Early Retirement & Financial Independence Community - View Single Post

SecondCor521 · 09-14-2006, 08:13 PM

I don't know about Treasury bonds much either, but apparently they (by they I mean the regular 30 year Treasury bond) pay interest every six months. A quick calculation says 4.9% of $250,000 is $12,250, so each six months would be about half that. If you wanted the inflation protection you would start out taking the ~$11k and leave the rest to compound. That doesn't work exactly, obviously, but it's close enough for the purposes of this analysis I think.

There's also all those I-bonds, TIPS, Series EE, etc. bonds that I don't know much about either.

2Cor521

09-14-2006, 08:13 PM	#14
SecondCor521 Thinks s/he gets paid by the post Join Date: Jun 2006 Location: Boise Posts: 1,489	I don't know about Treasury bonds much either, but apparently they (by they I mean the regular 30 year Treasury bond) pay interest every six months. A quick calculation says 4.9% of $250,000 is $12,250, so each six months would be about half that. If you wanted the inflation protection you would start out taking the ~$11k and leave the rest to compound. That doesn't work exactly, obviously, but it's close enough for the purposes of this analysis I think. There's also all those I-bonds, TIPS, Series EE, etc. bonds that I don't know much about either. 2Cor521 __________________ "At times the world can seem an unfriendly and sinister place, but believe us when we say there is much more good in it than bad. All you have to do is look hard enough, and what might seem to be a series of unfortunate events, may in fact be the first steps of a journey." Violet Baudelaire.