Turn Dividends Into Paydays: 2 Top TSX Stocks for Reliable Monthly Income

Monthly dividends can turn a portfolio into something that feels like a paycheque, and these two TSX income picks aim to deliver.

Amy Legate-Wolfe

Author Bio Amy became interested in investing in 2018 after having her first daughter. After receiving a masters degree in journalism from Western University, she became frustrated that the finance industry remained a confusing place for Canadians like her: new parents, millennials, and other young people who needed to understand their finances. Now, Amy focuses on tech companies and renewable energy for growth opportunities, coupling that with long-term investing strategies and equities. She also provides investors with a daily newsletter, Canada Stock Digest, for daily market updates. Her work can also be found at Canada's National Observer, where she writes on the business side of climate action. Before joining Motley Fool Canada, Amy wrote for major news organizations including HuffPost, CTVNews.ca, and CBC. When she’s not researching investing strategies, Amy’s time is pretty much monopolized by her two wild daughters, but in what little spare time she has she loves to do yoga, go on walks with her dog, and travel with her husband. Social Media Follow Amy on LinkedIn and Canada Stock Digest. Favorite Investment Quote “October: This is one of the particularly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.” – Mark Twain

Published May 28, 8:45 pm EDT

| More on: EIT.UNSGR.UN

Key Points

Canoe EIT pays about a 7% monthly yield through a diversified fund, but distributions depend on portfolio performance.
Slate Grocery REIT also yields around 7% monthly, supported by grocery-anchored U.S. properties and improving rents.
Both can boost TFSA income, but high yields still require monitoring payout sustainability and real estate or market risk.

Monthly income can make investing feel real. A quarterly dividend helps, a capital gain feels great, but a monthly payment lands with a different kind of rhythm. It can help retirees cover bills, give Tax-Free Savings Account (TFSA) investors cash to reinvest, and make a portfolio feel less like a mystery box and more like a paycheque machine.

That’s why Canoe EIT Income Fund (TSX: EIT.UN) and Slate Grocery REIT (TSX: SGR.UN) deserve a closer look. Neither offers a risk-free payout, but both pay monthly and give investors exposure to very different sources of cash flow.

Colored pins on calendar showing a month — Source: Getty Images

EIT

Canoe EIT Income Fund looks relevant now because investors still want income without betting everything on one company. It operates as a closed-end investment fund, not a traditional operating business, owning a diversified portfolio of stocks, income securities, and cash-like holdings. So investors don’t just get one dividend stock, but a basket.

The monthly payout creates the hook. Canoe announced a May 2026 monthly distribution of $0.10 per unit. That works out to $1.20 annually. With the unit price recently around $17.15, the yield sits close to 7%. For income seekers, that’s a serious payday from one holding.

The bigger appeal comes from simplicity. Investors can use Canoe as a diversified income sleeve inside a TFSA or other tax-beneficial portfolio. The fund gives exposure to several sectors, including energy, railways, financials, and global businesses. That can help smooth the ride compared with owning only one high-yield stock.

SGR

Slate stock offers a more targeted monthly income story. The trust owns grocery-anchored real estate in the United States. That means its properties often include supermarkets and everyday retailers. Shoppers may cut back on many things during a slowdown, but they still buy food. That doesn’t make the business recession-proof, but it gives the properties a practical anchor.

The latest results looked steady. In the first quarter of 2026, Slate stock reported rental revenue of US$59.3 million, up 11.8% from last year. Net income rose 17.5% to US$18.9 million. Same-property net operating income (NOI) increased 3.1%. The REIT also completed more than 725,000 square feet of leasing, with renewals signed 18.9% above expiring rents and new deals 49% above comparable average in-place rent. That’s the kind of pricing power income investors like to see.

The distribution adds the payoff. Slate Grocery REIT paid $1.18 per unit annually on a monthly basis. With the Canadian-listed unit recently near $17, the yield lands around 7%. That’s attractive for a grocery-anchored REIT with steady leasing momentum.

Bottom line

Together, Canoe and Slate stock give investors two very different ways to chase monthly income. One offers diversified portfolio exposure. The other offers grocery-anchored real estate. Both pay regularly, and both could help turn dividends into a steadier stream of cash. In fact, here’s what $7,000 in each could bring in as of writing.