The Australian share market is a great place to generate a passive income.
That's because it is home to a huge number of ASX shares that reward their shareholders with dividends each year.
But which ones could be buys right now?
Two passive income ASX shares that have been named as buys and tipped to offer 8% dividend yields are listed below. Here's what you need to know about them:
Charter Hall Retail REIT (ASX: CQR)
The first passive income ASX share that could be a buy is the Charter Hall Retail REIT.
It is a property company with a focus on retail assets. These are predominantly supermarket-anchored neighbourhood and sub-regional shopping centres.
Citi likes the company due to its "undemanding" valuation and "defensive net property income growth despite rising interest rate profile."
In respect to that all-important income, the broker expects the company to pay dividends of 26 cents per share in FY 2024 and 27 cents per share in FY 2025. Based on the current Charter Hall Retail share price of $3.24, this will mean yields of 8% and 8.3%, respectively.
Citi currently has a buy rating and a $4.00 price target on its shares.
Universal Store Holdings Ltd (ASX: UNI)
Another passive income ASX share that could line your pockets with dividends is Universal Store.
It is the growing youth-focused fashion retailer behind the Universal Store, Perfect Stranger, Thrills, and Worship brands.
It appears well-positioned for growth over the coming years thanks to the popularity of its brands, store expansion plans, and margin expansion opportunities.
Morgans is a fan of the company and has an add rating and a $4.25 price target on its shares.
In respect to dividends, the broker is expecting fully franked dividends per share of 26 cents in FY 2024 and 29 cents in FY 2025. Based on the current Universal Store share price of $3.36, this will mean yields of 7.7% and 8.6%, respectively.