If you’ve got $1,000 sitting idle in your savings account earning minimal interest, there’s a smarter way to put that money to work.
By investing in high-quality, high-yield dividend stocks, you could turn that cash into more than $50 in passive annual income.
These returns don’t require trading, timing the market, or taking on speculative risk – just smart, strategic investing.
Let’s break down three high-yield dividend stocks that can help generate a solid income stream while offering long-term stability.
These picks are ideal for beginner and seasoned investors alike, especially in 2025’s uncertain market environment.
1. Oneok (NYSE: OKE)
- Investment: $333.33
- Dividend Yield: 5.02%
- Estimated Annual Dividend: $16.73
Oneok is a major player in the U.S. natural gas infrastructure sector. The company owns and operates pipelines and processing facilities that are crucial for transporting natural gas liquids across the country.
As energy demand remains steady, Oneok benefits from stable, fee-based revenue streams.
Its dividend yield of 5.02% stands out in the energy sector, and the company has a strong history of dividend payouts.
With a growing focus on cleaner energy infrastructure, Oneok is positioning itself for the long haul – making it an attractive option for income-focused investors.
Also Read: Follow These 3 Rules to Build Wealth in 2025
2. Verizon Communications (NYSE: VZ)
- Investment: $333.33
- Dividend Yield: 6.22%
- Estimated Annual Dividend: $20.73
Verizon is one of the largest telecom providers in the United States. Its expansive 5G network and recurring revenue model make it a reliable dividend payer.
Despite headwinds in the telecom industry, Verizon has consistently rewarded shareholders through regular dividend increases and high yields.
With a 6.22% dividend yield – one of the highest among S&P 500 companies – Verizon offers both income and resilience.
For conservative investors who value consistent returns and minimal volatility, VZ is a compelling choice in 2025.
3. Vici Properties (NYSE: VICI)
- Investment: $333.33
- Dividend Yield: 5.17%
- Estimated Annual Dividend: $17.23
Vici Properties is a real estate investment trust (REIT) that owns premier casino and entertainment properties, including Caesars Palace and MGM Grand.
Its long-term triple-net leases with top-tier operators offer reliable, predictable cash flow.
The REIT structure requires Vici to distribute at least 90% of its taxable income to shareholders, which translates into a solid 5.17% yield.
As the travel and leisure sector continues to rebound, Vici is in a strong position to grow both its asset base and dividend payouts.
Total Potential Passive Income
| Stock | Investment | Yield | Annual Income |
|---|---|---|---|
| Oneok (OKE) | $333.33 | 5.02% | $16.73 |
| Verizon (VZ) | $333.33 | 6.22% | $20.73 |
| Vici Properties (VICI) | $333.33 | 5.17% | $17.23 |
| Total | $1,000.00 | 5.47% | $54.70 |
By spreading $1,000 equally across these three dividend stocks, you could earn approximately $54.70 annually, which translates into a blended yield of 5.47%.
That’s significantly more than the national average savings account interest rate, which hovers around 0.50% as of mid-2025.
Why This Strategy Works in 2025
In a high-inflation, high-interest rate environment, income investing has made a major comeback.
Dividend stocks like these not only provide immediate returns through regular payouts but also offer potential long-term capital appreciation.
Many investors are turning to dividend payers as a way to hedge against market volatility and preserve purchasing power.
Disclaimer
This article is for informational purposes only and does not constitute financial, investment, or tax advice. The content reflects opinions based on publicly available data as of July 2025 and is not a recommendation to buy or sell any securities. Always do your own research and consult with a licensed financial advisor before making investment decisions. Investing in stocks involves risk, including the potential loss of principal.
