Some investments need regular monitoring, while others can keep putting cash into your account without much effort on your part. For Tax-Free Savings Account (TFSA) investors, the second option could be especially rewarding. After all, receiving regular cash distributions gives you more money to reinvest and grow your wealth without paying Canadian tax on investment income earned inside your TFSA.

And you don’t necessarily have to chase the most popular TSX dividend stocks to build such an income stream. Even many lesser-known businesses listed on the Toronto Stock Exchange generate steady cash flow simply by collecting rent from commercial properties.

In this article, I’ll highlight one such Canadian real estate stock that offers attractive monthly dividends and could help turn your TFSA into a reliable cash machine.

A little-known TSX monthly dividend stock to buy

The lesser-known TSX stock I want to highlight for TFSA investors is CT Real Estate Investment Trust (TSX: CRT.UN). This Toronto-based real estate investment trust (REIT) owns over 380 commercial properties across Canada, covering nearly 32 million square feet. Its portfolio mainly includes retail properties, with Canadian Tire being its largest tenant.

Over the last year, CT REIT stock has gained 15% and currently trades at $18.45 per unit with a market cap of $2 billion. At this price, it offers an attractive annualized dividend yield of 5.3%, with payouts made every month.

But there’s more to this monthly income stock than its healthy yield. CT REIT’s strong property portfolio and improving financial performance make it even more appealing for long-term TFSA investors. For example, the REIT maintained an impressive portfolio occupancy rate of 99.5% at the end of the September quarter.

Strong financial growth supports monthly distributions

Interestingly, CT REIT continues to grow its rental income and generate more cash to support its monthly distributions.

In the third quarter, the REIT’s property revenue rose 6.7% year-over-year (YoY) to $161.3 million. Its net operating income climbed by an even stronger 8.5% YoY to $130.1 million, backed by higher rental income from existing properties, recent acquisitions and developments, and lease surrender revenue.

Although CT REIT’s quarterly net profit slipped nearly 6% YoY due mainly to lower fair value gains on investment properties and higher expenses, its underlying operating performance remained solid.

More importantly, its adjusted funds from operations (AFFO), a key measure used to assess a REIT’s ability to support distributions, climbed more than 8% YoY, helped by property investments, contractual rent increases, and higher property recoveries.

Adding to the optimism, CT REIT’s AFFO payout ratio improved to 72.7% in the latest quarter from 75.7% a year ago. This suggests the REIT has a reasonable cushion to back its monthly payouts while continuing to fund future growth.

Why this monthly cash machine could keep rewarding investors

Besides generating reliable rental income from its existing properties, CT REIT is also investing in new opportunities that could strengthen its cash flow in the coming years.

During the latest quarter, the REIT acquired a Canadian Tire store in Victoria for $14 million and announced a $22 million redevelopment project in Kelowna. These investments are likely to add about 122,300 square feet of leasable space to its portfolio and generate an initial yield of 8.5%.

On top of that, CT REIT recently completed an $11 million expansion of a Canadian Tire store in Saskatoon, adding another 51,000 square feet to its property portfolio.

Given its nearly fully occupied portfolio, growing AFFO, and continued investments in expansion projects, CT REIT could support its monthly distributions while pursuing long-term growth. This combination makes it an attractive cash-generating stock to consider buying and holding in your TFSA right now.

The post Buy This Little-Known Cash Machine for Your TFSA appeared first on The Motley Fool Canada.

More reading

• Here Are The 3 Canadian Stocks I’d Tell a New Investor to Buy ASAP
• How Much to Invest in CT REIT for $1,000 a Year in Dividends
• Want $6,000 a Year From Your TFSA? Here’s the Portfolio Size to Aim for
• How I’d Use $500 a Month to Build a Dividend Portfolio Before Retirement
• CT REIT vs. SmartCentres: Which Monthly Payer Fits a TFSA Better?

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

While nobody can claim that any dividend stock is completely immune to market volatility, I believe building a portfolio of income-producing businesses can be rewarding with the long-term Foolish investing approach. For Canadians, a Tax-Free Savings Account (TFSA) could make that strategy even more attractive by allowing eligible investments to generate income without Canadian income tax.

To achieve that goal, monthly-paying real estate investment trusts (REITs) could be worth considering, especially for investors who prefer receiving regular cash distributions.

In this article, I’ll highlight one attractive Canadian monthly dividend stock offering an attractive yield and explain why it could be a great TFSA investment.

SmartCentres stock

The Canadian stock I would consider for monthly TFSA income is SmartCentres Real Estate Investment Trust (TSX: SRU.UN), which owns and manages a large portfolio of retail and other properties across Canada.

This Vaughan-based REIT currently has ownership interests in 201 properties, with shopping centres forming a major part of its business. After climbing about 7% year-to-date, SmartCentres stock trades at $27.59 per unit with a market cap of around $4 billion.

