Rukh O'Rorke
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Post by Rukh O'Rorke on Mar 4, 2023 16:28:39 GMT -5
calling minnesotapaintlady !! What is your crystal ball saying? I know you said the fixed rate is a mystery - but you are usually dead on for the adjustable. What say you on waiting til may?
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Rukh O'Rorke
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Post by Rukh O'Rorke on Mar 4, 2023 17:12:09 GMT -5
lol, I cancelled my ibond order......Will think on it over the weekend.
Which way is the tide flowing........
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minnesotapaintlady
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Post by minnesotapaintlady on Mar 4, 2023 19:48:56 GMT -5
calling minnesotapaintlady !! What is your crystal ball saying? I know you said the fixed rate is a mystery - but you are usually dead on for the adjustable. What say you on waiting til may? I don't guess on the variable. Once the March CPI index is released on April 12th at 8:30am the new variable rate for May is known. So, you have a couple weeks to buy at either the old or wait for the new, but the fixed though...a lot of people said it was just when they were trying to encourage people to buy, but them upping the fixed to .04 last November when I bonds were hotter than they're ever been shoots that theory.
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Rukh O'Rorke
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Post by Rukh O'Rorke on Mar 4, 2023 22:15:49 GMT -5
calling minnesotapaintlady !! What is your crystal ball saying? I know you said the fixed rate is a mystery - but you are usually dead on for the adjustable. What say you on waiting til may? I don't guess on the variable. Once the March CPI index is released on April 12th at 8:30am the new variable rate for May is known. So, you have a couple weeks to buy at either the old or wait for the new, but the fixed though...a lot of people said it was just when they were trying to encourage people to buy, but them upping the fixed to .04 last November when I bonds were hotter than they're ever been shoots that theory. ok - will you tell us what that is on April 12?
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minnesotapaintlady
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Post by minnesotapaintlady on Mar 4, 2023 23:35:36 GMT -5
I don't guess on the variable. Once the March CPI index is released on April 12th at 8:30am the new variable rate for May is known. So, you have a couple weeks to buy at either the old or wait for the new, but the fixed though...a lot of people said it was just when they were trying to encourage people to buy, but them upping the fixed to .04 last November when I bonds were hotter than they're ever been shoots that theory. ok - will you tell us what that is on April 12? I can do that.
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minnesotapaintlady
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Post by minnesotapaintlady on Mar 7, 2023 8:26:44 GMT -5
So far it's not looking good for the variable rate. Two more months to add in, but unless it shoots up, variable is going to drop.
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Rukh O'Rorke
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Post by Rukh O'Rorke on Mar 8, 2023 13:34:01 GMT -5
So far it's not looking good for the variable rate. Two more months to add in, but unless it shoots up, variable is going to drop. based on this cogent argument, I reinstated my 2500 ibond buy. Really hate that money sitting around in checking. Not because of low interest rates, but because it is apt to disappear! Well - it will still disappear if in other locations! But if I have to make a non-paycheck depo into checking to cover the cc balance autopay, I know I done wrong! Right around the time the new Ibond rates come out, I'll *hopefully* have a sizable RI check coming in and will decide how/when to buy up to the 10k limit. I do owe myself a lot of money, so I should pay back my house fund.....hopefully my other RI client comes back in 23 and I'll funnel all that money to the house fund, but have not heard from them as yet!....the client I'm anticipating a check from is one large project/year. For the 2023 event, I've been working on it for the past month, should finish up this weekend, and then send the bill with 30 days to pay. The other client is smaller projects of 5-6/year so money is usually dribs and drabs But ibonds feel like such a real EF to me. Not too accessible, but getting decent interest, and no loss of principal. Fingers crossed the rates keep good and I don't need it for anything and then it will be so fun if/when they start getting to the 5 year mark and they give back the stolen 3 months of interest!!!
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minnesotapaintlady
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Post by minnesotapaintlady on Mar 8, 2023 14:38:19 GMT -5
So far it's not looking good for the variable rate. Two more months to add in, but unless it shoots up, variable is going to drop. based on this cogent argument, I reinstated my 2500 ibond buy. Really hate that money sitting around in checking. Not because of low interest rates, but because it is apt to disappear! Well, now the rates will go up for sure! eta: There is a lot of speculation that fixed will go up considerably. like, .06 to 1% good. If that happens I may sell off the 10K I bought in 2021 and rebuy, but probably not until after finding out what the November variable rate will be.
