Tired of hearing people say there's no place to hide. You can buy up to $10k of Federal I-bonds a year, and get another $5k through your tax refund. They're indexed to inflation. You're welcome.
Federal I-bonds are giving 9.62%
Nathaniel Green
Other urls found in this thread:
treasurydirect.gov
twitter.com
Ethan Bailey
>They're indexed to inflation. You're welcome.
which means the yield will go down as inflation decreases or the government manipulates the inflation figures even harder to give the illusion (on paper) that inflation is going down. meanwhile you have to hold i-bonds for 1 year minimum and you pay 3 months of interest penalty if you cash out before 5 years.
Jaxson Kelly
>lock yourself into a ""variable"" rate that's actually fixed semi-annually right before hyperinflation, goy
Jacob Thompson
If inflation goes down, do you really care about the interest penalty? If you're earning a measly 1% or whatever interest is, that's the time to cash out and eat the penalty.
The biggest problem with I Bonds is the $15k limit per calendar year. I parked about $22k in some end of last year/early this year, but would have put more if I could due to the safety of US bonds and them probably offering good returns into 2023.
Easton Clark
you clearly don't know what you're talking about. look at the ten year history of i-bond returns. they're incredibly stable. here's a link to thirty years of data -- scroll down to the composite rate: treasurydirect.gov
Oliver Rivera
>They're indexed to inflation
They're indexed to the fake inflation number generated by the government. Think about it, why the hell would the government EVER give you more money than what inflation destroys? 2 years from now when the (((CPI))) goes down to 2% (i.e. the government says the CPI is at 2%), your bonds will give you 3% while the ACTUAL inflation continues to increase beyond control
Jose Sullivan
yeah you can only buy $15k a year max but right now people are parking their cash and earning nothing. or worse, gambling. something is better than nothing.
Jackson Gray
you're a sucker if you fall for these but i'd love to see it. literally even crypto is less stupid than using treasurydirect for anything, ever
Jack Cox
the fixed portion of I-bonds is currently: 0%
the variable portion of I-bonds is currently: all the rest of it, guaranteeing you will not beat inflation lmao
Isaiah Jenkins
That chart is the current rate for an I Bond issued during that time period. This is the chart showing the historical rates, the other user is right that I Bonds are variable rate and typically pay very little. You take the 6 month inflation rate and then multiply it by 2 to get the equivalent APY. Current rate is 4.81x2=9.62% APY, and previous 6 month's rate was 3.56x2=7.12%.
The last year or so was definitely a good time to get into them, though. I look at it as a medium term investment and expected it to pay good returns over a 2-3 year period. Plus as mentioned they're bonds backed by the full faith and credit of the US government, so basically no risk.
Logan Jackson
>You can buy up to $10k
There's the catch, smoothbrain.
Luke Morris
With the chart this time
Caleb Gomez
why have they done this since the year 1998, when I-Bonds were introduced? and why do those bonds give over 13% interest? because not everything the government does is bad. they want to protect the middle class from inflation so those people can buy a house and shit out more taxpayers.
Blake Gray
>phoneposter
>arrogant
>clearly wrong about the most basic aspects of i-bonds
>telling me i'm wrong
i don't even know where to start. fix your fucking life, user.
Connor Nelson
>but the composite rate!
made this for you to share with people instead, this way you don't look quite as stupid
Tyler Baker
if you're looking to protect a million dollars from inflation, go fuck yourself for having more money than me. this is middle class advice - a way to protect your emergency fund from inflation.
Thomas Sanchez
have fun chasing the easy 15-30% returns that have just fallen into your lap the past few years, im sure continuing to chase that high will go great for you. go buy waves or whatever. for my fellow poor to middle class phoneposter, i-bonds are a great way to protect $10-$15k a year for a few years.
Isaac Ramirez
>why do those bonds give over 13% interest?
because every six months they're re-adjusted to an official CPI figure that guarantees they will do worse than the real rate of inflation, thus stealing your purchasing power while using you to fund short-term federal liabilities, and you can neither redeem them early nor sell them in a secondary market, giving them the ultimate duration risk while also never selling below par
really a perfect product when the sellers are evil and the buyers are incompetent
Hunter Taylor
>they want to protect the middle class from inflation so those people can buy a house and shit out more taxpayers.
It's $10k. It's nice, and don't get me wrong I'm a poorfag, but $10k is nowhere near enough. $100k and I'd be giving the (((government))) more praise.
Nathaniel Wood
oh i agree that $10k isn't much in the grand scheme of things. but a lot of people on biz larp about being millionaires, and i get the sense the people who have moved to cash have no idea what to do with it. this is a way to protect enough of it a year for a bit until we truly hit bottom. then, im going to buy my ass off.
Brody Flores
>why have they done this since the year 1998
And why has the price of housing gone up 370% while your money in these bonds would have gone up 240% since 1998? Why has the federal wage gone up only 40% in that same time? Why has the federal debt gone up exponentially in the same time?
Open your eyes, it's all a ploy for (((them))) to keep the facade going for a few more years. Buy Gold and Silver.
Justin Foster
this is who should buy i-bonds. if you're a millionaire looking to become a billionaire, i-bonds can't help you. they're for the average joe who thinks their only choices are the markets, crypto or a 0.01% APY savings account. there is a fourth option.