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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Zerkle Financial Services, LLC
2698 Sawbury Boulevard Columbus, OH 43235
Phone: (614)889-8987 Fax: (614)792-8507
szerkle@multifin.com

Securities and advisory services offered through Multi-Financial Securities Corporation, member FINRA, SIPC.

2698 Sawbury Boulevard
Columbus, Ohio 43235

 

Zerkle Financial Services, LLC and Multi-Financial Securities Corporation are not affiliated companies.

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