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Rukh O'Rorke
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Post by Rukh O'Rorke on Mar 8, 2023 16:02:50 GMT -5
based on this cogent argument, I reinstated my 2500 ibond buy. Really hate that money sitting around in checking. Not because of low interest rates, but because it is apt to disappear! Well, now the rates will go up for sure! eta: There is a lot of speculation that fixed will go up considerably. like, .06 to 1% good. If that happens I may sell off the 10K I bought in 2021 and rebuy, but probably not until after finding out what the November variable rate will be. I guess I'll have to take the hit then! will still have 7500 for the limit.... OH! I may have tax return money I can put towards extra!! How is the rate determined there, like what is the purchase date - is it April 15th - or whenever you file?
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minnesotapaintlady
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Post by minnesotapaintlady on Mar 8, 2023 16:08:23 GMT -5
Well, now the rates will go up for sure! eta: There is a lot of speculation that fixed will go up considerably. like, .06 to 1% good. If that happens I may sell off the 10K I bought in 2021 and rebuy, but probably not until after finding out what the November variable rate will be. I guess I'll have to take the hit then! will still have 7500 for the limit.... OH! I may have tax return money I can put towards extra!! How is the rate determined there, like what is the purchase date - is it April 15th - or whenever you file? The date they issue they bonds. I had $1000 from my tax refund put in this year and it went through just a week or so after I filed, so the bonds have a February issue date.
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minnesotapaintlady
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Post by minnesotapaintlady on Mar 10, 2023 10:37:48 GMT -5
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Rukh O'Rorke
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Post by Rukh O'Rorke on Mar 10, 2023 14:48:33 GMT -5
been cogitating on this stuff this day....
so the majority of my ibonds is at 6.48% - meanwhile.....annual inflation is guaged at 6.41% this month and 6.45% last month. So - not that great for return! Better than treasuries at the moment, and stock market continues to get hit here and there.....so I guess still a good place?
My recent purchase is the only one I have with the fixed rate above 0, that one is at 6.89%. so very marginally better. My google query also says the inflation rate for last year was 7.48%, wondering where it will drift for the rest of this year....
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Tiny
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Post by Tiny on Mar 11, 2023 15:01:09 GMT -5
AT least Ibonds are doing their job - "keeping up with inflation" way better than any other options for "cash" right now. I've got 20K of EF money in Ibonds. I'm feeling ok about having moved the money to Ibonds. At least this 20K is loosing purchasing power slower than the other cash on hand that I have. My 20K of ibonds all have a 0% fixed rate. And my first purchases were early in 2021 when the variable rate first started jumping up. This is short term money for me... 5 years max. So, I'm not too concerned about the fixed rate for these older bonds. making the bonds a bad investment or "losing money". I'm also heading towards being 60 years old. "long term" is now "shorter" for me than it was when I was in my 30's thru 50yo. 20 years from now I will be 80. Will having 10K or 20K in Ibonds with a fixed rate (of .4 or even 1%) rate be a "game changer" at that age?? Will I keep the ibonds until I'm 80?? Add in the amount I can stash in tax advantaged retirement accounts went up $3500 (plus the bit for my HSA). I don't have a lot of 'extra' disposable income left after that. ::sigh:: Where to put my money... Decisions, Decisions.