More importantly for income-focused investors, the REIT offers a juicy 6.7% annualized dividend yield, with distributions paid every month.

Besides these regular payouts, SmartCentres’ strong retail operations and continued leasing momentum make it an interesting investment. Let’s take a closer look.

The underlying financial strength

In the third quarter, the REIT reported a small 0.4% year-over-year (YoY) increase in its net operating income to $141.8 million. Higher rental income from new leases and renewals supported this growth, although lower profits from residential sales partly offset those gains.

More importantly, SmartCentres’ same-property net operating income rose 2.5% YoY in the latest quarter with the help of stronger leasing activity and higher rental rates. Excluding anchor tenants, this growth was even better at 3.8%. Meanwhile, its committed occupancy rate improved slightly from the previous quarter to reach an impressive 98.2%. And its lease renewals, excluding anchor tenants, delivered strong rent growth of 11.8%.

During the quarter, the REIT leased roughly 104,000 square feet of previously vacant space, bringing its total leased vacant space to 408,000 square feet in the first nine months of 2026.

Why SmartCentres could be a great monthly income stock

What makes SmartCentres even more appealing for TFSA investors is its potential for future rental income growth, backed by its ongoing expansion projects.

For example, the REIT is developing three new Walmart-anchored retail centres in Kingston, Lindsay, and Winnipeg. Construction at its Kingston location was expected to begin in the fourth quarter of 2026. It also recently completed two self-storage facilities in Quebec, expanding its operating portfolio to 16 facilities. Adding to the optimism, its three other self-storage properties are expected to open in 2027.

On top of that, SmartCentres continues to advance its residential developments in Vaughan, including the ArtWalk condominium project, where roughly 93% of its 340 units were already pre-sold as of September.

While its third-quarter adjusted funds from operations payout ratio of 96.8% leaves limited room for unexpected challenges, SmartCentres’ high occupancy, steady rental demand, and growing property portfolio support its long-term income potential.

Foolish takeaway

Overall, SmartCentres could be an attractive TFSA stock to buy right now for investors seeking monthly passive income. Its 6.7% dividend yield, combined with its ongoing expansion efforts, could help investors generate regular tax-free distributions while benefiting from potential long-term growth.

The post A Perfect TFSA Stock: A 6.7% Payout Each Month appeared first on The Motley Fool Canada.

More reading

• 2 TSX Dividend Stocks to Consider Now for Steady Passive Income
• Here Are the Highest-Yielding Dividend Stocks in Canada for November
• Hot Take: The Best Monthly Dividend Stock on the TSX Right Now
• Hot Take: The Best Monthly Dividend Stock on the TSX Right Now
• 2 Top Canadian Dividend Stocks for $1,850 in Annual Passive Income

Fool contributor Jitendra Parashar has no position in any of the stocks mentioned. The Motley Fool recommends SmartCentres Real Estate Investment Trust. The Motley Fool has a disclosure policy.

The Tax-Free Savings Account (TFSA) is more than a normal savings account. It can be your cash-generating machine on which the Canada Revenue Agency (CRA) doesn’t lay a finger. The TFSA is the only registered savings account that allows you to withdraw money tax-free without any capping or usage conditions. The money you withdraw in 2026 is added back to your TFSA contribution room in 2027. This tax-free withdrawal and add-back makes the TFSA the perfect vessel to hold a dividend champion like Canadian Natural Resources (TSX: CNQ).

A dividend champion every Canadian needs in their TFSA

Every person has a different investing capacity and risk profile. But when it comes to dividends, everyone wants assured payouts and ones that can beat inflation. The most common driver of inflation is high energy prices. Thus, an energy stock with a robust dividend policy makes it ideal for every Canadian.

Canadian Natural Resources fits the bill in every aspect. It has the largest oil sands reserves in Canada and one of the lowest costs per barrel. Maintenance costs are lower for oil sands exploration than US shale gas exploration.

The assurance that Canadian Natural Resources will pay dividends comes because the company includes dividend and maintenance costs in its breakeven price of mid-$40s/barrel. It earns more cash when energy prices rise, which converts to a higher dividend. The company has been paying dividends for the last 26 years and growing them every single year.

The dividend safety of this stock

The safety of its dividends can be seen from CNQ’s free cash flow allocation policy. It aims to maintain a net debt of $13 billion and use the remaining free cash flow on share buybacks. The company doesn’t offer a dividend reinvestment plan, which means minimal dilution of shares. It funds most of its acquisitions from debt. The company acquires reserves to increase production.

Whenever debt crosses the target range, it diverts free cash flow towards accelerated repayment. The dividend payout comes from funds from operations. During an energy upcycle, it declares a special dividend. During an energy downcycle, it retains existing dividends with a marginal growth of 2–6%. The strong balance sheet, disciplined debt management, and lower capital expenditure make its dividends safe.

