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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Vision Financial Group | Financial Planners and Wealth Management Fort Collins Co
1336 Oakridge Drive
Fort Collins, CO 80525
Phone: (970)482-2000 or (800)275-6988 Fax: 970-484-9271
greg@visionfinancialgroup.net rod@visionfinancialgroup.net denise@visionfinancialgroup.net maureen@visionfinancialgroup.net steve@visionfinancialgroup.net

Greg D. Anderson and Rodney K. Wilson are Registered Representatives of ProEquities, Inc., a registered broker/dealer and member FINRA and SIPC. ProEquities` home office is located at 2801 Highway 280 S, Birmingham, Al 35223, (800)288-3035. Vision Financial Group is independent of ProEquities, Inc.