worldwide chemical firm that sells plastics and chemical substances to clients in a wide range of industries together with meals packaging, residence furnishings, automotive elements, paints and coatings. The corporate generated greater than $40 billion in income in 2024.
- Dividend yield: 11.1%
- Annual dividend: $5.48
2. United Parcel Service (UPS)
UPS is among the world’s largest package deal supply corporations and likewise supplies provide chain administration options. In 2024, the corporate delivered a mean of twenty-two.4 million packages per day and generated roughly $91 billion in whole income.
- Dividend yield: 7.8%
- Annual dividend: $6.56
3. Conagra Model (CAG)
Conagra Manufacturers owns a wide range of branded meals corporations, together with Duncan Hines, Wholesome Alternative, Marie Callender’s, Reddi-wip, and Slim Jim. The corporate generated greater than $12 billion in income throughout fiscal 12 months 2024.
- Dividend yield: 7.7%
- Annual dividend: $1.40
4. Pfizer (PFE)
Pfizer is a worldwide pharmaceutical firm that gives merchandise to deal with a wide range of cancers, vaccines towards infectious ailments, and quite a few specialty care merchandise. Income in 2024 was $63.6 billion, down from greater than $101 billion in 2022 on account of a decline within the coronavirus vaccine enterprise.
- Dividend yield: 7.2 p.c
- Annual dividend: $1.72
5. Altria (MO)
Altria is the title of Marlboro cigarettes, one of the well-known and standard tobacco manufacturers on this planet, and the corporate additionally owns a big stake in Anheuser-Busch InBev. Altria’s administration has lengthy stated it intends to pay out nearly all of its earnings as dividends.
- Dividend yield: 6.5 p.c
- Annual dividend: $4.24
6. Verizon Communications (VZ)
Verizon is a frontrunner in communications and know-how companies. Together with AT&T and T-Cell, Verizon supplies nearly all of cellphone service in the USA, with revenues of roughly $135 billion in 2024.
- Dividend yield: 6.3 p.c
- Annual dividend: $2.76
7. Dow Company (DOW)
Dow is concerned within the manufacturing of a wide range of chemical substances utilized in a wide range of industries. Its segments embrace packaging and specialty plastics, industrial intermediates and infrastructure, and useful supplies and coatings. Dow’s headquarters are positioned in Midland, Michigan. The corporate will lower its dividend by 50% in mid-2025 to $1.40 per 12 months.
- Dividend yield: 6.1 p.c
- Annual dividend: $1.40
8. Kraft Heinz (KHC)
Kraft Heinz operates a wide range of meals and beverage manufacturers, together with Kraft, Heinz, Oscar Mayer, Ole Ida, BelVita, Maxwell Home, and Kool-Assist. The corporate could have gross sales of roughly $26 billion in 2024, and Berkshire Hathaway, led by Warren Buffett, is its largest shareholder.
- Dividend yield: 6.1 p.c
- Annual dividend: $1.60
9. Franklin Assets (BEN)
Franklin Assets is a worldwide funding administration firm with over $1.6 trillion in belongings beneath administration as of September 2024. The corporate operates beneath outstanding asset administration corporations resembling Franklin Templeton, Legg Mason, Royce Funding Companions, and Western Asset Administration.
- Dividend yield: 5.5 p.c
- Annual dividend: $1.28
10. Ford Motor Firm (F)
Ford is among the world’s largest automakers, promoting automobiles beneath the Ford and Lincoln manufacturers. The corporate bought greater than 4.4 million autos worldwide in 2024 and reported consolidated gross sales of roughly $185 billion.
- Dividend yield: 5.0 p.c
- Annual dividend: 60 cents
How one can spend money on dividend shares and funds
In the event you’re on the lookout for a technique to obtain common dividends, you sometimes have two choices: shares that pay dividends and funds that maintain shares that pay dividends. This is how every works:
- Dividend shares: Investing in dividend shares isn’t any completely different than investing in another inventory. To commerce, you’ll need a brokerage account, which will be simply arrange by means of a web-based brokerage agency. When you arrange your account and deposit funds, you’ll be able to select which dividend shares you wish to spend money on. Your dealer may give you the chance that will help you establish high-dividend shares by means of their analysis companies.
- Dividend funds: In the event you’re undecided which high-dividend shares to decide on, dividend funds could also be an excellent possibility. Dividend-focused mutual funds or exchange-traded funds (ETFs) maintain a basket of shares that pay dividends. A few of these funds concentrate on shares with excessive dividend yields, whereas others search for corporations that constantly pay dividends and develop over time.
While you select a fund, you do not have to fret about carefully monitoring particular person shares in your portfolio, because the fund’s diversification ensures that you aren’t getting an excessive amount of publicity to a single inventory.
conclusion
Dividend shares and funds are a good way to earn additional earnings. In the event you personal these securities in a taxable brokerage account, remember that you’ll have to pay taxes on the earnings you obtain, even in case you reinvest the dividends. If you wish to keep away from taxes, it’s best to personal your shares in a tax-advantaged account like an IRA or 401(ok).
Analysis dividend shares rigorously earlier than investing. Some corporations that presently pay excessive dividends could also be pressured to scale back their funds if enterprise efficiency worsens.
Editorial Disclaimer: All buyers are inspired to conduct their very own impartial analysis on any funding technique earlier than making any funding selections. Moreover, buyers ought to be aware that previous efficiency of an funding product doesn’t assure future value will increase.