A Tax-Free Savings Account (TFSA) could undoubtedly become a powerful retirement tool, but many Canadians may still have a long way to go. Canada Revenue Agency data show that the average TFSA fair market value was $45,109 for people aged 60 to 64 and $51,244 for those aged 65 to 69 in the 2023 contribution year. Although the right retirement amount will depend on your spending needs and other income sources, these balances show why consistent investing matters.
In this article, I’ll highlight three dividend-paying TSX stocks that could help Canadians steadily build a larger TFSA retirement fund.
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TD Bank stock
If your goal is to build a larger TFSA retirement fund over time, Toronto-Dominion Bank (TSX: TD) could be a good place to start. As one of Canada’s largest financial institutions, it offers personal and commercial banking, wealth management, insurance, and wholesale banking services across Canada and the United States.
TD stock currently trades at $172.81 per share with a 34% year-to-date gain and a market cap of roughly $289 billion. It also offers an annualized dividend yield of around 2.6%.
In the second quarter of its fiscal 2026 (ended in April), TD’s adjusted net income climbed 15% year-over-year (YoY) to $4.2 billion. The bank’s Canadian personal and commercial banking segment posted a 15% YoY increase in adjusted earnings, while the wealth management and insurance business grew adjusted earnings by 18%.
Meanwhile, TD continues to invest in artificial intelligence (AI), digital banking capabilities, and customer experience while maintaining a strong Common Equity Tier 1 capital ratio of 14.3%. Combined with its long history of dividend payments, it remains an attractive option for Canadians building retirement wealth inside a TFSA.
Canadian National stock
Another stock that could help grow your TFSA over the long run is Canadian National Railway (TSX: CNR), or CN. It operates a nearly 20,000-mile rail network connecting Canada’s east and west coasts with the U.S. Midwest and Gulf Coast.
Up 29% year-to-date, the stock recently traded at $175.58 per share with a market capitalization of $107.4 billion. Investors also get an annualized dividend yield of roughly 2.1%.
During the first quarter, CN’s revenue slipped 1% YoY to $4.4 billion, while adjusted net income declined 5% to $1.1 billion as higher winter-related costs, operational incidents, and a higher effective tax rate weighed on results. Nevertheless, the business delivered record first-quarter revenue ton miles, which increased 3% YoY, while its free cash flow jumped 44% to $900 million.
CN also achieved its best first-quarter employee productivity in five years and delivered record first-quarter fuel efficiency.
With plans to invest about $2.8 billion in capital projects during 2026, this railway giant continues to strengthen its network and position itself for long-term growth.
Manulife stock
Manulife Financial (TSX: MFC) could be an attractive stock worth considering for Canadians investing for retirement. It provides insurance, wealth management, and retirement solutions across Canada, Asia, the United States, and several international markets.
With more than 20% year-to-date gains, MFC stock currently trades at about $58.67 per share, giving it a market capitalization of $97.5 billion. It currently offers an annualized dividend yield of around 3.3%.
In the March quarter, Manulife’s core earnings jumped 8% YoY on a constant exchange rate basis to $1.8 billion. Asia remained a key growth engine for the company, with the geographical segment’s core earnings rising 22% from a year ago, while the new business contractual service margin increased 15% in the region.
Moreover, the company continues expanding its presence in Asia, strengthening its global wealth management business through acquisitions and partnerships, and scaling AI across underwriting, claims processing, and distribution. Those long-term initiatives, coupled with a growing dividend, make it an appealing stock for investors aiming to build a larger TFSA retirement portfolio.
