Want $4,087 in Passive Income? Invest $10,000 Into These 3 High-Yielding Stocks

Earned income has a ceiling. Passive income from dividend-paying stocks operates differently: capital does the work, distributions arrive on schedule, and positions remain liquid. That combination separates high-yield equities from rental property, private credit, or annuities. The challenge is finding yield that is both substantial and structurally supported. A 6% dividend from a company bleeding free cash flow is a liability disguised as income.

We screened our 24/7 Wall St. dividend equity research database. We found companies that, combined, can generate over $4,000 a year in passive annual income. That’s on a $10,000 investment in each stock at the time of this writing.

Verizon Communications

• Stock #3: Verizon Communications (NYSE:VZ | VZ Price Prediction)
• Yield: 6.08%
• Shares for $10,000: ~214
• Annual Passive Income: ~$608

Verizon is the largest U.S. wireless carrier by revenue, generating $134.788 billion in full-year 2024 revenue. In addition, the dividend has grown consistently. The most recent quarterly payment is $0.7075 per share, up from $0.6775 per share a year earlier. Verizon generated $19.822 billion in free cash flow in 2024, providing substantial dividend coverage. Its pending acquisition of Frontier Communications adds fixed broadband scale. And its fixed wireless access subscriber base of about 4.6 million is on track toward a target of 8 to 9 million by 2028. Verizon reports Q1 2026 earnings on April 27.

Ares Capital

• Stock #2: Ares Capital (NASDAQ:ARCC)
• Yield: 10.2%
• Shares for $10,000: ~523
• Annual Passive Income: ~$1,010

Next up, Ares Capital is the largest publicly traded business development company in the United States by assets. BDCs are required to distribute at least 90% of their taxable income to shareholders, which explains the high yield. Ares Capital deploys capital into middle-market companies that lack easy access to traditional bank lending, charging rates reflecting that scarcity premium.

The portfolio is substantial and well-diversified: $29.48 billion across 603 companies, with 80% in first lien senior secured loans and 72% floating rate exposure. The non-accrual rate stands at 1.8%, and the investment backlog was approximately $2.2 billion as of January 29, 2026. The quarterly dividend of $0.48 per share has been maintained for five consecutive quarters, and the company extended its $1 billion share repurchase program through February 2027. Institutional ownership sits at 35.3%, and analysts hold a consensus-bullish view with 12 buy or strong buy ratings against just 2 holds and zero sells.

Trinity Capital

• Stock #1: Trinity Capital (NASDAQ:TRIN)
• Yield: 12.62%
• Shares for $10,000: ~617
• Annual Passive Income: ~$1,261

Trinity Capital is a BDC focused on venture lending to growth-stage companies. It provides equipment financing and debt capital to businesses past the startup phase but not yet large enough for traditional credit markets. The firm operates across five lending verticals and has grown its platform AUM to $2.8 billion, up 38.2% year over year. Total investment income in Q4 2025 reached $83.235 million, up 32% year over year, and full-year 2025 revenue came in at $293.652 million, up 23.67%.

The company has delivered 23 or more consecutive consistent or increased dividends, and carries $68.7 million in undistributed earnings spillover, providing a cushion for future distributions. The non-accrual rate is just 0.7% of the debt portfolio at fair value.

Combined, these three positions generate $4,087 in annual passive income. That’s on a $30,000 total investment. Trinity Capital contributes $1,261, Ares Capital adds $1,010, and Verizon rounds out the portfolio with $608.

In short, what dividend portfolios offer that real estate cannot is the ability to rebalance without a closing attorney, escrow, or commission. Each position can be trimmed or exited in a single trading session, while income compounds in the background. The monthly cadence of Trinity Capital’s distributions and the quarterly reliability of Ares Capital and Verizon mean the combined portfolio generates income in every month of the year.