One of the best things about owning ASX dividend shares is the regular cash flow you can receive just from owning said shares. Some ASX stocks don't pay dividends, but most do – providing you with an ongoing cash reward for doing absolutely nothing.
With that in mind, here are two ASX dividend-paying shares I would buy today to top up my cashflow.
Australia and New Zealand Banking Group (ASX: ANZ)
ANZ is (of course) one of the 'big four' ASX banks and the one that I think is going for the best value today. ANZ shares are yet to recover after the company cut the level of franking credits that come attached to its dividend last year (the dividend payout itself was left unchanged).
Today, ANZ shares offer a trailing yield of 6.13% which grosses-up to 7.9% even with the new 70% franking level.
I still don't think the banks are out of the woods yet. It will take years for the banks' reputation to be fully restored after the dreadful revelations that stemmed from the 2018 Royal Commission. Ultra-low interest rates aren't helping either.
Despite all this, I expect ANZ to remain a high-yielding stock for the foreseeable future and I think it's a great company to add to a portfolio for dividend cash flow.
WAM Research Limited (ASX: WAX)
WAM Research is a Listed Investment Company (LIC) that invests in other ASX shares – usually in the small or mid-cap space. This LIC can boast a pretty solid history of delivering market-beating results.
WAM Research has delivered an average annual return of 16.5% since 2010 (including dividend payments but not fees) by buying undervalued but growing companies and selling them when their true value is appreciated by the market.
By accumulating profits from this strategy (as well as dividends received from its holdings), WAM Research is able to offer substantial dividend payments.
Today, WAX shares offer a trailing fully franked dividend yield of 6.71% (9.59% grossed-up). Although I don't want to WAX lyrically about this company, I think WAM Research earns a place in any portfolio devoted to dividend income. Thus, I would love to add some WAX shares to my portfolio for cashflow today.
Foolish takeaway
I think these two ASX companies would be great additions to a dividend portfolio today if generating immediate cash flow is your primary objective. I think ANZ shares are more of a bargain today as WAM Research shares are trading above their Net Tangible Asset value.
