Buy 100 shares of this super ASX 200 dividend stock for $705 a year in passive income

The ASX 200 company is popular among passive income investors for its lengthy track record of reliable dividend payments.

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It's not too late to snap up 100 shares of this leading S&P/ASX 200 Index (ASX: XJO) dividend stock to earn $705 of passive income in 2024.

The super ASX dividend share in question here is Macquarie Group Ltd (ASX: MQG).

The diversified ASX 200 financial stock has delivered two partly franked dividends every year since 2013.

We'll get back to that welcome passive income in a tick.

But first…

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Image source: Getty Images

Calculating yields and Macquarie's recent performance

After a weak start to 2023, the Macquarie share price has had a strong run since the company reported its half year results on 3 November.

In fact, shares in this top ASX 200 passive income payer have gained 16% since the closing bell sounded on 2 November.

While the company's operating income and net profits for the six months were down considerably year on year, its assets under management increased 7% to $892 billion. Macquarie also reported group capital surplus of $10.5 billion and a $2 billion on-market buyback.

All of which has gone to help support the share price and outlook for 2024. Which is good, because we don't want to sacrifice potential capital gains to earn our passive income.

Now before moving on to that passive income, note that the yields you generally see quoted are trailing yields. Future yields may be higher or lower depending on a range of company-specific and macroeconomic factors.

While forecast yields can be useful, there's a lot of guesswork involved. Even the world's best analysts don't have any more access to working crystal balls than you or me.

With that in mind, we'll stick with the trailing yields here.

Targeting Macquarie shares for passive income

Macquarie paid its final dividend of $4.50 a share on 4 July. The interim dividend of $2.55 a share will have hit eligible shareholders' bank accounts on 19 December, just in time for Christmas. Both were franked at 40%, offering some potential tax benefits.

That equates to a total passive income payout of $7.05 per share.

Based on the trailing yield then, 100 shares today would return a very tidy $705 in passive income in 2024.

And, of course, we'll be hoping to see the Macquarie share price keep marching higher as well!

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

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