yes i didThe shine has certainly come off of EE bonds as rates have gone up. In 2023 and 2024 I simply didn't buy any, and put equivalent money in STRIPs in a tax-advantaged account instead.Code:
Year YTM Years left1 3.53% 20 2 3.72% 19 3 3.93% 18 4 4.16% 17 5 4.43% 16 6 4.73% 15 7 5.08% 14 8 5.48% 13 9 5.95% 12 10 6.50% 11 11 7.18% 10 12 8.01% 9 13 9.05% 8 14 10.41% 7 15 12.25% 6 16 14.87% 5 17 18.92% 418 25.99% 319 42.42% 220 100.00% 1
I'm looking at the EE bonds that I bought in January 2022 now (so they're almost 3 years old) and, looking at the table above, it seems like I could now do considerably better if I cash them in and reinvest in STRIPs maturing in 2042. The 20 year rate from here (https://home.treasury.gov/policy-issues ... data=yield) is 4.7%; I imagine the 17 year rate is not much lower. I would have to swap some money around in order to find room to buy the STRIPs in a tax advantaged account. (And then there would be some new tax drag from whatever I did with the liquidated EE money in taxable -- in my case that would probably be buying some total international stock ETFs.)
Anyone else getting rid of few-year old EE bonds?
Statistics: Posted by grok87 — Mon Nov 18, 2024 6:44 am — Replies 192 — Views 36289