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Rukh O'Rorke
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Post by Rukh O'Rorke on Mar 24, 2023 11:17:25 GMT -5
AT least Ibonds are doing their job - "keeping up with inflation" way better than any other options for "cash" right now. I've got 20K of EF money in Ibonds. I'm feeling ok about having moved the money to Ibonds. At least this 20K is loosing purchasing power slower than the other cash on hand that I have. My 20K of ibonds all have a 0% fixed rate. And my first purchases were early in 2021 when the variable rate first started jumping up. This is short term money for me... 5 years max. So, I'm not too concerned about the fixed rate for these older bonds. making the bonds a bad investment or "losing money". I'm also heading towards being 60 years old. "long term" is now "shorter" for me than it was when I was in my 30's thru 50yo. 20 years from now I will be 80. Will having 10K or 20K in Ibonds with a fixed rate (of .4 or even 1%) rate be a "game changer" at that age?? Will I keep the ibonds until I'm 80?? Add in the amount I can stash in tax advantaged retirement accounts went up $3500 (plus the bit for my HSA). I don't have a lot of 'extra' disposable income left after that. ::sigh:: Where to put my money... Decisions, Decisions. So funny tiny....we are such a similar juction - age, money placement, etc. Wish I had more after maxing 401k/HSA, but there are limits! Just hoping to get into good shape the next year-two-three.....Been thinking I needed 2-3 years in cash before retirement....now I am worried I may be better off looking at 5 years, but that seems impossible unless I convert a lot of stocks to cash....and why would i do that if the market is still down.....and why would I do that if the market is up, LOL! But saving that in new money - does seem possible....unless I work another 10 years....
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Rukh O'Rorke
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Post by Rukh O'Rorke on Mar 24, 2023 12:05:11 GMT -5
prediction of .8 on the fixed here? what is your thought on the variable after the fed rate hike?
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minnesotapaintlady
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Post by minnesotapaintlady on Mar 24, 2023 12:28:20 GMT -5
prediction of .8 on the fixed here? what is your thought on the variable after the fed rate hike? Unless inflation skyrockets the last month used in the calculation (March), variable is going to drop...probably significantly. It's based off of CPI-U and has nothing to do with fed rate. Current projection based on 5 months is 3.26%
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countrygirl2
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Post by countrygirl2 on Mar 26, 2023 17:11:18 GMT -5
I doubt we have anything to put in. We are tied up, one for 5 years, doing good, One for 6 months at 4.35%, and some IrA's in MM. Some going to take one out to pay for the mobile, not an IRA, sad, but rolling more in from another IRA. If we sell the house we will put that in either MM or hope to find some special for awhile. Bad time to spend money we could keep invested. But at our age when is a good time? The I bonds I have will be the absolute last dollars we will spend.
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Artemis Windsong
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Post by Artemis Windsong on Mar 31, 2023 10:26:25 GMT -5
An article fromYahoo on I bonds.
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Rukh O'Rorke
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Post by Rukh O'Rorke on Apr 1, 2023 13:00:19 GMT -5
all my bonds have switch to the 6% range now. Buy buy 9% ...... My monthly interest did go up this month compared to last, but will take a bit to catch up to what it was a few months ago, relying on new money to do so.....but I guess I still had a few a 9% and then may will be the first with no 9%ers.....but was very low balance so will see what interest in may and then will see where rates go! Could take a whole lot of new money to be catching up Then will need to eval if Ibonds stay in the interest ballpark as a good place to park the new money..... My oldest are about 2 years old now. I have a question about the missing 3 months of interest. So - you forfeit 3 months of interest if you cash out before 5 years. The ibonds show no interest for the first three months so you know what you see is what you get. When you hit 5 year mark, the 3 months of interest are added back in to the value of the bond. But - do they add all the compounding to that interest that would have happened if they credited during those first 3 months? Seems they should! But not sure, and can't remember if I ever asked this before. My mind is not the steel trap of info it used to be!
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minnesotapaintlady
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Post by minnesotapaintlady on Apr 1, 2023 13:35:08 GMT -5
When you hit 5 year mark, the 3 months of interest are added back in to the value of the bond. But - do they add all the compounding to that interest that would have happened if they credited during those first 3 months? Seems they should! But not sure, and can't remember if I ever asked this before. My mind is not the steel trap of info it used to be! Well, the penalty is the most RECENT 3 months interest and they only compound every 6 months, so there wouldn't be anything but the actual monthly interest amount (it might work different if the most 3 months crosses the compounding date line I guess)
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Rukh O'Rorke
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Post by Rukh O'Rorke on Apr 1, 2023 17:40:21 GMT -5
When you hit 5 year mark, the 3 months of interest are added back in to the value of the bond. But - do they add all the compounding to that interest that would have happened if they credited during those first 3 months? Seems they should! But not sure, and can't remember if I ever asked this before. My mind is not the steel trap of info it used to be! Well, the penalty is the most RECENT 3 months interest and they only compound every 6 months, so there wouldn't be anything but the actual monthly interest amount (it might work different if the most 3 months crosses the compounding date line I guess) oooooh! so in month 4 after buying the bond, you see the interest from month 1?? hahahaha - make so much sense!! I am ready to receive my big dummy award.......
