Yield to Maturity (YTM) Calculator

Your details

The amount repaid at maturity, usually 1,000 per bond.
What you pay for the bond today (the clean price).
Enter the coupon either as a yearly currency amount or as an annual rate of face value.
Total yearly interest in currency. A 5% coupon on a 1,000 bond is 50, paid in equal installments across the year.
How often the coupon is paid. Semi-annual is the bond-market default.
yr
Turn on for bonds the issuer can buy back before maturity, then enter the call terms.
Currency
Yield to maturity (exact)Bought at a discount
6.18%
Current yield5.26%
Coupon rate5%
Approximate YTM (estimate)6.15%
Coupon per payment$25.00
Total coupon income to maturity$250.00
Capital gain or loss at maturity$50.00
Exact YTM6.18%
Yield to worst6.18%
Current yield5.26%
Coupon rate5%

Exact yield to maturity is 6.18%.

  • You are paying less than face value, so the gain at maturity lifts your yield above the current yield.
  • Current yield is 5.26%, which counts only the coupon and ignores any gain or loss at maturity.
  • The exact YTM here is 6.18%. The textbook approximation gives 6.15%, which is close but not exact, especially for long maturities and deep discounts or premiums.

Next stepCompare this yield against other bonds of similar credit quality and maturity before buying.

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