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 marginal tax bracket?

What is the yield (in percentage points) on the municipal bond you are considering?

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Dorothy Yandle
8037 Corporate Center Drive, Ste. 300 Charlotte, NC 28226
Phone: (704) 543-0690 Fax: (704) 543-7711
www.dyandle.com dyandle@yandle.com

IMPORTANT NOTE: Dorothy Yandle is a registered representative registered to transact business with clients in California, Florida, North Carolina, Pennsylvania and South Carolina. Dorothy Yandle is insurance licensed in the following state North Carolina. If you are not a resident of the states noted above, all investment-related information on this site is for informational purposes only and does not constitute a solicitation or offer to sell securities, investment advisory services or insurance services over the internet. Securities offered through H.D. Vest Investment ServicesSM, Member SIPC, 6333 North State Highway 161, Fourth Floor, Irving, TX 75038, 972-870-6000.

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