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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Cornerstone Financial
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Phone: (702) 982-8200 Fax: (702) 982-8210
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Investments are offered through representatives of MTL Equity Products, INC., Member FINRA & SIPC.


Securities are offered to residents of NV, AK, AZ, AR, CA, DC, FL, GA, IL, IN, MA, MI, MT, NJ, NY, PA, SC, UT, VA, WA & WI.


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Representatives of MTL Equity Products, INC. and Cornerstone Financial Partners, Ltd. do not offer legal or tax advice. Please see your personal tax and legal professionals for individual needs.

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