Passive income is a coveted goal for many individuals, and one effective way to achieve it is through dividend stocks. Ares Capital (NASDAQ: ARCC) and FS KKR Capital (NYSE: FSK) each yield 10% or more annually based on their current share prices and payout levels. Both are business development companies (BDC) -- regulated investment companies that are required by U.S. law to distribute 90% of their net investment income to shareholders every year through interest, dividends, or capital gains.