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 marginal tax bracket?

What is the yield (in percentage points) on the municipal bond you are considering?

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Vora Financial Group, PLLC & Vora Wealth Advisers
Flagstaff Office:
14 E. Birch Ave.
Flagstaff, AZ 86001

Sedona Office:
1785 W. Hwy 89a, Ste 2B.,
Sedona, AZ 86336
Phone: 928.526.VORA (8672) Fax: 928.213.VFAX (8329)
www.vorafinancial.com dharmesh@vorafinancial.com









The Vora Financial Group website you are viewing offers information regarding our insurance business.  Investment advisory services are offered through Vora Wealth Advisers - a dba of North Harbor Advisers, LLC a Registered Investment Adviser. Please call us at 928-526-8672 for information on our investment services and a copy of our ADV disclosure document.


 


 

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