Originally Posted by
Planetrain
I’ve been considering putting some “cash” in government iBonds. The fixed portion of the rate will reset in May and should be a little higher. The variable portion floats based on inflation.
The benefit to these are they are state tax exempt and should be a higher ROR than TIPS.
The downside is the max you can buy is $10k/SSn a year, and redeeming early forfeits 3 months interest.
To me these seem as safe as a CD/Money market, but maybe a little higher rate or return with tax efficiency. Anyone ever get into these?
https://treasurydirect.gov/indiv/res...res_ibonds.htm
#threaddrift
I just bought some myself as part of my emergency cash savings. I like the safety of them. You can also buy an additional $5000 in paper bonds to go with the $10000 electronic.