How a TFSA can enhance CNQ dividends

The TFSA allows your investment income to grow tax-free. It means your growing dividends or capital gains from a share sale are tax-free. The TFSA could have enhanced the 20% average annual dividend growth rate of Canadian Natural Resources by making it tax-free.

Suppose you bought 200 shares of Canadian Natural Resources in January 2020 for $4,140 when the stock traded at $21. Your annual dividends would have grown from $170 in 2020 to $500 in 2026. All these dividends are excluded from taxable income. Today, the value of these 200 shares is $13,940 at $69.70 per share. Even if you want to sell some shares and book profits, the capital gain is tax-free.

Even now, CNQ is a good stock to buy after it corrected 11% in November. If you already own CNQ shares, you can use the dividend amount to buy other dividend stocks like SmartCentres REIT and growth stocks like Shopify. They can help you compound your returns tax-free. With Shopify, seasonal buying in March to August and seasonal profit booking in November to February can help you make short-term capital gains.

Had you purchased 200 CNQ shares in a normal trading account, you would have to pay dividend tax, leaving less money for reinvestment in other stocks. Thus, when investing in Canadian dividend stocks, first max out your TFSA contribution room before considering a Registered Retirement Savings Plan (RRSP) for tax deduction.

The post A Dividend Champion Every Canadian Needs in Their TFSA  appeared first on The Motley Fool Canada.

More reading

• Worried About the Economy? Waiting to Invest Could Actually Cost You More
• Canadian Natural Resources vs. Suncor: The Dividend Stock to Own Through 2026
• Too Busy to Invest? This Dividend Stock Deserves a Permanent Place In Your TFSA
• The Canadian Stocks I’d Buy With $7,000 Right Now 
• 3 Top Canadian Dividend Stocks for $2,050 in Passive Income Each Year

The Motley Fool has positions in and recommends Shopify. The Motley Fool recommends Canadian Natural Resources and SmartCentres Real Estate Investment Trust. The Motley Fool has a disclosure policy. Fool contributor Puja Tayal has no position in any of the stocks mentioned.

The market is ripe for energy and artificial intelligence (AI) stocks, as a sharp dip after the US mid-term elections has created a buying opportunity right now. With less than 50 days left for the 2026 tax year to end, now is the right time to invest that $7,000 Tax-Free Savings Account (TFSA) contribution limit.

Where to invest $7,000 right now?

The latest third-quarter earnings showed a positive outlook in the industrial and electronics manufacturing segment.

Celestica

Celestica (TSX: CLS) stock has crashed 47% since October 7, when investor confidence in AI was shaken. Capital markets became skeptical of the increasing capital AI was demanding. Meta plans to raise US$97.5 billion in equity capital to fund AI expansion. This news followed the win of Democrats in the US mid-term elections, making investors wary of a slowdown in AI expansion. Plus, the recent Nvidia CEO scandal has added to the hardware worries, and the sentiment around AI hardware has turned fearful.

Thus, it is no shock that electronics manufacturer Celestica saw its stock price fall to its 52-week low, despite strong earnings. On October 27, Celestica reported its third-quarter earnings and it once again beat revenue and earnings per share (EPS) estimates, led by strong growth in compute and storage solutions from hyperscalers.

Among its four major hyperscaler clients, Meta, Google, OpenAI, and Amazon, two faced a fallback as Google saw AI Overviews cannibalize AdSense revenue, and Meta announced fresh equity. Despite the fallbacks, Celestica expects its 2026 revenue to grow 69% to US$21 billion and EPS to grow 91% to $11.55. The most interesting part of Celestica’s earnings was that the company paid down its debt and is in a net cash position of US$3.2 billion. This shows it is prepared for a 2027 slowdown and ready to bounce back as AI investments recover. The stock is trading at 1.5 times its sales per share, after its peak of 3.2 times in June 2026, showing upside potential.

Bombardier stock

Another stock worth investing in before the end of 2026 is Bombardier (TSX: BBD.B). The business jet maker is in its peak season when maximum aircraft deliveries happen. Its order book continued to grow to US$22.2 billion in the third quarter of 2026 from $21.8 billion in the second quarter. Bombardier navigated escalating US-Canada trade tensions strategically by increasing investment in the United States. The third quarter saw marginal revenue growth of 3% due to low aircraft deliveries. However, Bombardier increased its free cash flow outlook for 2026 to US$1.3 billion as it has already achieved the previous target of US$1 billion. Moreover, the company has reduced its long-term debt by US$1.1 billion to US$4.05 billion, with no maturity until 2030.

Strong fundamentals and a robust order book could drive the stock price up 20–40% by March 2027, if everything else remains normal.

