A $650,000 superannuation balance is slightly above the current benchmark for a comfortable retirement.

It’s the type of nest egg that many Aussies aspire to have. They focus hard on building their superannuation balance, ensuring the fund is performing well, and adding extra voluntary contributions wherever they can.

It’s a solid plan. But did you know that if you invest your superannuation wisely, you could also generate a passive income to live off when it’s time to retire?

But how much passive income could a $650,000 balance realistically generate each month?

Let’s break it down.

What passive income can I earn off a $650,000 superannuation balance?

The math is simple. 

To calculate your potential passive income, you simply need to multiply your total superannuation balance by the overall dividend yield of your portfolio.

But the problem is that the answer varies widely depending on what that dividend yield is.

For example, $650,000 x 3% = $19,500 per year in dividend payments.

But if your portfolio has a slightly higher dividend yield of around 4%, your passive income will be higher. That’s because $650,000 x 4% = $26,000 per year in dividend payments. 

If your superannuation portfolio yields closer to 5%, you could earn $32,500 every year in dividend payments off the same superannuation balance ($650,000 x 5% = $32,500).

Then, at a 6% yield, you could earn an annual passive income of around $39,000, and at 7%, it could be even higher, at around $45,500.

And so on… 

As your dividend yield increases, the passive income you can earn from your $650,000 superannuation balance also increases.

Note too that these figures are based on cash dividends before any tax or franking credit benefits.

Give me some ideas of what ASX shares I can invest my superannuation in

There is a huge range of shares out there, and their dividend yields vary significantly.

Some of my top picks would be defensive stocks. These are companies whose earnings tend to remain relatively steady throughout times of economic instability. They typically operate in “non-discretionary” industries where demand remains relatively stable even when consumer confidence dips. 

Their stable nature means they can help reduce the volatility of an overall investment portfolio. This is particularly valuable during times when geopolitical tensions are ongoing and inflation is stubbornly high.

These can be supermarket, telecommunications, or infrastructure stocks. Demand for food items and essential services is generally stable throughout all sections of the economic cycle. Think Coles Group Ltd (ASX: COL), TPG Telecom Ltd (ASX: TPG), and Chorus Ltd (ASX: CNU). These shares yield between 3% and 6%.

Major blue chips like Wesfarmers Ltd (ASX: WES) and BHP Group Ltd (ASX: BHP) are generally considered cyclical stocks but with strong defensive qualities (rather than pure defensive stocks). These types of shares are highly regarded for their dominant market position and stable dividends. At the time of writing, the shares yield around 3% to 4%.

Diversify your portfolio

Remember that if you want to aim for, say, a 5% yielding portfolio, not every stock in that portfolio has to yield 5%. You should aim for a diversified range of shares yielding varying amounts, which combined total 5%.

It’s also best to focus on a diverse range of high-quality businesses with strong balance sheets and stable earnings. Ideally, you want to focus on stocks that are most likely to stand the test of time.

And you don’t need to invest the whole sum in one go. Start with regular monthly investments and let compounding do some of the hard work for you.

The post How much passive income could I earn from a $650,000 superannuation balance? appeared first on The Motley Fool Australia.

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• How to make $26,000 of passive income from ASX shares
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Motley Fool contributor Samantha Menzies has positions in BHP Group. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Wesfarmers. The Motley Fool Australia has recommended BHP Group and Wesfarmers. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The James Hardie Industries plc (ASX: JHX) share price has crashed 6% in early morning trade on Wednesday. 

At the time of writing, the shares are changing hands at $37 a piece.

Despite the tumble, the shares are still up around 20% year to date and 24% higher than a year ago.

The decline comes off the back of the company’s Investor Day presentation, which was posted to the ASX ahead of the market open this morning.

What did James Hardie announce?

The cement manufacturer said it is seeing consistent demand for its products and is executing well in the areas it can control.

As a result, management is able to reaffirm the company’s second quarter and FY27 sales and adjusted EBITDA guidance (excluding Europe), and raise its FY27 free cash flow guidance to more than US$600 million, up from US$500 million+ previously. This is despite a continued challenging macro backdrop.

The company also revealed that it is targeting annual organic growth of 4% to 7% above market, with compounding earnings. 

Elsewhere, James Hardie said that it is accelerating the integration with AZEK, achieving faster-than-expected cost synergy targets. It now expects to complete the US$125 million cost synergy target a full year ahead of schedule, while revenue synergies are progressing as planned.

James Hardie is also pressing ahead with the divestment of its European operations for about US$980 million. The proceeds of which are already earmarked to pay down debt and fund share buybacks.

The announcement looks good on paper, so why are investors selling up?

What is spooking investors today?

The James Hardie share price had rallied strongly through June to August, reaching a 52-week high of $44.12 early last month. So it’s likely that investor expectations were already incredibly high. 

Investors may also have been disappointed that management reaffirmed its FY27 sales and adjusted EBITDA guidance rather than increasing it. 

It’s also possible that there is still some uncertainty about how quickly cost and revenue synergies from the AZEK acquisition can translate into earnings and cash flow.

What’s ahead for the James Hardie share price?

I expect we might see analysts and brokers revise or reaffirm their outlook for James Hardie shares in the coming days, following this morning’s announcement.

But at the time of writing, sentiment looks mostly very positive.

Market Index data shows brokers are currently split between a buy and hold rating. But the $39.20 average target price implies around a 5% upside, at the time of writing.

Analysts on TradingView are much more bullish. Of 25 analysts, 19 have a buy/strong buy rating, and another 6 rate the stock as a hold. 

