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<<<<Unlike CDs and TIPS, taxes are not due on savings bonds, until they are redeemed.>>

After reading through this thread I have changed my mind. I will look at laddering bonds instead of CDs, it makes a lot more sense.

Thank you very much !!!!


Just keep in mind that deferring income can create problems eventually. Half of Social Security income is subject to income taxes, and after age 70.5 you must begin redeeming IRAs and 401Ks. If you redeem savings bonds that have a lot of taxable income to those facts, you might wind up paying more in taxes.

These kinds of interactions become complicated in a hurry, so it's hard to predict what will really work well for people. But you should probably keep them in mind.

And of course, we don't know what the Congress may have in store for us in the future.

Seattle Pioneer
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