Canadian Natural Resources stock

Canadian Natural Resources (TSX: CNQ) is a stock to buy for its next dividend growth in March 2027. The oil and gas company is at a sweet spot as Canada invests in a West Coast pipeline to open a new export market. In the meantime, current demand remains robust. The US mid-term elections pulled down oil prices, correcting the inflated October prices. Even at US$86.7/barrel WTI crude, Canadian Natural Resources has ample flexibility to continue paying its $2.50 per share dividend and even grow it.

The company has achieved its net debt target of $13 billion by increasing its cash reserves to $4.5 billion. It will accelerate its share buyback in November and December, allocating an anticipated $1.6 billion in free cash flow compared to $3.8 billion in the 10 months of 2026. This accelerated buyback and reduction in net debt could help CNQ grow its dividend by 8–10% in 2027.

Investor takeaway

These are uncertain times. Central banks are raising interest rates to control cost-push inflation triggered by supply disruption. At such times, companies with lower leverage have better flexibility to keep operations profitable and recover when tensions ease.

The post The Canadian Stocks I’d Buy With $7,000 Right Now  appeared first on The Motley Fool Canada.

More reading

• Worried About the Economy? Waiting to Invest Could Actually Cost You More
• A Dividend Champion Every Canadian Needs in Their TFSA 
• Canadian Natural Resources vs. Suncor: The Dividend Stock to Own Through 2026
• Too Busy to Invest? This Dividend Stock Deserves a Permanent Place In Your TFSA
• 3 Top Canadian Dividend Stocks for $2,050 in Passive Income Each Year

Fool contributor Puja Tayal has no position in any of the stocks mentioned. The Motley Fool recommends Alphabet, Amazon, Canadian Natural Resources, Celestica, Meta Platforms, and Nvidia. The Motley Fool has a disclosure policy.

US markets bled in October as the S&P 500 Index fell 1.9% and the Nasdaq 100 fell 7.9% after artificial intelligence (AI) enthusiasm got a reality check. The dip continued as Democrats won the US mid-term elections, reversing AI investment enthusiasm. Meanwhile, the finance- and energy-heavy TSX 60 Index gained 1.7% in October, creating a good environment to buy and hold Canadian stocks that can hedge against an AI dip.

According to Goldman Sachs Research, AI investments accounted for almost half of the S&P 500’s earnings per share (EPS) growth in 2026. These earnings are expected to slow as hyperscalers struggle to raise more capital expenditure. Meta’s desperation to issue more equity shares to raise capital, and Google’s recent earnings showing its “AI overview” eating into traditional ad revenue, show that AI is disrupting the traditional model.

Will the AI correction continue in November?

The $800 billion AI capital expenditures (capex) in 2026 translated into EPS growth for semiconductors, hardware, utilities, and industrial firms, as per Ben Snider, chief US equity strategist at Goldman Sachs Research. However, this growth is likely to fade in the coming quarters as capex growth slows. As a result, chipmakers like Intel, Qualcomm, SanDisk, and Advanced Micro Devices were among October’s biggest losers.

Multiple reasons are driving this correction. Firstly, the US Fed hiked interest rates in September, which made AI debt worrisome. Secondly, rising energy prices kept inflation high. This has started to test investors’ patience on AI returns. Accelerated depreciation of AI capex and slower adoption of AI is like a ticking time bomb that makes short-term returns highly volatile.

Anthropic’s IPO prospectus is circulating in media circles, highlighting risks ranging from security incidents to climate change, rogue agents to an existential crisis for humanity. The company’s S-1 filing states, “In addition, with the scale of harm that could result from a catastrophic AI-related incident, no single insurer, and potentially the insurance industry in the aggregate, may have sufficient capacity or expertise to underwrite insurance commensurate with such exposure.”

Any AI incident can affect insurance stocks. These are worst-case scenarios that haven’t been realized so far. But they exist and could create a global crisis bigger than the Global Financial Crisis, climate change, and cybersecurity. With great risk comes exponential growth potential, but that potential will take time to materialize. Anthropic’s IPO will determine how the market responds to AI opportunities and threats.

TSX stocks to hedge your TFSA portfolio against the AI correction

Canadian investors should prepare their Tax-Free Savings Account (TFSA) portfolio for both AI’s growth opportunities as well as risks. If you have been investing in AI chip stocks and have seen sizeable growth, it is time to rebalance by shifting some of that profit into contrarian stocks.

Loblaw stock

When uncertainty hits, investors move to traditional businesses where there is certainty. Loblaw’s (TSX: L) food, pharmacy, and healthcare retailing make it a go-to stock as rising interest rates and the Democrats’ win in the US mid-term election point towards a slowdown in AI spending. The defensive nature of the grocery business and low volatility of Loblaw stock make it a buy-and-hold for the long term.

