Taxable Equivalent Yield Chart

TAXABLE EQUIVALENT YIELD
Compare the higher taxable yield required to match the tax-free settlement annuity rate at various levels and tax brackets (i.e. a 5.5% tax-free annuity would be the same as a guaranteed 8.21% taxable yield for an individual in the 33% tax bracket)
Tax-free rate 15% tax rate 28% tax rate 33% tax rate 35% tax rate
3.0% 3.53 4.17 4.48 4.62
4.0% 4.71 5.56 5.97 6.15
5.0% 5.88 6.94 7.46 7.69
5.5% 6.47 7.64 8.21 8.46
6.0% 7.06 8.33 8.96 9.23
6.5% 7.65 9.03 9.70 10.00
7.0% 8.24 9.72 10.45 10.77
7.5% 8.82 10.42 11.19 11.54
8.0% 9.41 11.11 11.94 12.31
8.5% 10.00 11.81 12.69 13.08
9.0% 10.59 12.50 13.43 13.85