I'm buying these 2 ASX dividend shares for 2024 and beyond!

I'm looking at these two dividend stocks for income this year.

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Like every other year I've had the capacity to invest, I will be buying up ASX dividend shares in 2024. I love the secondary income that ASX dividend shares can provide. Not to mention the wealth-building magic that comes with holding income-producing assets.

But the ASX is awash with potential candidates to choose from. So which to go with? Here are two ASX- dividend shares that I have at the top of my acquisition list in 2024.

Woman in a hammock relaxing, symbolising passive income.

Image source: Getty Images

2 ASX dividend shares I'm buying in 2024

Coles Group Ltd (ASX: COL)

Coles has been on my dividend watchlist for a while. 2024 might finally be the year that I bite the bullet and buy a share of this famous Australian grocer.

Everyone knows Coles, and most of us probably shop there fairly regularly. I like this business for its consumer staples nature, which makes the company a very defensive investment. Coles sells food, drinks and other household essentials.

Regardless of the economic weather, we have to continuously buy these products. That's regardless of whether there is a recession or an economic boom and if inflation is high or low.

As such, I'd feel very comfortable holding some of my wealth in this ASX 200 dividend share. On the dividend front, Coles offers an attractive and fully franked yield of 4.2% at current pricing.

Plato Income Maximiser Ltd (ASX: PL8)

Another dividend share I might be buying up in 2024 is this listed investment company (LIC). I've already initiated a position in Plato shares. But I'm hoping to build that out even further over the coming 12 months.

Plato aims to provide its investors with a consistent stream of dividend income. Unlike most dividend shares, the income from this company arrives every single month. It does this by holding a diversified portfolio of other ASX dividend shares.

I'm normally wary of investments that solely focus on providing income. However, in Plato's case, I've made an exception given this company's impressive track record.

Over the past three years, investors have enjoyed an average return (including dividends and franking) of 9.2% per annum (as of 30 November). That compares to an 8.7% per annum return from its ASX 200 benchmark.

Right now, Plato shares are trading with a dividend yield of 5.5%. That yield alone is enough to make me excited to buy up more shares this year.

Motley Fool contributor Sebastian Bowen has positions in Plato Income Maximiser. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has positions in and has recommended Coles Group. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Dividend Investing

Man holding Australian dollar notes, symbolising dividends.
Dividend Investing

3 cheap ASX dividend shares offering 5% to 6% yields (and major upside)

Brokers are tipping these shares as buys for income investors.

Read more »

A woman standing in a blue shirt smiles as she uses her mobile phone.
Dividend Investing

The ASX shares I'd buy for passive income in April and beyond

I think passive income is not just about yield. It is about building a reliable stream of dividends over time.

Read more »

Two people climb to the summit and raise their arms in success as the sun rises brightly over the mountains.
Dividend Investing

2 ASX dividend shares yielding 7% or more

If you're looking for dividend shares which pay around 7%, these are two of my picks.

Read more »

Australian dollar notes in the pocket of a man's jeans, symbolising dividends.
Broker Notes

Why this quality ASX dividend share is tipped to surge 55%

A leading broker expects this ASX stock could rocket 55% atop paying two annual dividends.

Read more »

Happy dad watching tv with kids, symbolising passive income.
Dividend Investing

3 ASX dividend shares I'd buy for reliable passive income

I think building income from ASX shares starts with choosing the right types of businesses.

Read more »

A mature aged man with grey hair and glasses holds a fan of Australian hundred dollar bills up against his mouth and looks skywards with his eyes as though he is thinking what he might do with the cash.
Dividend Investing

Is this one of the best ASX passive income stocks to buy right now?

This business is paying a great level of income…

Read more »

Hand of a woman carrying a bag of money, representing the concept of saving money or earning dividends.
Dividend Investing

1 ASX dividend stock down 43% I'd buy right now

This business is a leading idea for passive income!

Read more »

Australian notes and coins symbolising dividends.
Dividend Investing

$1,000 buys 100 shares in an incredibly reliable ASX 200 dividend stock

This business has been very resilient and still looks like a great buy.

Read more »