Apparently you can now use your tax refund to automatically<\/i> buy I-series bonds from the U.S. government.<\/p>\n
As recently as three years ago, I was a huge fan of tax refunds<\/a>. Despite the arguments against them, I liked<\/i> getting a tax refund because it was the only way I’d found to save. I’m able to save on my own now, so I no longer aim to get a tax refund every year, but I certainly don’t fault anyone else for doing so. If that’s what you need to save, then do it!<\/p>\n If you’re truly<\/i> trying to save with the money, the U.S. government has a new option for you starting this year: Now you can buy U.S. Series I savings bonds<\/a> with your tax refund.<\/b><\/a> Instead of getting a cash refund, you can designate up to $5,000 of your refund to be delivered in actual paper bonds issued in your name.<\/p>\n I Bonds are savings bonds that are indexed for inflation. The earnings rate on an I Bond has two components:<\/p>\n The fixed rate and the variable rate are combined to get a composite rate, which is currently 3.36%. I know this is a lot of gibberish. All you really need to know is that I Bonds are a safe place to put your money so you don’t have to worry about it losing value to inflation.<\/p>\n Because of this, I Bonds are an attractive alternative to high-yield savings accounts<\/a>, especially now. They offer higher rates of return, and<\/i> I Bonds are state and local income-tax exempt. (Federal income tax on I Bonds can be deferred until the bonds are cashed in or stop earning interest after 30 years.)<\/p>\n One drawback? I Bonds aren’t as liquid as a savings account. You can cash them out whenever you want, but if you do so before five years, the bond is subject to a 3-month earnings penalty. (This is sort of like breaking a certificate of deposit<\/a> early.)<\/p>\n If you’re going to use your tax refund to save, why not actually<\/i> save, all while getting a great rate of return on your money?<\/p>\n","protected":false},"excerpt":{"rendered":" Apparently you can now use your tax refund to automatically<\/i> buy I-series bonds from the U.S. government.<\/p>\n As recently as three years ago, I was a huge fan of tax refunds<\/a>. Despite the arguments against them, I liked<\/i> getting a tax refund because it was the only way I’d found to save. I’m able to save on my own now, so I no longer aim to get a tax refund every year, but I certainly don’t fault anyone else for doing so. If that’s what you need to save, then do it!<\/p>\n If you’re truly<\/i> trying to save with the money, the U.S. government has a new option for you starting this year: Now you can buy U.S. Series I savings bonds<\/a> with your tax refund.<\/b><\/a> Instead of getting a cash refund, you can designate up to $5,000 of your refund to be delivered in actual paper bonds issued in your name.<\/p>\n","protected":false},"author":3287,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[481],"acf":[],"_links":{"self":[{"href":"https:\/\/www.getrichslowly.org\/wp-json\/wp\/v2\/posts\/10671"}],"collection":[{"href":"https:\/\/www.getrichslowly.org\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.getrichslowly.org\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.getrichslowly.org\/wp-json\/wp\/v2\/users\/3287"}],"replies":[{"embeddable":true,"href":"https:\/\/www.getrichslowly.org\/wp-json\/wp\/v2\/comments?post=10671"}],"version-history":[{"count":0,"href":"https:\/\/www.getrichslowly.org\/wp-json\/wp\/v2\/posts\/10671\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.getrichslowly.org\/wp-json\/wp\/v2\/media?parent=10671"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.getrichslowly.org\/wp-json\/wp\/v2\/categories?post=10671"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}\n
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