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Create Your Own Pension With These 3 Top Income Stocks

Joseph Solitro

If your employer doesn't offer a pension plan, you don't need to worry, you just need to take action by creating your own. You can do this by investing in stocks with high and reliable dividends that are paid on a monthly basis, so let's take a quick look at three with yields of 3-8% that you could buy right now.

Inter Pipeline Ltd.

Inter Pipeline Ltd.(TSX:IPL) is one of the largest owners and operators of energy infrastructure in North America and Europe. Its portfolio includes conventional oil pipelines, oil sands pipelines, natural gas liquids pipelines, offgas extraction facilities, and fractionation plants located in Canada, and petroleum and petrochemical storage terminals located across the U.K., Denmark, Sweden, Ireland, and Germany.

Inter Pipeline currently pays a monthly dividend of $0.135 per share, equal to $1.62 per share on an annualized basis, which gives its stock a 6.3% yield today.

Investors must also make the following two notes.

First, Inter Pipeline's 3.8% dividend hike in November has it positioned for 2017 to mark the ninth consecutive year in which it has raised its annual dividend payment.

Second, I think its very strong financial performance, including its 40.4% year-over-year increase in funds from operations attributable to shareholders to $246.9 million in the first quarter of 2017, will allow its streak of annual dividend increases to continue for decades.

Canadian REIT

Canadian REIT (TSX:REF.UN) is one of the largest real estate investment trusts in Canada. As of March 31, its portfolio consisted of 205 retail, industrial, office, residential, and development properties located across seven Canadian provinces and one U.S. state.

Canadian REIT currently pays a monthly distribution of $0.1558 per unit, equal to $1.87 per unit on an annualized basis, which gives it a yield of approximately 3.9% today.

It's also important to make the following two notes.

First, the company's two distribution hikes in the last 14 months, including its 1.7% hike in May 2016 and its 2.2% hike last month, have it positioned for 2017 to mark the 16th consecutive year in which it has raised its annual distribution, which gives it the longest active streak for a REIT in Canada.

Second, I think its consistently strong financial performance, including its 10.9% year-over-year increase in adjusted cash flow from operations to $52.14 million in the first quarter of 2017, will allow its streak of annual distribution increases to continue for the foreseeable future.

Atrium Mortgage Investment Corp.

Atrium Mortgage Investment Corp.(TSX:AI) is one of the largest non-bank providers of residential and commercial mortgages in Canada. It provides financing solutions to the real estate communities in Ontario, Saskatchewan, Alberta, and British Columbia, and as of March 31, it had a portfolio of 186 mortgages that totaled approximately $568.71 million at a weighted average yield of 8.46%.

Atrium currently pays a monthly dividend of $0.073333 per share, equal to $0.88 per share on an annualized basis, giving it a yield of about 7.3% at today's levels.

Investors must also make the following notes.

First, Atrium's 2.3% dividend hike in January has it positioned for 2017 to mark the fourth consecutive year in which it has raised its annual dividend payment.

Second, I think the company's consistently strong earnings growth, including its 16.9% year-over-year increase in earnings and total comprehensive income to $7.16 million in the first quarter of 2017, will allow its streak of annual dividend increases to continue into the 2020s.

Should you buy these stocks today?

Inter Pipeline, Canadian REIT, and Atrium Mortgage Investment could help you create your own pension, so take a closer look at each and strongly consider initiating positions in one or all of them today.

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Fool contributor Joseph Solitro has no position in any stocks mentioned.

1 Massive Dividend Stock to Buy Today (7.8% Yield!) - The Dividend Giveaway

The Motley Fool Canada's top dividend expert and lead adviser of Dividend Investor Canada, Bryan White, recently released a premium "buy report" on a dividend giant he thinks everyone should own. Not only that - but he's created a must-have, exclusive report that outlines all the alarming traits of dividend stocks that are about to blow up - and how you can avoid them.

For this limited time only, we're not only taking 57% off Dividend Investor Canada, but we're offering you special access to two brand-new reports, free of charge upon signing up. They will outline everything you need to know so you steer clear of dividend burn-outs AND take advantage of the dividend giants in the Canadian market.

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Fool contributor Joseph Solitro has no position in any stocks mentioned.