Constellation Software stock

Constellation Software (TSX: CSU) can also benefit from an AI correction given its portfolio of traditional software companies that cater to mission-critical applications. The stock has jumped 18% since October 9, when the AI stock correction began. Since July 2025, Constellation stock has been struggling to overcome the downtrend triggered by the founder’s exit and the risk of AI disrupting traditional software. The new management tweaked the acquisitions strategy toward larger software companies, which have been trading at distressed valuations amidst the AI wave.

Constellation is not immune to AI. It is also experimenting with AI, but the management is not losing sleep over it. The core business of acquiring mission-critical software companies remains at the heart. It is a stock to buy and hold for the long term, as AI and mission-critical software find a balance.

CT REIT is a good TFSA stock for its dividends from Canadian Tire. It is unaffected by the AI rally and has mitigated risk from interest rate hikes.

The post 3 of the Best Canadian Stocks to Buy and Hold in a TFSA appeared first on The Motley Fool Canada.

More reading

• 2 Dead-Easy Canadian Stocks to Buy With $1,000 Right Now
• Constellation Software in a TFSA: Great Business, but Is the Price Right?
• Here Are The 3 Canadian Stocks I’d Tell a New Investor to Buy ASAP
• Where to Invest Your $7,000 TFSA Contribution Before 2026 Is Over
• TSX Today: What to Watch for in Stocks on Tuesday, November 10

The Motley Fool has positions in and recommends Constellation Software. The Motley Fool recommends Advanced Micro Devices, Alphabet, Intel, Meta Platforms, and Qualcomm. The Motley Fool has a disclosure policy. Fool contributor Puja Tayal has no position in any of the stocks mentioned.

November is here, and 2026 is almost over. While many Canadians are getting ready for the holiday season, this could also be a good time to revisit your Tax-Free Savings Account (TFSA) — especially if you still have some unused contribution room.

After all, putting money into your TFSA is only half the job. What really matters is how you invest that money to build wealth over time. And that’s why choosing fundamentally strong Canadian stocks with promising growth prospects could make a big difference in the long run.

In this article, I’ll highlight two top TSX stocks that could help you make better use of your remaining TFSA room.

Waste Connections stock

If you’re looking for a Canadian stock that could help grow your TFSA wealth steadily over time, Waste Connections (TSX: WCN) is worth considering. This waste management giant provides collection, recycling, and disposal services across North America.

WCN stock jumped 17% in October, and now trades at $256.84 per share with a market cap of $64.3 billion. At this price, it offers a small annualized dividend yield of 0.8%.

In the third quarter, the company’s revenue inched up by 7.3% year-over-year (YoY) to US$2.6 billion with the help of stronger landfill activity, higher commodity-related revenue, and quality acquisitions. As a result, its net profit surged 25.5% YoY to US$359.2 million, partly helped by much lower impairment-related charges.

Following these strong results, Waste Connections raised its full-year outlook for a second time. It now expects revenue of about US$10.1 billion and adjusted free cash flow of US$1.40 billion to US$1.45 billion. So far this year, the company has also completed acquisitions worth roughly US$130 million in annualized revenue, which should further improve its financial growth trends.

Given its expanding operations, strong cash flow outlook, and commitment to rewarding shareholders, WCN could be a great stock to hold in your TFSA for years.

Dollarama stock

Another Canadian stock I’d consider for putting unused TFSA room to work is Dollarama (TSX: DOL). You probably already know this discount retailer from its stores across Canada, but its growth is now extending well beyond the country.

After rising 15% over the last year, DOL stock now trades at $207.50 per share with a market cap of $55.6 billion. Its dividend yield currently stands at 0.2%.

One reason I like Dollarama for long-term TFSA investors is that demand for its affordable products remains strong even when households are watching their spending closely. In the second quarter of its fiscal year 2027 (ended in August), the retailer’s sales jumped 17.6% YoY to $2 billion. This growth was driven mainly by higher Canadian store sales, an expanding store network, and a larger contribution from its Australian business.

Dollarama’s Canadian comparable store sales rose 5.4% last quarter, helped by more customer visits and higher average spending per transaction. With this, its quarterly net earnings rose 8.7% YoY to $349.3 million despite losses from Australia.

Interestingly, Dollarama recently raised its Canadian store-opening target to 65–75 locations for fiscal 2027. At the same time, its growing Dollarcity network in Latin America and efforts to improve its Australian business could back future growth, making it another excellent TFSA stock to buy now and hold for the long run.

The post Just 2 Months Left in 2026! Here’s How to Make the Most of Your TFSA Room appeared first on The Motley Fool Canada.

