I-bonds

[Jim_n_NYC]

19 hours ago, handiacefailure said:

Why would you invest emergency funds in an Ibond?   You can't access the money for one year.    

As long as you know you can go 28 days without needing the money I would do 28 day t-bills and just renew them if you don't need the money.   I've always had the money right on time as T-bills matured into my savings account   

If you are talking about emergency funds, why put them in a bond or bill at all?  I have money in a treasury fund at Schwab that's getting 3.96% (last 7-day yield) and is state and local tax exempt, so just like a US bond.  I can get the money out with one day notice, not 28.

[jayjaycali]

Etrade has a 4.00% high yield savings that you can instantly fund and instantly withdraw.  

[BuffaloKyle]

Here's a really cool video I just found. There is a option on treasury direct to have federal taxes withheld, from not only i bonds but any security you own at the time, when you partially or fully redeem them. Then you don't have to worry about owing taxes on it when you file your taxes. There really is no reason then to go through the hassle of reporting it every year. You can choose to have 0% - 50% of the redemption amount withheld for federal taxes: