Calculate the coupon payments, withholding tax, and total return on a Medium Term Note, priced at face value with your chosen payment frequency.
A Medium Term Note is a corporate bond you buy at face value — unlike a Treasury Bond, there's no separate market yield to discount against, since the quoted rate serves as both the coupon and the effective return. The Medium Term Notes Calculator works out your coupon schedule and total return on that basis.
How Is a Medium Term Note Priced?
You pay exactly the face value — there's no premium or discount to solve for, because the single interest rate you enter is treated as both the coupon rate and the yield. This keeps the calculation simpler than a Treasury Bond: no cash-flow discounting is needed, since price always equals face value.
How Is the Coupon Calculated?
Enter the face value, interest rate, tenor in years, and payment frequency — annual, semi-annual, or quarterly. The calculator divides the annual coupon (face value × rate) by your chosen frequency to get each coupon payment, then applies a fixed 15% withholding tax to every payment to show your net coupon.
How Do I Read the Coupon Schedule and Totals?
The schedule lists every coupon date from your value date through maturity, with the gross coupon, withholding tax, and net coupon for each payment. The totals show gross interest, total withholding tax, and total net interest across the note's full life — your total return, since the price you paid equals the face value you get back at maturity with no capital gain or loss.
A Note on This Calculator's Pricing Assumption
The at-par pricing assumption is inferred from the structure of the source calculator this tool is based on — it has only one rate field, where a Treasury Bond calculator has two (coupon rate and market yield). If your specific Medium Term Note is being offered above or below face value, this calculator will not capture that premium or discount — confirm the actual issue price with your issuer or broker before relying on the total return figure.