Municipal Bond Yields
Friday, October 29th, 2010 | Comments Off on Municipal Bond Yields
Ten year tax free municipal bonds are now yielding 2.58%, which is an effective taxable rate of 3.97% if you are in the top 35% tax bracket. If the Bush tax cuts end next year, the yield jumps to 4.27% for people in the highest income tax bracket. For 30 year munis, the effective taxable rate is 6.38%, which is 6.87% when tax considerations are factored in.