More reading

• 4 of the Best TSX Stocks to Buy and Hold in a TFSA for Decades
• Here Are My Top TSX Stocks to Buy Right Now
• Dollarama’s Small Dividend Isn’t the Main Reason I’d Consider the Stock
• Would I Buy Waste Connections for a 10-Year TFSA? Here’s My Case
• Dollarama vs. Alimentation Couche-Tard: Which Stock Fits a 10-Year TFSA?

Fool contributor Jitendra Parashar has positions in Dollarama and Waste Connections. The Motley Fool has positions in and recommends Waste Connections. The Motley Fool recommends Dollarama. The Motley Fool has a disclosure policy.

A Tax-Free Savings Account (TFSA) doesn’t need to be packed with risky growth stocks to become useful in retirement. In fact, a quieter portfolio can sometimes do a better job. Companies tied to everyday spending and essential infrastructure often keep producing cash even when the market gets noisy. If those businesses also pay dividends, investors can reinvest the income for years and let compounding do its magical work.

Over time, this approach could turn even a small starting balance into something much more meaningful. Then, when retirement arrives, your portfolio can shift from building wealth to helping fund regular expenses.

Let’s look at two Canadian dividend stocks that could help a $20,000 TFSA grow into a much bigger retirement fund.

Invest in Empire stock

For a retirement-focused TFSA holding built around everyday demand, Empire (TSX: EMP.A) is worth considering. This Stellarton-based company owns Sobeys and operates grocery banners across Canada. Empire stock currently trades around $50 per share, giving it a $6.3 billion market cap and a 1.9% annualized dividend yield. The stock has climbed 30% in the past five years.

In the first quarter of its fiscal year 2027 (ended in July), Empire’s sales rose 2.6% year-over-year (YoY) to about $8.5 billion. Its food sales climbed 1.7% to roughly $7.9 billion, helped by positive growth across the business, especially its Full-Service and Discount banners. In addition, higher fuel prices drove its fuel sales higher by 18.4% from a year ago.

More importantly, the company’s operating income last quarter jumped 7.6% YoY with the help of higher sales, stronger gross profit, and lower selling and administrative expenses.

Empire is also investing for future growth as it plans about $850 million in fiscal 2027 capital spending while expanding FreshCo, renovating stores, and adding new locations. For a retirement-focused TFSA, that mix of essential demand, earnings growth, and a reliable dividend gives Empire stock long-term appeal.

Buy Some Brookfield Infrastructure stock

For investors seeking dependable income inside a TFSA, Brookfield Infrastructure Partners (TSX: BIP.UN) could also deliver a steady path to retirement growth. This company owns utilities, transport, midstream, and data infrastructure across global markets.

After climbing nearly 10% year to date, BIP.UN currently trades around $52 per unit, with a $41.4 billion market cap and a 4.9% annualized distribution yield.

Brookfield Infrastructure’s funds from operations (FFO) surged 10% YoY in the second quarter to US$702 million. Its data segment delivered a 36% increase in FFO to US$154 million, while the partnership’s midstream FFO climbed 17%.

That growth was mainly driven by inflation-linked rate increases, stronger volumes and utilization, and more than US$1.5 billion of newly commissioned capital projects.

The company’s artificial intelligence (AI) infrastructure pipeline could also accelerate its growth in the years to come. Interestingly, Brookfield Infrastructure is involved in a planned Kentucky data centre campus designed for more than 1.2 gigawatts of compute capacity and a proposed 200-megawatt project in South Korea.

These growth efforts, coupled with Brookfield Infrastructure’s current income and infrastructure-backed cash flows, make it an attractive TFSA stock for investors building toward retirement.

The post How a $20,000 TFSA Could Fund Your Retirement appeared first on The Motley Fool Canada.

More reading

• Still Up Double Digits This Year: Should You Still Invest in TSX Stocks After Thursday’s Dramatic Drop?
• Higher Rates Are Back: Can Brookfield Infrastructure Keep Growing Its Payout?
• A 4.9% Passive-Income Stock I’d Put My Whole TFSA Contribution Into
• A Perfect TFSA Stock: A 5.1% Yield With Constant Paycheques
• I’d Own Brookfield Infrastructure for its 36% Jump in Data-Segment Cash Flow

Fool contributor Jitendra Parashar has no position in any of the stocks mentioned. The Motley Fool recommends Brookfield Infrastructure Partners. The Motley Fool has a disclosure policy.

Many financial blogs have publicized a challenge called “No-Spend Month.” You might have read about it on social media, Reddit, and maybe even on your friend’s messenger group. It may sound a bit aggressive, but it is like a detox from unnecessary spending. Experiencing a minimalist life for a month can solve most of your financial problems and even jump-start your emergency savings.

Rules of the no-spend month challenge

The aim of the challenge is simple: bring discipline to your spending and reduce debt, boost savings, and lower stress. If reality TV shows like Apprentice and Shark Tank excite you, this challenge can make you live that experience.

