If you’re looking to buy retirement stocks for your TFSA, it’s paramount to find high-quality businesses you can feel confident owning for years.
That’s why the best stocks to buy in your TFSA for retirement offer a combination of reliability, an attractive dividend and long-term growth potential.
You want a solid business providing something people need, with operations that can remain resilient when the economy slows. And since retirement can last decades, you also want a company that can continue finding new ways to grow.
Monthly dividends make that combination even more appealing, especially when you’re using the income to help cover regular expenses. Plus, owning these stocks inside your TFSA means that you can keep all that income without having to pay tax on it.
So, if you’re looking for a stock that offers all those advantages, Sienna Senior Living (TSX: SIA), which currently yields roughly 4.8%, is easily one of the best to consider.
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A defensive business with years of growth potential
Sienna is one of the top stocks to consider because it owns and operates retirement residences and long-term care communities, giving it exposure to services that Canadians will continue needing for years.
For example, its retirement residences provide accommodation and services for seniors, while its long-term care operations offer more extensive care and receive government funding.
That means the company is consistently generating recurring revenue from an essential industry, at the same time that Canada’s aging population is creating significant long-term demand for more housing and care.
Plus, if you’re thinking about what retirement living and care could cost you down the road, owning Sienna gives you a way to invest in that growing demand and potentially use the income and growth to help fund your own retirement.
Furthermore, adding enough capacity to meet that growing demand takes substantial time and money, which helps make Sienna’s existing properties valuable and creates opportunities for it to continue expanding.
And while Sienna already has an established business, it still has room to grow as it improves occupancy at its existing properties. Not to mention, it can also acquire additional residences and redevelop older properties, giving it several ways to grow alongside the increasing demand.
For example, just last week, Sienna announced an agreement to acquire another 165-suite property in Ontario, with the deal expected to close in the fourth quarter. That follows a September agreement to buy a 305-suite residence in Ottawa.
Meanwhile, Sienna has partnered with Fiera Infrastructure, a subsidiary of Fiera Capital, to help fund the redevelopment of older long-term care homes in Ontario, upgrading its properties and adding more beds.
Why it’s one of the top TFSA retirement stocks for monthly income
Sienna’s long-term growth potential is especially compelling when you’re buying the stock in your TFSA for income, since growing cash flow can strengthen its dividend coverage while leaving more money to reinvest in the business or return to shareholders.
For example, in its most recent quarter, Sienna’s payout ratio, based on adjusted funds from operations (AFFO), fell to 72.3%, down from 89.5% in the same quarter last year, a significant decrease.
That shows how well-covered the current dividend is, and why it’s such a high-quality retirement stock to buy in your TFSA, with a yield of roughly 4.8%.
In fact, its AFFO per share increased 24.4% year over year in the first half of 2026.
Plus, the growth Sienna has started to demonstrate gives the stock long-term capital gains potential if the company can continue to execute.
That’s why Sienna is one of the best retirement stocks to buy in your TFSA today.
Its combination of defensiveness, long-term growth potential and considerable monthly income makes it a stock you can buy and hold in your TFSA for years.