But they all agree there will be some element of upside ahead. At the time of writing, the average $47.59 target price implies a potential 28% upside ahead. Whereas some are even more confident and forecast the shares to climb 50% higher to $56.05 each.

The post Down 6% today: What’s going on with the James Hardie share price? appeared first on The Motley Fool Australia.

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• Buy, hold, sell: Echo IQ, James Hardie, Woolworths shares
• Experts reckon this high-flying ASX 200 blue-chip stock is a buy
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• Where I’d invest $20,000 in ASX shares this spring

Motley Fool contributor Samantha Menzies has no position in any of the stocks mentioned. 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 no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

JB Hi-Fi vs Harvey Norman shares: which dividend stock wins?

If you’re an Aussie investor eyeing retail stocks for dependable dividends, JB Hi-Fi Ltd (ASX: JBH) and Harvey Norman Holdings Ltd (ASX: HVN) quickly spring to mind. Both are household names selling consumer electronics and home essentials—but they each go about it a little differently, and their financial profiles pack in some key differences too. Comparing JB Hi-Fi vs Harvey Norman shares can help you decide which might suit your portfolio if you’re especially focused on dividend yield and income reliability. Let’s dig in.

The case for JB Hi-Fi

JB Hi-Fi is a leading specialty retailer focused mainly on consumer electronics, electrical appliances and white goods across Australia and New Zealand. Trading via JB Hi-Fi, JB Hi-Fi Home, The Good Guys and e&s, the company operates stores in shopping centres and standalone sites, with a digital presence that’s growing fast.

Notably, JB Hi-Fi offers:

• A market cap of $7.35 billion, making it significantly larger than Harvey Norman.
• A dividend yield of 5.16%, fully franked at 100%, with a history of special dividends.
• An earnings per share (EPS) of $4.467, reflecting robust underlying profitability.

JB Hi-Fi’s payout record is impressive—not only has the yield stayed attractive, its dividends have been fully franked for years, regularly delivering both interim and final (plus the occasional special) payments.

The case for Harvey Norman

Harvey Norman is best known as the powerhouse franchisor behind over 270 Harvey Norman, Domayne and Joyce Mayne stores. Its footprint isn’t limited to Australia; it stretches into New Zealand, Asia, and Europe. Uniquely, Harvey Norman also owns a hefty portfolio of properties that house many of its franchises, underpinning its balance sheet with hard assets.

Here’s where Harvey Norman stands out:

• A higher dividend yield of 7.02%, also fully franked at 100%.
• A lower P/E ratio of 9.75—suggesting shares are cheaper on earnings.
• Earnings yield of 10.26%, outpacing JB Hi-Fi.

While Harvey Norman’s market capitalisation ($5.25 billion) is smaller than JB Hi-Fi’s, it more than makes up for it with higher yield and an extensive property portfolio, providing another layer of security for income-seeking investors.

Valuation comparison

Metric	JB Hi-Fi	Harvey Norman
Market Cap	$7.35 billion	$5.25 billion
P/E Ratio	14.62	9.75
Dividend Yield	5.16% (100% franked)	7.02% (100% franked)
Dividend Per Share	$3.37	$0.26
Earnings Per Share	$4.467	$0.424
Earnings Yield	6.84%	10.26%

Harvey Norman sports a much higher yield, a lower price-to-earnings ratio and greater earnings yield, but JB Hi-Fi’s earnings and dividends per share are higher, reflecting JB Hi-Fi’s higher share price and perhaps greater operational scale.

Recent share price performance

Looking at recent momentum (prices as of mid-September 2026), both stocks have had a rocky year.

JB Hi-Fi shares have fallen -28.6% year to date, currently trading at $67.19.

Harvey Norman fared even worse, down 38.4% year to date, with shares sitting at $4.21.

In the most recent trading days, both have shown mild recoveries, but the medium-term trend has been negative for both companies—not uncommon among big-box retail shares facing tough consumer spending environments.

Which is the better buy?

If I’m choosing purely on dividend yield, Harvey Norman is the standout at 7.02%—well above JB Hi-Fi’s 5.16%. Both stocks offer fully franked dividends, which is excellent for Aussie income seekers. Harvey Norman also boasts a lower P/E and higher earnings yield, and its property ownership adds some ballast if retail trading turns rough.

On the other hand, JB Hi-Fi has demonstrated remarkable earnings power per share, a proven record of both ordinary and special dividends, and simply dwarfs Harvey Norman on a per-share dividend basis, even if its headline yield is lower due to a high share price.

Both companies have had a rough run lately, but Harvey Norman’s share price has fallen more steeply—potentially making that big yield even more attractive, but also possibly reflecting some market concern.

If I had to place my chips, I’d lean toward Harvey Norman solely for the yield and value metrics, especially if I wanted maximum income right now. But for consistency, payout reliability, and a stronger track record of per-share earnings, my confidence would sway toward JB Hi-Fi over the long term. It’s very close—and I couldn’t fault an investor for favouring either, but for a high franked yield in today’s market, my pick would be Harvey Norman.

The post JB Hi-Fi vs Harvey Norman: Which dividend stock wins? appeared first on The Motley Fool Australia.

More reading

• Here are the top 10 ASX 200 shares today
• 2 ASX blue-chip shares offering big dividend yields
• Top 3 ASX 200 shares now below their 200-day moving average
• JB Hi-Fi, GPT Group, Charter Hall shares hit 52-week low: Is there any chance of a rebound?
• Why the ASX 200 just hit a 6-week low

Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. 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 Harvey Norman. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial draft. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.