Taxable Equivalent Yield  

Municipal bonds are sold by cities, counties, states and other political bodies (public hospital, school district).

The federal government and its agencies do not sell municipal bonds. However, most municipals are free of federal taxes. Because of this, the stated interest rate on municipals is typically lower than comparable non tax-exempt bonds.

How much would you have to receive from a taxable bond to realize an equivalent yield? You can find the answer by entering the following information:

     


What is your federal income tax bracket?

What is the yield (in percentage points, 0 to 10 percent) on the municipal bond you are considering?

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Insured Wealth Management, LLC
6860 N. Dallas Parkway
Suite 200
Plano, TX 750246
972-381-2778

6800 Heritage Parkway
Suite 200
Rockwall, TX 75087
972-412-6064
Phone: 972-381-2778 Plano Office
972-412-6064 Rockwall Office
Fax: 972-265-7937
info@insured-wealth.com