Skip to main content
Message Font: Serif | Sans-Serif
No. of Recommendations: 0

I don't know how to figure whether Vanguard OH tax-exempt MM is more favorable than a Vanguard Prime MM (treasuries?) in a taxable acct.

1. 2007 marginal FIT will be 25%

2. 2007 marginal OH SIT will be 6%

3. VG OH tax-exempt MM yields 3.4% annualized

4. VG Prime MM yields 5.1% annualized

Is it roughly a wash???

What I "want" to do is multiply .69 x 5.1%, but I know that isn't right. What's the formula please? I can't find a calculator at the VG site. Tried Fidelity, too; Jane B Quinn's book; and a google search.

Thank you so much .... Lethean
Print the post  


In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.