New York State Tax-Equivalent Yield Calculator (2026)
For NY residents outside NYC. Find the yield for NY in-state municipal bonds.
Locked to New York (State)
Defaults to top marginal bracket. Advanced users may edit or change.
Tax-Equivalent Yield
To match a 3.50% tax-free yield, a taxable bond must pay 7.25%.
Tax efficiency applies to both income and capital gains.If you are optimizing after-tax bond income, you may also benefit from reviewing ETF correlation data for tax-loss harvesting.
Estimates based on projected 2026 marginal tax brackets. Assumes in-state municipal bond (exempt from Federal & State tax). Consult a tax professional for specific advice.
TaxLossPairs.comMacro Tax Perspective: The Double Tax-Free Advantage
While NYC residents capture "Triple" savings, other NY state residents still capture significant value by avoiding the 10.9% state tax.
Since NY state taxes aren't federally deductible (SALT cap), this 10.9% saving is purely additive to your federal yield, making in-state bonds highly efficient.
Local Tax FAQs
How is the NY State tax rate in this calculator determined?
We use the highest projected marginal tier of 10.9% to provide a conservative ceiling for high earners.
Do I pay NY tax on municipal bonds from other states?
Yes. New York State taxes interest income from any municipal bond issued outside the state.
How does the 2026 SALT cap affect NY muni bond savings?
The $40,400 cap phases down to $10k for earners over $505k, keeping NY muni exemptions essential for tax preservation.
Are NY bonds Triple Tax-Free for me?
Only if you live within the five boroughs of NYC. Elsewhere, they are Double Tax-Free (exempt from Federal and State tax).
Compare Other Jurisdictions
Optimize Your Capital Gains
High earners often pair tax-free income with strategic loss harvesting. Have realized losses? Use our decision engine to check if you should harvest.