I bonds

General TSP Discussion.

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bloobs
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Joined: Tue May 21, 2019 8:00 pm

Re: I bonds

Post by bloobs »

12squared wrote: Mon Oct 24, 2022 6:51 am I have put about 8K into I bonds this year.
Anybody considering taking a TSP loan at whatever interest (effectively 0% since "interest" payments go right back into your TSP balance) to take out I bonds? Easy 9+% APR money. Only drawback is you would pay a little tax on the I bond interest earnings when you redeem--still better than liquidity than an IRA/TSP.

This may have been/still could be best play for 2022/2023 TSP. Coulda, woulda, shoulda, right :?: :lol:

pjwaite
Posts: 5
Joined: Thu Jan 28, 2021 9:17 am

Re: I bonds

Post by pjwaite »

Well, it depends...
I-bond is a good way to diversify your retirement - think early retirement funds that you can withdraw and use before you're 59-1/2 y/o. However, priority should always be to first max out the ROTH IRA, and then the TSP. So if you're able to pay back the TSP loan AND still max out your TSP & ROTH for the year, then a short term loan might be a good idea. On the other hand, you could be making 3% in the G-fund and when the market finally turns up you could make 10% in a few weeks or months...

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harpole
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Re: I bonds

Post by harpole »

I think I'm going to move forward with an I-bond purchase. My thoughts are to use it three years from now for my kids private school tuition. I also plan to start contributing to a 529 plan, but still need to research all the 529 rules. Someone at work mentioned the 529 and I always thought that they could only be used for college.

I've also decided not to eat lunch anymore to help pay for it and maybe lose a few pounds as well :D
Never underestimate the true intentions and overreach of the regime.
Less Government, More Freedom!

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harpole
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Re: I bonds

Post by harpole »

Can't create an account on TreasuryDirect.gov due to volume! Could this be an indicator that markets are about to drop?
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Never underestimate the true intentions and overreach of the regime.
Less Government, More Freedom!

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bloobs
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Re: I bonds

Post by bloobs »

harpole wrote: Wed Oct 26, 2022 9:43 pm Can't create an account on TreasuryDirect.gov due to volume! Could this be an indicator that markets are about to drop?
Maybe, or because just TreasuryDirect.gov is, after all, another .gov website subject to lowest-bidder website admin snafus, or a DDoS cyberattack is happening, or....yeah maybe everyone and their uncle is buying bonds.

Buying bonds (not bond funds) is part what the Fed wants us to do as part of its proposed "fix". That's why yields are being raised.

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bloobs
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Re: I bonds

Post by bloobs »

bloobs wrote: Thu Oct 27, 2022 7:47 am
harpole wrote: Wed Oct 26, 2022 9:43 pm Can't create an account on TreasuryDirect.gov due to volume! Could this be an indicator that markets are about to drop?
Maybe, or because just TreasuryDirect.gov is, after all, another .gov website subject to lowest-bidder website admin snafus, or a DDoS cyberattack is happening, or....yeah maybe everyone and their uncle is buying bonds.

Buying bonds (not bond funds) is part what the Fed wants us to do as part of its proposed "fix". That's why yields are being raised.
Overall, I think common people like us need to be reminded of the core reason the Fed is raising rates. It wants to give us the impression that it is doing so to control inflation, which once "controlled" it will then lower then back down. They save the economy and us commoners. Hooray.

I hypothesize this to be not true.

If this were true, the Fed would immediately raise rates to closely match the real-world inflation rate (presently 6-8%), instead of the 3-ish% its at. That would instantly work, and exactly the reason they're NOT doing it. You see, the Fed's task is not to control inflation--but to raise and maintain it for a long sustainable time. They're doing this to substantially devalue the US dollar. A significantly devalued USD makes its easier for them to pay off (or at least pay down somewhat) its sovereign debt, which is unpayable otherwise.

This is the great reset they seek. To them it better work, or we'll all (world) doomed. Commoners like us will suffer with low pay and high prices. And yes, it does not matter whos in Congress or the White House. They'll all do the same thing the bankers want them to do.

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Fund Prices2022-11-25

FundPriceDayYTD
G $17.17 0.02% 2.59%
F $18.31 0.13% -12.35%
C $61.66 -0.03% -14.29%
S $65.01 0.27% -22.09%
I $34.21 0.59% -13.27%
L2065 $12.68 0.23% -14.82%
L2060 $12.68 0.23% -14.81%
L2055 $12.68 0.23% -14.80%
L2050 $26.21 0.20% -12.70%
L2045 $12.06 0.19% -11.82%
L2040 $44.40 0.18% -10.84%
L2035 $11.84 0.17% -9.77%
L2030 $39.82 0.15% -8.62%
L2025 $11.55 0.11% -5.68%
Linc $22.97 0.08% -2.17%

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