Matt DiLallo, The Motley Fool

Fri, May 30, 2025, 2:42 AM5 min read

• Realty Income has increased its monthly dividend 130 times since coming public in 1994.

• SL Green Realty has started increasing its monthly dividend as demand for office space recovers.

• Healthpeak Properties recently switched to paying monthly dividends.

• 10 stocks we like better than Realty Income ›

If you're like most people, you probably wish your paycheck was a bit bigger. That would give you more money to save for a rainy day, invest for retirement, or spend on things you want.

There are many ways to supplement your income, most of which require time or money. If you have some extra cash lying around, you can use it to generate passive income. Here are a few high-yielding dividend stocks that make monthly payments, which can help supplement your paycheck.

Realty Income (NYSE: O) is one of the most bankable monthly dividend stocks you'll find. The real estate investment trust (REIT) has paid 659 monthly dividends since its formation. The REIT currently pays $0.2685 per share each month, or $3.222 annualized. The company has a nearly 5.8% dividend yield at its recent stock price. At that rate, every $100 invested in the stock would produce about $0.48 of dividend income each month and $5.80 per year. The more money you invest, the more income you collect.

The great thing about Realty Income is that it routinely raises its dividend payment. The REIT has increased its dividend 130 times since coming public in 1994, and for the past 110 quarters in a row.

The main factor driving Realty Income's steadily rising dividends is acquisitions. The REIT has a strong financial profile, with a low 75% dividend payout ratio, and its balance sheet looks just as good. It's one of only 10 REITs in the S&P 500 with two bond ratings of A3/A- or higher. That gives it the financial flexibility to continue investing in properties including net lease retail, industrial, gaming, and others that generate stable rental income to support its growing dividend.

SL Green Realty (NYSE: SLG) is the largest office landlord in Manhattan. While demand for office space has declined since the pandemic, it has been slowly recovering. Demand for high-quality office space has been strongest, which is benefiting SL Green Realty because it owns some of the best office buildings in the City. For example, occupancy across its portfolio was 91.8% at the end of March and should improve to 93.2% by year-end as tenants that recently signed leases move into their space this year.

As a result, the office REIT's rental income is starting to grow. That enabled it to raise its dividend for 2025 to a monthly rate of $0.2575 per share, or $3.09 annualized, up from $3.00 last year, giving it a 5.3% dividend yield at its recent share price.