Identify the bond’s current market price
Note the bond’s face value
Note the coupon rate
Note the coupon payment frequency
Determine the number of periods until maturity
Set up the bond pricing equation
Solve for the discount rate that makes the present value of all coupon payments and face value equal to the current price
Use a financial calculator, spreadsheet, or bond pricing formula to compute the rate
If needed, use trial and error or an iterative method to find the yield
Express the result as the annual yield to maturity