Hermit
Thinks s/he gets paid by the post
This is the last year I will have tuition expenses to write off against Savings Bonds. It is also the first year my income has been low enough to take advantage of this program. We are not talking a lot of money here. Tax savings of less than $800. The problem is the bonds average about 4% in interest. I am perpetually in the 25% tax bracket and will move to the 28% tax bracket at 70. The savings now vs additional interest at 70 is about a wash. If I keep the bonds to maturity I would come out ahead if interest rates stay low for a long time. So what would you do?