Municipal Bonds

TL;DR: Municipal Bonds are tax-exempt

Municipal bonds are ways cities can fund projects like bridges and schools.

The main advantage here is that these are federally tax-exempt, which boosts their earning potential higher than federal bonds. They are similarly safe investments, although occasionally they still default (e.g. Detroit).

Directly investing in municipal bonds takes some research, capital, and time dedicated to the endeavor. However, you can also invest in ETFs to reap the tax-exemption benefits.

If interested, I’d recommend Googling and reading more about it.

Happy Muni-bonding!

TheJKW