Generate $500 in Tax-Free Month-to-month Revenue With This Straightforward Technique

Investing in month-to-month dividend shares is an efficient technique for producing secure and dependable passive earnings in in the present day’s low-interest-rate surroundings. That mentioned, dividends are by no means assured. Traders ought to due to this fact deal with corporations with stable underlying companies, sturdy and predictable money flows, and wholesome long-term progress prospects to make sure sustainable earnings.

A $100,000 funding in month-to-month dividend shares yielding over 6% can generate engaging month-to-month payouts of greater than $500. In opposition to this backdrop, listed here are three month-to-month dividend shares that presently provide yields above 6%.

NorthWest Healthcare REIT

NorthWest Healthcare REIT (TSX:NWH.UN) owns and operates 167 properties throughout seven international locations, encompassing 15.7 million sq. toes of gross leasable space. Supported by its extremely defensive healthcare-focused belongings and long-term lease agreements with a high-quality tenant base, the actual property funding belief (REIT) maintains a wholesome occupancy price. As of the top of the third quarter, its occupancy price was 96.9%, whereas its weighted-average lease expiry was 13.4 years.

For the reason that starting of fiscal 2024, the corporate has divested $1.3 billion in non-core belongings, utilizing the web proceeds primarily to repay debt and strengthen its steadiness sheet. Amid enhancing working efficiency, NorthWest has lowered its AFFO (adjusted funds from operations) payout ratio from 99% within the prior-year quarter to 85%, enhancing the sustainability of its distributions.

Wanting forward, I anticipate the REIT to proceed benefiting from sturdy occupancy ranges, supported by rising demand for healthcare providers pushed by an getting older inhabitants. With liquidity of roughly $250 million on the finish of the third quarter, it’s well-positioned to pursue selective progress alternatives. Contemplating these components, I consider NorthWest can proceed to reward shareholders with secure, engaging month-to-month payouts. At present ranges, the REIT presents a ahead dividend yield of round 6.50%.

Whitecap Sources

One other month-to-month dividend inventory I’m bullish on is Whitecap Sources (TSX:WCP), which presently presents a ahead dividend yield of 6.38%. The oil and pure fuel producer has considerably strengthened its manufacturing and cash-flow profile following the merger with Vener in Could 2025. Supported by the mixing, Whitecap’s funds stream surged from $409 million within the prior-year quarter to $896.6 million, whereas free funds stream reached $350.3 million.

The corporate’s steadiness sheet has additionally improved meaningfully, with liquidity of roughly $1.6 billion and a web debt-to-annualized funds stream ratio of only one, highlighting its monetary flexibility. As well as, Whitecap continues to boost its manufacturing capabilities via disciplined capital spending, with deliberate investments of $2 billion in 2025 and between $2.0 billion and $2.1 billion in 2026.

Backed by these investments, administration expects common manufacturing in 2026 to vary between 370,000 and 375,000 barrels of oil equal per day, representing a significant improve from present ranges. This manufacturing progress, mixed with sturdy money era, ought to help additional enhancements in monetary efficiency and allow Whitecap to proceed rewarding shareholders with engaging and sustainable month-to-month dividends.

SmartCentres REIT

SmartCentres REIT (TSX:SRU.UN), which owns and operates 197 properties totaling 35.6 million sq. toes of income-producing house, is my remaining choose. Supported by its strategically situated portfolio—the place almost 90% of Canadians reside inside 10 kilometres of a SmartCentres property—and its blue-chip tenant base, the Toronto-based REIT maintains a wholesome and secure occupancy price.

Along with its core retail belongings, SmartCentres continues to broaden its self-storage platform, having opened three new amenities final 12 months. The REIT plans so as to add two extra self-storage properties in Quebec in 2026, adopted by one other two in British Columbia in 2027. Alongside these initiatives, the corporate is advancing its sizeable 86.2-million-square-foot growth pipeline, with roughly 0.8 million sq. toes presently below development.

These enlargement tasks might help long-term earnings and cash-flow progress, enhancing the sustainability of SmartCentres’s distributions. At current, the REIT pays a month-to-month distribution of $0.1542 per unit, which interprets into a gorgeous ahead dividend yield of roughly 6.86%.