Phase 1: Execute no-spend month

1. To get started with the task, you have to collect your past three to four months of bank and credit card statements.

2. Categorize your transactions as essential and discretionary spending.

Do not use artificial intelligence (AI) tools for it. Unless you categorize spending manually, you will not feel the impact of it.

3. Plan your bare minimum budget where all discretionary spending is gone. That means no eating out, no trip to the gaming arcade, cancelling the yoga class you never went to, or the OTT subscription that keeps getting renewed even when you are not watching. 

4. Stick to the budget. Any day you miss will add another day to your 30-day challenge. There can be exceptions, like a pipe burst or a trip to the ER, but those expenses have to be genuine and not splurging.

Phase 2: Make the most of the money saved

You will be surprised by how much you save by the end of the month. How you use this money is the next part of the challenge. If you have high-interest credit card debt, pay it down first, and don’t take on more credit card debt. The amount you save from prepaying all debt can compound your savings.

Time to jump-start your emergency savings

Many Canadians put off emergency savings and investing, as they have no extra money left. The no-spend month and paying off expensive debt can help you unlock that trapped money and use it for emergency savings.

Remember the spending analysis you did in the first phase. Assuming your necessary spending—rent, utilities, broadband, groceries, healthcare, and taxes—comes to $3,500 and you earn $4,500 a month. That is $1,000 in savings unlocked. Once you start building your emergency savings, it could motivate you to continue. Do not stop contributing to your emergency fund until it is big enough to pay for at least six months of your expenses, which comes to $21,000 for $3,500 monthly expenses.

Why is the TFSA an ideal account for emergency savings?

The Tax-Free Savings Account (TFSA) is an ideal instrument to build your emergency savings. You need this fund to be easily accessible, carry low risk, and not add to your tax burden.

If you have put your emergency fund in a bank deposit, it does give you immediate access and is one of the safest, but 100% of the interest income is taxable. So if your $21,000 Guaranteed Investment Certificate (GIC) gives you 3% interest of $630 in a year, it is added to your taxable income. A 20% marginal tax will add $126 in tax liability.

You can save on this tax amount by creating a GIC through a TFSA. It allows your money to grow tax-free and allows you to withdraw tax-free. And the amount you withdraw in 2026 will get added to your TFSA contribution room on January 1, 2027.

CT REIT (TSX: CRT.UN) could be a good investment to build emergency savings. It has a low-risk distribution yield of 5.6%, which it pays over 12 monthly installments. Moreover, its unit price hovers around $15.5-$19. The unit is currently trading at the midpoint. The REIT also increases its dividends at an average annual rate of 3%.

If no emergency comes in a year, it can compound your dividends through a dividend reinvestment plan (DRIP).

The post A No-Spend Month Could Jump-Start Your Emergency Savings appeared first on The Motley Fool Canada.

More reading

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Fool contributor Puja Tayal has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

When the market is rallying, I sometimes find myself wondering whether I’m missing something by not buying the stocks everyone seems too excited about. Many investors know that feeling, especially when growth stocks keep moving higher, and market headlines focus on stocks delivering massive returns.

But when it comes to Tax-Free Savings Account (TFSA) investing, I’d rather think about what I’d be comfortable owning for years instead of what might jump next week or next month. Personally, I like businesses that could keep generating cash whether their share prices are moving up, down, or just going sideways. And if they pay decent dividends along the way, that’s even better.

In this article, I’ll talk about a Canadian dividend stock and tell you why it’s one I’d recommend considering for long-term TFSA passive income.

A top Canadian dividend stock for TFSA passive income

If your goal is to turn this year’s TFSA contribution into a steady stream of long-term passive income, Brookfield Infrastructure Partners (TSX: BIP.UN) would be one of my top picks.

This Bermuda-headquartered company owns and operates essential infrastructure assets across major global markets, including the United States, Europe, and Asia Pacific. Its diversified operations mainly focus on utilities, transportation, midstream energy infrastructure, and data infrastructure.

After gaining about 7% over the last year, Brookfield Infrastructure stock currently trades at $51.46 per share with a market cap of $23.6 billion. At this market price, it offers an attractive annualized dividend yield of 4.9%, with distributions made every quarter.

What’s even more interesting is that this TFSA-friendly dividend stock has also delivered impressive long-term capital appreciation as it has surged 74% over the last three years.

Why Brookfield’s business makes it a great TFSA income stock

While Brookfield Infrastructure’s recent share-price gains and attractive yield may catch investors’ attention, its real appeal for a TFSA lies in the businesses that could sustain passive income for years to come.

