The U.S. federal government releases its own bonds from the treasury and from a number of federal government agencies. Those growing in less than one year are understood as T-bills. Bonds that develop in one to ten years are T-notes, and those that take more than 10 years to develop are treasury bonds. Sometimes, you do not need to pay state or regional earnings taxes on the interest they earn.

Munis finance things like medical facilities, schools, power plants, streets, workplace structures, airports, bridges and the like. Municipalities generally issue bonds when they need more cash than they collect through taxes. The good idea about municipal bonds is that you don't have to pay federal income taxes on the interest they make.

While corporate bonds are a greater threat than government bonds, they can make a lot more cash. There's also a much larger selection of corporate bonds. The drawback is that you do need to pay federal income

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