Monthly dividend stocks can be a way of creating passive income in retirement, but these are some of the best. Planning for your retirement is a big deal, and it’s not just about how much you save. It’s also about setting up a way to have a steady income stream once you stop working, so you can enjoy your lifestyle without worrying too much about finances. For us Canadians, the Tax-Free Savings Account (TFSA) is a really handy tool for this. It gives you the chance to earn investment income without having to pay any taxes on it. One smart way to generate regular cash flow in your TFSA is by investing in Canadian stocks that pay dividends every month. This can make it easier to manage your expenses during retirement, as you’ll have that income coming in regularly. So, let’s consider a few. Extendicare First up is Extendicare (TSX:EXE). The dividend stock is a leading provider of long-term care and home healthcare services right here in Canada. In 2024, the company reported net earnings of $75.2 million, which is a pretty significant jump from the year before. This growth was helped by higher adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA). Extendicare currently pays a monthly dividend of $0.042 per share. What’s even better is that the company announced a 5% increase to this dividend in early 2025. This consistent monthly payout, combined with the dividend stock’s solid financial performance, makes it an attractive option if you’re focused on generating income from your investments. Mullen Next, we have Mullen Group (TSX:MTL). This dividend stock is one of the biggest logistics companies in Canada, offering all sorts of transportation and related services. In the last three months of 2024, the company reported earnings per share (EPS) of $0.41, which was actually better than what analysts were expecting. Mullen Group has a history of consistently paying dividends, and its current monthly dividend is $0.06 per share. The dividend stock’s strong performance in the logistics sector and its commitment to giving value back to shareholders make it a solid choice if you’re seeking a regular monthly income from your investments. As the economy moves goods around, logistics companies like Mullen tend to be in demand. Chartwell Then there’s Chartwell Retirement Residences (TSX:CSH.UN). This dividend stock operates retirement communities across Canada, providing housing and care services for seniors. In 2024, the company reported a net income of $22.4 million, which is a nice turnaround from a net loss it had the year before. This improvement was thanks to higher revenue from residents and better occupancy rates in their communities. Chartwell offers a monthly dividend to its investors, which provides a steady income stream. With Canada’s population getting older, companies focused on senior living are positioned to potentially benefit from this long-term demographic trend. Savaria Our fourth dividend stock is Savaria (TSX:SIS). The stock specializes in accessibility solutions, like stairlifts, elevators, and equipment for handling patients. In 2024, the company reported net earnings of $48.5 million, up from $37.8 million in 2023. This growth was driven by increased revenue and better efficiency in its operations. Savaria pays a monthly dividend of $0.0433 per share, offering investors a reliable source of income each month. This focus on helping people with mobility issues aligns with the increasing needs of an aging population and those seeking greater independence. First National Last but not least, we have First National Financial (TSX:FN). This dividend stock is a leading Canadian mortgage lender, providing both residential and commercial mortgage solutions. In the last three months of 2024, the company reported a fair market value income of $74.8 million, showing it’s resilient even in a competitive market. First National offers a monthly dividend of $2.50 annually to its shareholders, making it an appealing option if you’re looking for consistent income from your investments. The strong position in the Canadian mortgage market provides a stable foundation for its business and its ability to pay dividends. Bottom line Putting these five monthly dividend-paying stocks into your TFSA can help you build a diverse portfolio that generates regular income on a monthly basis. Just remember that it’s always a good idea to do thorough research on each of these companies and consider your own personal financial goals and risk tolerance before you make any investment decisions.