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 Athena Group
822 N. Main Street • Rochester, MI • 48307
Phone: 248-453-5252
248.515.2281 Cell
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• diane@theathenagrouponline.com

Diane Young is a Registered Representative of and offers securities products & investment advisory services through Royal Alliance Associates, Inc. Member FINRA/SIPC, a registered broker-dealer and a registered investment advisor. In this regard, this communication is strictly intended for individuals residing in the states of Michigan , Ohio, Maryland, Florida, Iowa, Indianna, Kentucky, and New York. No offers may be made or accepted from any resident outside the specific state(s) referenced.



The Athena Group, Ltd. is not affilicated with Royal Alliance Associates, Inc nor is it a broker/dealer or an investment advisor.

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