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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Coleman Financial Group
3 Bethesda Metro Center #700 • Bethesda, MD • 20814 (By Appointment Only)
Phone: 301-941-1810 • Fax: 301-657-9776
• info@cfgplanning.com

Registered Investment Advisor.

Securities offered through H. Beck, Inc. Member FINRA/SIPC 11140 Rockville Pike, 4th Fl, Rockville, MD 20852 301-468-0100. H.Beck, Inc. and Coleman Financial Group, LLC are not affiliated.

We currently have represenatives registered to offer securities in the States of Maryland, Virginia and the District of Columbia and to sell insurance products in the States of Maryland, Virginia and the District of Columbia. This is not an offer to sell or solicit securities or insurance in any other state or jurisdication.