It's not easy to find ASX dividend shares with yields of more than 8%.
Some may be yield traps where the last 12 months of dividends are not going to be the same as the next 12 months.
However, analysts have had a go at estimating where they think dividends and yields are going to be for the upcoming financial year.
With that in mind, these are two businesses expected to pay big dividends over the next 12 months:
Rio Tinto Limited (ASX: RIO)
Rio Tinto is one of the biggest mining businesses in the world. It's currently rated as a buy by Citi, with a price target of $115. That's around 15% higher than where it is today.
Based on the FY22 dividend estimate, the Rio Tinto share price could have a grossed-up dividend yield of 13.2%.
Whilst Rio Tinto is facing difficulties in getting its Serbian lithium project to the next stage, it has made another lithium play in Argentina.
The mining business is buying the Rincon lithium project for $825 million.
Rincon is a large undeveloped lithium brine project located in the heart of the lithium triangle in the Salta Province of Argentina, which Rio Tinto called an emerging hub for greenfield projects. The miner said the project has a long life and is a scalable resource.
Once the acquisition is completed, the project will be subject to the completion of studies to confirm the resource and various other steps.
The ASX dividend share's management said this acquisition is aligned with its strategy of prioritising growth capital in commodities that support decarbonisation and to continue to deliver attractive returns to shareholders.
The direct lithium extraction technology proposed for the project has the potential to significantly increase lithium recoveries as compared to solar evaporation ponds.
Adairs Ltd (ASX: ADH)
Adairs is a leading retailer of homewares and furniture in Australia and New Zealand with its Adairs, Mocka and Focus on Furniture.
It's currently rated as a buy by Morgans with a price target of $4.80. That suggests a potential increase of the Adairs share price of around 20% over the next year.
Morgans thinks that the ASX dividend share could pay a grossed-up dividend yield of 8.1% in FY22 (and 10.2% in FY23).
Not only do management and analysts like the acquisition of Focus because of the growth potential and synergies, but Adairs is judged to have attractive organic growth potential.
One area of growth is its membership called Linen Lovers. Adairs says that membership growth is a key driver of sales. Member retention initiatives and the facilitation of online signups through upgrading its digital platform in FY22 offer "significant upside" for growth rates, according to management.
Members account for over 80% of sales and spend around 1.5x more than non-members in each transaction. Each new member adds around $400 in total sales.
Adairs also notes that there is a relationship between store sales and retail floor space. Growing store floor space through new and up-sized stores will continue to drive store sales. Each additional square metre of retail space typically adds around $4,000 of store sales.
The ASX dividend share is expecting to grow its floor space by at least 5% per annum over the next five years.
Morgans thinks the Adairs share price is valued at 11x FY22's estimated earnings.
