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Bond Yield to Maturity Calculator for Comparing Bonds with Different Prices and Coupon Rates

Calculator Preferences
Bond Yield to Maturity Calculator Sign
Bond Yield to Maturity Calculator

This free online investing calculator will calculate a bond's total annualized rate of return for a bond that is held until its maturity date. Using this calculator to calculate yield to maturity (YTM) will help you to quickly compare the total return on bonds with different prices, maturities, and coupon rates. The Learn tab includes a brief answer to:

  • What are bonds?
  • What is yield to maturity?
Learn More

Selected Data Record:

A Data Record is a set of calculator entries that are stored in your web browser's Local Storage. If a Data Record is currently selected in the "Data" tab, this line will list the name you gave to that data record. If no data record is selected, or you have no entries stored for this calculator, the line will display "None".

DataData recordData recordSelected data record: None
Price:Current price:Current price:Current price:

Current price:

Enter the current (market) price of the bond. In other words, how much would you have to pay to purchase the bond today?

Note that selling prices are typically listed in the "Bid Price" column of a bond table. This bid price is usually stated as a percentage of the bond's par value. For example, if a $1,000 par value bond has a bid price of "99.59", it means someone is willing to purchase it for $995.90 ($1,000 X .9959 = $995.90).

When entering the current price into the yield to maturity calculator, please be sure to enter the full dollar amount and not the percentage.

Par value:Par value:Par value:Par value:

Par value:

Enter the par value of the bond. The par value (face value) of the bond is the amount the issuer will return to the bond holder on the maturity date. Bonds are usually issued in par values of $1,000.

Coup rate:Coupon rate:Coupon rate:Coupon rate:

Coupon rate

Enter the coupon rate of the bond (without the percent sign). The coupon rate is the annual interest the bond pays. If a bond with a par value of $1,000 is paying you $80 per year, then the coupon rate would be 8% (80 ÷ 1000 = .08, or 8%).

Yrs to mat:Yrs to maturity:Years to maturity:Years to maturity:

Years to maturity:

Enter the number of years remaining before the bond reaches its maturity date (whole number only). The maturity of a bond is the year the par or face value of the bond is returned to the bond holder.

Bond Yield Percentages
Current yld:Current yield:Current yield:Current yield:

Current yield:

This is the effective annual rate of interest being paid by the bond issuer based on the purchase price of the bond and the amount of the annual coupon payments.

YTM:Yield to Maturity:Yield to Maturity:Yield to Maturity:

Yield to Maturity:

This is the total YTM annualized rate of return on the bond if held until the maturity date. In addition to accounting for the interest rate being paid on the bond, this result also reflects the gain or loss resulting from the purchase price of the bond. Purchasing a bond at a discount (less than the par value) will serve to increase the annualized rate of return, whereas purchasing a bond at a premium (more than the par value) will serve to lower the annualized rate of return. Note that the calculator assumes you will reinvest the coupon payments as they are received.

Bond Coupon Payments and Principal Gains or Losses
Annual pmt:Annual cpn pmt:Annual coupon payment:Annual coupon payment:

Annual coupon payment:

Based on the entered par value and coupon rate, this is the amount of the annual coupon payment.

Total pmts:Total cpn pmts:Total coupon payments:Total coupon payments:

Total coupon payments:

This is the total of all annual coupon payments between now and the maturity date.

Gain/-loss:Prin Gain/-loss:Gain (-loss) at redemption:Principal gain (-loss) at redemption:

Principal gain (-loss) at redemption:

If the bond is selling at a discount (less than the face or par value), purchasing the bond will result in a capital gain at maturity. If the bond is selling at a premium (more than the face or par value), purchasing the bond will result in a loss of principal maturity.

Tot return:Total return:Total return:Total return:

Total return:

Based on your entries, this is the total of all coupon payments plus the principal gain or loss at redemption. In other words, this is the dollar amount earned over and above the principal invested.

If you would like to save the current entries to the secure database, tap or click on the Data tab, select "New Data Record", give the data record a name, then tap or click the Save button. To save changes to previously saved entries, simply tap the Save button. Please select and "Clear" any data records you no longer need.

Feedback AppreciatedFeedback Greatly AppreciatedYour Feedback Would Be Greatly AppreciatedYour Feedback Is Greatly Appreciated
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Help and Tools

Help and Tools:

This section, which you can Unstick or Hide in the Calculator Preferences (just above the top of the calculator), contains the following tabs (content too long to fit within bordered frame can be scrolled up and down):

About: Click this tab for an introduction to the calculator.

Instructions: Click this tab for step-by-step instructions for using the calculator.

Terms: Click this tab for a list of the descriptions that are located within each popup help button (info icons).

PCalc: Click this tab for a handy "pocket" calculator you can use when you need to calculate an entry needed for the calculator.

Data: Click this tab to save a set of entries or a note in between visits. Entries and notes will be stored to your web browser's local storage (if supported by your browser of choice), meaning they can only be recalled with the same device and web browser you were using when you saved them. If you'd like to save entries and notes between devices you can do so by subscribing to the Ad-Free Member Version.

 

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Adjust Calculator Width:

Move the slider to left and right to adjust the calculator width. Note that the Help and Tools panel will be hidden when the calculator is too wide to fit both on the screen. Moving the slider to the left will bring the instructions and tools panel back into view.

Also note that some calculators will reformat to accommodate the screen size as you make the calculator wider or narrower. If the calculator is narrow, columns of entry rows will be converted to a vertical entry form, whereas a wider calculator will display columns of entry rows, and the entry fields will be smaller in size ... since they will not need to be "thumb friendly".

Show/Hide Popup Keypads:

Select Show or Hide to show or hide the popup keypad icons located next to numeric entry fields. These are generally only needed for mobile devices that don't have decimal points in their numeric keypads. So if you are on a desktop, you may find the calculator to be more user-friendly and less cluttered without them.

Stick/Unstick Tools:

Select Stick or Unstick to stick or unstick the help and tools panel. Selecting "Stick" will keep the panel in view while scrolling the calculator vertically. If you find that annoying, select "Unstick" to keep the panel in a stationary position.

If the tools panel becomes "Unstuck" on its own, try clicking "Unstick" and then "Stick" to re-stick the panel.