TFSA Cash Machine: 2 Monthly Payers You’ll Want to Own in 2025 and Beyond

Building a TFSA cash machine is easier when you choose companies that pay monthly and have room to grow — here are two worth considering.

One of the easiest ways to turn your Tax-Free Savings Account (TFSA) into a cash-generating machine is to load it with strong monthly dividend stocks. Instead of waiting for quarterly payouts, monthly income helps you budget better, reinvest faster, and build long-term wealth with consistency. Investors who rely on passive income especially appreciate the predictability of these payments. That’s why monthly payers can be such an important part of your TFSA strategy.

In this article, I’ll discuss two monthly dividend picks for TFSA investors that continue to impress with strong results and could keep rewarding investors for years to come.

monthly calendar with clock

Source: Getty Images

Exchange Income Corp stock

Let’s start with Exchange Income (TSX: EIF), a well-diversified company that has been rewarding investors with attractive monthly dividends while delivering record financial results. It mainly operates in two segments, aerospace & aviation and manufacturing.

After rallying by 49% over the last year, the firm is valued at about $3.75 billion, with its stock trading near $72.74 per share. It currently offers a monthly dividend with a 3.6% annualized yield.

In the latest quarter ended in June, Exchange Income posted a 9% YoY (year-over-year) increase in its total revenue to a record $720 million. During the quarter, the company’s adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) came in at $177 million, reflecting a solid 13% jump from a year ago. Its free cash flow also surged 23% YoY to $123 million, giving the company more flexibility to reward investors.

Much of this growth came from strength across its aviation businesses, including higher passenger volumes and medevac services, as well as increased leasing activity and demand for parts.

Going forward, Exchange Income’s recent acquisition of Canadian North and the new 10-year air services agreement with the Government of Nunavut could be game-changers. Given these solid fundamentals, Exchange Income looks like a solid stock, especially for TFSA investors seeking monthly dividend income with rising earnings power.

Slate Grocery REIT stock

Next on the list is Slate Grocery REIT (TSX: SGR.U), a company built on stable U.S. grocery-anchored properties that continue to deliver dependable income every month. This Toronto-headquartered REIT (real estate investment trust) owns and operates a US$2.4 billion portfolio of essential grocery-anchored real estate across major U.S. markets.

With its shares currently trading near $14.19 apiece, the REIT carries a market cap of roughly $841 million. Its biggest appeal for income-focused investors is the generous 8.4% annualized yield, distributed monthly.

Slate’s rental revenue rose 1.1% YoY in the latest quarter to US$52.4 million. During the second quarter, the REIT completed over 423,000 square feet of leasing, with renewals 13.8% above expiring rents and new deals a massive 28.8% higher than in-place rents. This shows the clear demand for its spaces and the potential for steady rent growth.

What makes Slate Grocery even more appealing for TFSA investors is its defensive portfolio. As grocery stores remain essential services, most of the company’s tenants are resilient even during periods of economic uncertainty. With a high monthly yield, stable occupancy of 94%, and consistent leasing spreads, Slate Grocery REIT looks well-positioned to keep delivering predictable monthly income for decades.

Fool contributor Jitendra Parashar has no position in any of the stocks mentioned. The Motley Fool recommends Slate Grocery REIT. The Motley Fool has a disclosure policy.

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