How I Would Create $280 in Monthly Income with a $60,000 TFSA Investment

The TFSA (tax-free savings account) is a perfect place to earn and collect income from stocks. There is no other way you can earn regular passive income without any tax consequences. The less tax you pay, the more cash you have.

Why not earn that passive income monthly? Canada has a lot of stocks that pay monthly dividends. If you have $60,000, here are four stocks that could earn you a combined $280 a month.

A transport stock with an attractive return

Mullen Group (TSX:MTL) has grown into one of Canada’s largest freight and transportation companies. It has used a growth-by-acquisition strategy to expand geographically and by service category. Today it has 41 business units across North America.

There has been a recession in the freight sector for a few years now. This has led to a reduction in profit results and stock returns. Profits are down 22% year to date. Fortunately, the dividend remains well covered by cash flows (a payout ratio of 31%).

The good news is that you can buy this stock for a price-to-earnings ratio of 12 and a dividend yield of 6%. A TFSA investment of $15,000 would produce $75.04 in dividend income monthly.

A sustainable energy supply for monthly income

Northland Power (TSX:NPI) is another company that has faced headwinds. However, things are starting to turn the corner. It develops and operates large-scale renewable energy projects, including wind energy, solar energy, battery storage and utilities.

The company plans to complete two major projects in Taiwan and Poland by 2026/2027. Once completed, they will increase Northland’s power capacity by more than 60%. This will provide a meaningful boost to Northland’s bottom line.

While you wait, you can receive a dividend yield of 4.8%. An investment of $15,000 would generate $60 per month in passive income.

A quality REIT with monthly income

Real estate is an ideal asset class for finding monthly income. Landlords charge monthly rent, and real estate investment trusts (REITs) must return most of that to their investors. Dream Industrial REIT (TSX:DIR.UN) is one of the largest owners of industrial real estate in Canada.

The REIT has 72.9 million square feet of owned and managed properties in its portfolio. These are typically city-oriented properties with multiple tenants and a wide range of uses by tenants.

The REIT has a strong occupancy rate of +96% and a diverse tenant mix. The average rental price is approximately 15% below market, so there are great natural organic growth opportunities in terms of turnover or lease renewal.

Dream stocks currently yield 5.66%. A TFSA investment of $15,000 would produce $70.70 in monthly income.

Pizza for a higher yield

Another income share you can buy for your TFSA is Pizza Pizza Royalty (TSX:PZA). It collects a royalty stream from well-known Canadian pizza brands Pizza Pizza and Pizza 73. It has more than 750 locations across Canada.

While Pizza Pizza may not be the best pizza, it is affordable and popular across Canada. Pizza takeaway and delivery is a very stable business. It grows annually at about the same rate as GDP.

Don’t expect a big added value with this share. You’ll receive some dividend income and modest capital growth as the portfolio of restaurants expands.

It does have an elevated dividend payout ratio, so that’s something to keep an eye on. It aims to pay out 100% of its earnings. However, seasonal issues sometimes cause the payout to exceed 100%. Currently, Pizza Pizza yields 6%. If you put $15,000 into this stock today, you would earn $74.17 per month.

Prices as of October 8, 2025