Tired of forking over a large percentage of your hard earned returns to the government? There may be a way to cut out Uncle Sam.
Cheat on your taxes? Never!!
Why would you when you can sidestep the IRS legally - with muni bonds!! That’s right. Muni bonds are exempt from federal taxes and from most state taxes, as well.
“A 4% tax free return is the equivalent of making 6% after taxes,” explains Ben Thompson of Samson Capital.
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When Less Is More
Muni Yield Taxable Equivalent
4% 6%
Source: Samson Capital
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“And with the Bush tax cuts expiring at the end of the year tax-exempt investments are going to become more valuable,” adds Thompson.
What’s that you say? No time to put together a thoughtful basket of state or local bonds. Guess what? Some financial firms will do the leg work for you.
Take a look:
* SPDR Barclays Muni Fund
* iShares National Muni Bond Fund
* Vanguard Short Term
* Vanguard Long Term
Intrigued? Want to hear more about investing in muni bonds!
Check out our entire interview with Ben Thompson of Samson Capital. Watch the video now.
