Join Early Retirement Today
Reply
 
Thread Tools Display Modes
Re: I-bond rate for May 1st
Old 05-03-2007, 06:37 AM   #21
Recycles dryer sheets
 
Join Date: Oct 2003
Location: Combined Locks
Posts: 89
Send a message via MSN to rjk514
Re: I-bond rate for May 1st

I'm confused . Hope someone has the time to answer this question..
What interest rate will these bonds earn for May thru October 2007
purchase date : 04/2003 and 10/2003 and 05/2005... I contacted Tres.Gov
and there explanation confused all the more. Thanks for your help ...would
it be better to cash these in and get some 5.25% cds and, cash in now or wait
for 3 months...
__________________
RJ
rjk514 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Re: I-bond rate for May 1st
Old 05-03-2007, 06:52 AM   #22
Recycles dryer sheets
 
Join Date: Nov 2003
Location: Charlotte
Posts: 360
Re: I-bond rate for May 1st

If you haven't used the calculator tool provided by Treasury Direct, I suggest you do so. Can enter your specific bonds and keep track of their growth and specific interest rates for any particular month.

http://www.treasurydirect.gov/indiv/...gsbondcalc.htm
WilliamG is offline   Reply With Quote
Re: I-bond rate for May 1st
Old 05-03-2007, 07:08 AM   #23
Recycles dryer sheets
 
Join Date: Oct 2003
Location: Combined Locks
Posts: 89
Send a message via MSN to rjk514
Re: I-bond rate for May 1st

Have tried that and still can't figure out the interest rate these bond
earn for the next 6 months, your answer is just like the Treasury Direct
They want you to go to calculators and I struggle with those , so my ? is
the same...what interest will these earn for next 6 months;
04/2003,
10/2003
05/2005
I must be dense ... but I need a point blank % answer.
Thanks again
__________________
RJ
rjk514 is offline   Reply With Quote
Re: I-bond rate for May 1st
Old 05-03-2007, 07:16 AM   #24
Recycles dryer sheets
 
Join Date: Nov 2003
Location: Charlotte
Posts: 360
Re: I-bond rate for May 1st

Ok. I used the link above and calculated rates for 04/2003. I was wrong about April issues picking up new rate in November; it's October.

May-Sep 4.72%
Oct-Nov 4.04%
WilliamG is offline   Reply With Quote
Re: I-bond rate for May 1st
Old 05-03-2007, 07:22 AM   #25
Recycles dryer sheets
 
Join Date: Nov 2003
Location: Charlotte
Posts: 360
Re: I-bond rate for May 1st

Further for RJK - other bonds:

10/2003
May-Sep 4.22%
Oct-Nov 3.53%

05/2005
May-Oct 3.63%
Nov N/A because this bond was issued the first month of a cycle and Nov rates are not yet announced
WilliamG is offline   Reply With Quote
Re: I-bond rate for May 1st
Old 05-03-2007, 07:43 AM   #26
Recycles dryer sheets
 
Join Date: Oct 2003
Location: Combined Locks
Posts: 89
Send a message via MSN to rjk514
Re: I-bond rate for May 1st

Yea, I think I have it figured out, if I simply go to the calculator
the first of each month it will show the % being earned for that month
on the bonds, as the % will change depending on issue date of ea. bond.
Man, I know its early but I need a beer after this process..
Thanks for the help...I'll send you a beer flavored e-mail..rjk
__________________
RJ
rjk514 is offline   Reply With Quote
Re: I-bond rate for May 1st
Old 05-03-2007, 08:44 AM   #27
Recycles dryer sheets
 
Join Date: Nov 2005
Posts: 195
Re: I-bond rate for May 1st

IF, I ever figure it out,---I'll e-mail ya'll a case !
Sundance Kid is offline   Reply With Quote
Re: I-bond rate for May 1st
Old 05-04-2007, 08:24 AM   #28
Recycles dryer sheets
 
Join Date: Nov 2003
Location: Charlotte
Posts: 360
Re: I-bond rate for May 1st

Ok guys. It's Friday and I'm thinking about beer! May not be worth a brew, but thought it could be useful to talk about the rationale behind when an individual I Bond starts applying changed rates.

Basically, Treasury is telling you that you will get a full 6 months of the rate you purchase at, AND you will get a full 6 months of all inflation adjustments. To do this each bond must apply future changes on it's own schedule rather than May-Nov when adjustments are announced.
If you buy a bond in May, you will get recently announced rates and will have your rates change in November when new rates come out. But what if you buy in June? To get a whole 6 months, you must have current rates paid June-November. You will begin the November announced inflation adjustment in December. If you buy a bond in October, you will receive current rates October-March, and won't begin getting the November announced inflation rate until next April!
WilliamG is offline   Reply With Quote
Re: I-bond rate for May 1st
Old 05-04-2007, 09:02 AM   #29
Recycles dryer sheets
 
Join Date: Oct 2003
Location: Combined Locks
Posts: 89
Send a message via MSN to rjk514
Re: I-bond rate for May 1st

One last ...Need some thinking on cashing in 20k worth of
I-bond purchased 11/2004 ...Would lose 3 months interest @
4.12 and tax break but would roll $$$ into FNBO savings acct.
earning 6% thru 9/28.... getting the feeling that these I -bonds
are not the best avenue for me to continue in...What do ya think
RJK
__________________
RJ
rjk514 is offline   Reply With Quote
Re: I-bond rate for May 1st
Old 05-04-2007, 03:47 PM   #30
Recycles dryer sheets
 
Join Date: Oct 2003
Location: Combined Locks
Posts: 89
Send a message via MSN to rjk514
Re: I-bond rate for May 1st

After further thought and attempting to study some tax effects
have decided to sit on these bad boys for @ least 3 months and
then look at cashing in, so as to eat a lower 3 month loss....3.43%
vs. 4.12%...a small amount but you know how it all adds up. Have
some cd's maturing mid may to roll into the FNBO 6% acct...Thanks
for the help on this, as I-bonds were quite confusing to me but with
your help I understand them now.
Consider this another BEER flavored e-mail, that puts me ahead of
you folks and you can send me the real stuff UPS... :P
__________________
RJ
rjk514 is offline   Reply With Quote
Re: I-bond rate for May 1st
Old 05-04-2007, 04:25 PM   #31
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
clifp's Avatar
 
Join Date: Oct 2006
Posts: 7,733
Re: I-bond rate for May 1st

Quote:
Originally Posted by milmoose
I have modest number of Ibonds with a 3.4% or 3.6% real rate. I think I am going to be keeping those for a long time.

You should NEVER, EVER, NEVEREVER sell those bonds. Where else can you a risk-free investment wiht 3.4% real returns?

- M
Well they stop earning interest in 23 more years, so at that point I better reedem them. Also I don't really intend to die super rich so donating them to charity may make sense in the future. But other than that I basically agree with you, especially considering the tax defered benefits.
clifp is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Excellent article on 1st world birth rate decline laurence Other topics 15 05-25-2006 06:55 AM
Bond strategy question Van FIRE and Money 17 05-17-2006 08:03 AM
Here's the New I Bond Rate JPatrick FIRE and Money 40 12-21-2005 11:23 AM
I bonds from Bankrate.com GTM Other topics 12 11-04-2005 10:30 PM
Help with the bond side of things Roger_R FIRE and Money 16 07-06-2004 03:58 PM

» Quick Links

 
All times are GMT -6. The time now is 03:06 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2024, vBulletin Solutions, Inc.