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minnesotapaintlady
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Post by minnesotapaintlady on Apr 1, 2023 18:55:19 GMT -5
Well, the penalty is the most RECENT 3 months interest and they only compound every 6 months, so there wouldn't be anything but the actual monthly interest amount (it might work different if the most 3 months crosses the compounding date line I guess) oooooh! so in month 4 after buying the bond, you see the interest from month 1?? hahahaha - make so much sense!! [img class="smile" alt=" " src="//storage.proboards.com/forum/images/smiley/embarrassed.png"] I am ready to receive my big dummy award....... Yes, also why even after your bonds dropped out of the 9.62% range you'll still see them going up that much for 3 months after the switch.
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Rukh O'Rorke
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Post by Rukh O'Rorke on Apr 1, 2023 19:15:07 GMT -5
oooooh! so in month 4 after buying the bond, you see the interest from month 1?? hahahaha - make so much sense!! [img class="smile" alt="[img src="//storage.proboards.com/forum/images/smiley/embarrassed.png" class="smile" alt=" "]" src="//storage.proboards.com/forum/images/smiley/embarrassed.png"] I am ready to receive my big dummy award....... Yes, also why even after your bonds dropped out of the 9.62% range you'll still see them going up that much for 3 months after the switch. oh wow!!
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Post by seriousthistime on Apr 3, 2023 10:14:30 GMT -5
My converted-from-paper-to-electronic I bonds are finally showing up in my Treasury Direct account. It took about 3 months.
I will soon be going through this again with my 2022 tax refund.
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Tiny
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Post by Tiny on Apr 7, 2023 15:10:31 GMT -5
I just bought 4,800 worth of I-bonds today. I decided to not to wait to find out the next fixed/variable rate. I'll take the .4 fixed rate for the life of this I-Bond. If I have to redeem I-Bond EF money - I will pull it from the older 0% fixed rate I-Bonds (all of mine are more than 12 months old at this point).
The 4,800 came from a T-Bill I bought awhile ago that just matured/ended AND the last of my old EE bonds that just matured and was dumped into the "no interest" account. The t-bill money was "Emergency Fund" money and will continue to be that - but in I-Bond form.
I got lucky and was able to replenish my "cash on hand" EF to a level I'm happy with without using the matured T-Bill $$. Otherwise this 4,800 would have been allocated to "cash on hand".
Now, I just need to go a few more months without any new actual emergencies happening.
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minnesotapaintlady
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Post by minnesotapaintlady on Apr 12, 2023 7:50:37 GMT -5
Final CPI-U data is out. Variable rate will be 3.38% in May. Some are predicting the fixed may double to 0.8%, but that's just a guess.
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resolution
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Post by resolution on Apr 12, 2023 8:28:17 GMT -5
Any idea on when they will announce the fixed rate?
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minnesotapaintlady
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Post by minnesotapaintlady on Apr 12, 2023 8:29:15 GMT -5
Any idea on when they will announce the fixed rate? May 1st.
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Tiny
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Post by Tiny on Apr 12, 2023 12:41:39 GMT -5
Well, the 3.38% variable rate is OK. It means I will be keeping my 0% fixed rate I-Bonds until the next variable rate change in Nov 2023. I don't feel like chasing interest rates with my I-bond money and 3.38% isn't outrageously low. Holding steady fits my "I Bond" plan.
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Rukh O'Rorke
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Post by Rukh O'Rorke on Apr 12, 2023 21:58:27 GMT -5
Final CPI-U data is out. Variable rate will be 3.38% in May. Some are predicting the fixed may double to 0.8%, but that's just a guess. so - nontriumphant?
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