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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The Sherer Group, LLC
1754 Technology Dr. Suite 246 San Jose, CA 95110
Phone: (408) 984-7526 (888) 984-7526 Fax: (408) 984-7523 (888) 984-7523
tsherer@jpturner.com

Securities offered through J.P. Turner & Company, LLC Member SIPC

1754 Technology Dr. Suite 246 San Jose, CA 95110
Phone: (408) 984-7526 (888) 984-7526
Fax: (408) 984-7523 (888) 984-7523

We are licensed to sell Insurance Products in the following states: CA

We are licensed to sell Securities in the following states: CA