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?

%
 
   
   
Leo Kauhini
1601 Kapiolani Blvd.
Suite 1200
Honolulu, HI 96814
Phone: (808) 979-3339 Fax: (808) 979-3390
www.leokauhini.com

LKauhini@Jhnetwork.com

We are licensed to sell Insurance Products in the following states:
California, Hawaii.

We are registered to sell Securities in the following states:
California, Hawaii.

Offering John Hancock insurance products.
Securities and Investment Advisory Services offered through Signator Investors, Inc.,
Member FINRA, SIPC, a Registered Investment Advisor.

Privacy Policy