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Sick Of Low Interest Rates? Then Try J Sainsbury plc, National Grid plc & Wm. Morrison Supermarkets plc

Cash

With interest rates still being incredibly low, it continues to be a very tough time for savers. Indeed, with bank savings account offering less than 2%, there is little gain after the effects of inflation have been factored in.

However, with the FTSE 100 only just breaking through its 14-year high, there are a number of good value, high-yielding shares on offer. Here are three to kick things off.

J Sainsbury

As well as being a tough time for savers, it’s also a challenging period for supermarkets such as J Sainsbury (LSE: SBRY). Indeed, it is forecast to post earnings that are 7% lower in 2014 than they were in the previous year, with the company’s bottom line set to fall by a further 2% next year.

However, this appears to be adequately priced in, with shares in J Sainsbury trading on a price to earnings (P/E) ratio of just 9.9 (versus 13.8 for the FTSE 100). Furthermore, the company currently has a dividend yield of 5.6%, with dividends being reasonably well covered by profit at 1.8 times. Certainly, dividends per share may not grow at a brisk pace over the short term, but the current yield plus the scope for an upward rating adjustment mean that J Sainsbury could be a sound income play.

National Grid

Luckily for its investors, National Grid (LSE: NG) seems to largely avoid the media attention that affects many of its utility peers. This means that political risk is far lower for National Grid than many of the domestic energy suppliers, although also this means that shares trade at a substantial premium to the wider index. For instance, National Grid currently trades on a P/E ratio of 16.4.

However, shares in the company also offer a yield of 4.8% and, best of all, the company’s goal is to increase dividends per share in-line with inflation over the medium term. This ensures that the purchasing power of your income should be maintained, which is great news for savers and investors alike.

Wm. Morrison

As with J Sainsbury, Wm. Morrison (LSE: MRW) is having a tough time of it right now. Unlike J Sainsbury, though, it has had no exposure to convenience stores or online sales which have proven to be the only real growth areas in the sector in recent years.

Despite this, Wm. Morrison could feature as a top income play. That’s because the company is forecast to bounce back from a hugely disappointing 2014, with the bottom line due to increase by as much as 18% next year. This means that dividends are expected to be covered 1.3 times, although even if dividends per share are cut, it would still leave Wm. Morrison with a strong yield. For instance, shares in the company currently yield a whopping 6.2% (based on next years’ dividend), so even if dividends were cut, Wm. Morrison could still prove to be a lucrative income play.

Your Portfolio

Of course, J Sainsbury, National Grid and Wm. Morrison aren't the only means of boosting your income That's why we've put together a free and without obligation guide to How To Create Dividends For Life.

The guide is simple, clear and you can put it use right away. It could help you to stay one step ahead of inflation and overcome the low rates that are currently on offer at high street banks. As such, the guide could be well-worth taking a look at.

Click here for your copy - it's completely free and comes without any further obligation.

Peter Stephens owns shares of Morrisons, National Grid, and Sainsbury (J). We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.