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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Cashdollar & Associates
115 Erie Street Grove City, PA 16127
Phone: 724.458.5233 Fax: 724.458.4870
mail@cashdollarandassociates.com

David Cashdollar is a registered representative and investment advisor representative of and offers securities and investment adviosry services through Walnut Street Securities, Inc. (WSS) a broker/dealer (member FINRA/SIPC) and a Registered Investment Advisor.  David is licensed to sell securities in the following states: AK, AL, AR, AZ, CA, CO, CT, DC, FL, GA, HI, IA, ID, IL, IN, KY, LA, MA, MD, ME, MI, MO, MS, NC, NH, NJ, NM, NV, NY, OH, OR, PA, SC, TN, TX, VA, WA, WI, WV. Cashdollar & Associates is not affiliated with WSS.

Not all representatives licensed and registered to offer securities in all states.  Please contact our office for full details.

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