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?

%
 
   
   
Doxa Advisors
400 Village Center Drive, Suite 300 • North Oaks, MN • 55127-7089
Phone: 651-400-1100 • Fax: 651-967-0200
• info@doxadv.com

Investment Advisory Services offered through Investment Advisory Representatives of Doxa Advisors LLC a Federally Registered Investment Advisor. This site is published for residents of the United States only.  Investment Advisor Representatives of Doxa Advisors LLC may only conduct business with residents of the states and jurisdictions in which they are properly registered. Therefore, a response to a request for information may be delayed. Not all of the products and services referenced on this site are available in every state and through every representative or advisor listed. For additional information, please contact the Doxa Advisors LLC Compliance Department at 651-400-1101.