That strength comes partly from its mix of regulated and contracted infrastructure operations. Electricity and gas networks, ports, railroads, and pipelines support everyday economic activity, while data centres and fibre networks connect businesses. Having revenue streams across these areas gives Brookfield more than one way to generate cash, even when demand or economic conditions change in any single market.

Recent financial growth supports its payouts

In the second quarter, Brookfield Infrastructure’s revenue rose about 19% year-over-year (YoY) to US$6.5 billion. More importantly for income investors, its funds from operations (FFO), a measure of operating performance, climbed 10% YoY.

In the latest quarter, the company benefited from inflation-linked utility rates, stronger transport and midstream volumes, and over US$1.5 billion in newly commissioned projects. Its data segment’s FFO also jumped 36% YoY to US$154 million, helped by an acquired U.S. fibre network and data centre development activity.

More growth could strengthen TFSA income

Brookfield Infrastructure recently expanded its Bloom Energy power framework from US$5 billion to US$25 billion in potential capital spending, while advancing artificial intelligence (AI) infrastructure opportunities in Kentucky and South Korea. It also generated nearly US$1.2 billion from asset sales so far in 2026 to help fund new investments.

That combination of rising FFO, a higher distribution, and new infrastructure opportunities is why I’d consider this stock for TFSA passive income. While putting an entire contribution into one stock does carry risk, Brookfield Infrastructure offers an appealing balance of current income and potential long-term growth, making it worth considering.

The post A 4.9% Passive-Income Stock I’d Put My Whole TFSA Contribution Into appeared first on The Motley Fool Canada.

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Fool contributor Jitendra Parashar has no position in any of the stocks mentioned. The Motley Fool recommends Brookfield Infrastructure Partners. The Motley Fool has a disclosure policy.

Generating dependable income inside a Tax-Free Savings Account (TFSA) sounds pretty straightforward. Find a stock with a good dividend yield, buy some shares, and start collecting payments. But if you’ve spent much time looking at Canadian dividend stocks, you’ll probably already know it’s rarely that simple.

Some companies offer impressive yields because their share prices have fallen, while others struggle to generate enough cash to comfortably support their payouts. That’s one of the key reasons I’d rather own a business that’s making real financial progress, even if its dividend yield isn’t the highest available.

In this article, I’ll highlight my top Canadian dividend stock for TFSA income and explain why it could still be worth buying after its recent rally.

My top TFSA income pick

If you’re looking for a Canadian dividend stock that offers attractive income along with strong long-term growth, Gibson Energy (TSX: GEI) could be worth considering.

This Calgary-based firm operates a large liquids infrastructure network across North America, mainly focusing on storing, processing, gathering, and transporting liquids and refined petroleum products. Its marketing business also plays a key role in maximizing the value of its infrastructure assets.

GEI stock has delivered impressive 34% year-to-date gains to trade at $33.57 per share with a market cap of $5.8 billion. Even after this rally, the stock offers an impressive 5.4% dividend yield, with payouts distributed every quarter.

Strong earnings support its dividend appeal

While its dividend yield makes Gibson appealing for TFSA income investors, the company’s solid financial growth trends give me another reason to like this stock.

In the June quarter, Gibson delivered record Infrastructure adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) of $169.3 million, up nearly 11% year-over-year (YoY). This growth was mainly driven by higher throughput at its Gateway and Edmonton terminals, contributions from the Chauvin infrastructure assets, and benefits from restructuring efforts.

At the same time, Gibson’s marketing segment posted impressive growth, with adjusted EBITDA nearly doubling YoY to $15.2 million. Higher refined product margins and efforts to diversify its product mix backed this improvement.

Last quarter, Gibson’s distributable cash flow also jumped about 18% YoY to $96.1 million despite higher financing costs and current income taxes. This improvement is especially important because healthy distributable cash flow helps the company maintain its dividend payments.

Growth efforts brighten its long-term outlook

Besides its improving financials, Gibson’s continued investment in expanding its infrastructure business makes this 5.4% dividend payer even more appealing for long-term TFSA investors.

In May 2026, the company completed its $400 million Chauvin infrastructure acquisition and approved the Hardisty Connection Project. It is also advancing the Chauvin expansion project, which could further strengthen its infrastructure business and support future earnings growth.

Although Gibson’s trailing 12-month dividend payout ratio of 88% and net debt-to-adjusted EBITDA ratio of 4.2 times remain elevated, the company expects these ratios to improve once the Chauvin acquisition contributes to its earnings for a full year.

Foolish takeaway

Overall, Gibson’s growing infrastructure business, improving earnings, and attractive 5.4% dividend yield make it my top TFSA income pick. I believe this Canadian energy infrastructure firm could continue rewarding long-term investors with regular dividend income and potential capital gains, helping them grow their tax-free wealth over time.

The post This 5.4% Payer Is My Top TFSA Income Pick appeared first on The Motley Fool Canada.

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