How — To Buy Municipal Bonds Suze Orman

: Orman often prefers revenue bonds over general obligation bonds. Revenue bonds are repaid by specific income streams, like bridge tolls or airport fees, which she views as more reliable.

Suze Orman considers municipal (muni) bonds a cornerstone for safety and tax-free income, famously investing a significant portion of her own wealth in them. To buy them "Suze-style," you must prioritize security over high yields and ensure you are in a tax bracket where the benefits outweigh the lower interest rates. 1. Check Your Tax Bracket First how to buy municipal bonds suze orman

: Suze personally favors triple-A-rated, insured zero-coupon municipal bonds . These are bought at a deep discount and pay the full face value at maturity, locking in a predictable future cash flow for retirement. : Orman often prefers revenue bonds over general

: Orman warns that you need to be in a high income tax bracket to make them worth it; otherwise, the lower interest rate compared to taxable bonds or Treasuries might not be a good trade-off. To buy them "Suze-style," you must prioritize security

: To avoid state taxes, you must buy bonds issued by the state where you reside. Residents of tax-free states like Florida can buy munis from any state and remain state-tax-free. 2. Prioritize Bond Types and Safety

: Municipal bonds are generally federally tax-free.

: She emphasizes buying "investment grade" or high-quality bonds to minimize default risk. Podcast Episode – Suze School: Buying The Right Bonds