7 Things You Should Know Before Investing in I Bonds

Inflation is about as high as it’s been in decades — 8.5% — and it’s crushing budgets all over the world.

The stock market, one of the best ways to beat inflation over time, is struggling. So, what’s a saver to do?

One great solution may also be one of the safest: Series I savings bonds, or I bonds. They’re sometimes also referred to as inflation bonds because as inflation goes up, so does the interest on these U.S. government bonds. Example? Right now they’re paying 9.6%!

Sounds good, but what’s the catch?

In this week’s podcast episode, we’re going to find out.

Co-hosts Stacy Johnson and Miranda Marquit are joined by producer Aaron Freeman. Today’s special guest is former financial adviser, bestselling author and financial educator Kevin Matthews from BuildingBread.

Remember, even though we sometimes talk about specific investments on this show, don’t take them as recommendations because they’re not. Before investing in anything, do your own research, and make your own decisions.

You can watch this episode below, or if you’d prefer to listen, you can do that with the player at the top of this article, or download it wherever you get your podcasts:

Listen on Apple Podcasts
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Don’t forget to check out our podcast page for more episodes designed to help you make the most of your money and our YouTube page for more videos.

What are I bonds?

If you’re looking for something safe that’s designed to protect you from inflation, here’s some info that will help.

You can buy I bonds, along with other types of bonds, at TreasuryDirect.gov.
We’ve got a primer on I bonds.
Don’t forget to look at this guide to I series bonds.
Find out how stocks and bonds are different from each other.
With interest rates rising, you probably should understand how interest rates impact bonds.
Miranda also has an article on I bonds, written for Time.
Concerned about stocks as well as bonds? Learn about your stock market IQ with this test.

What should you be doing with your portfolio?

This has been a challenging year for all kinds of investments. Here’s some info that might help.

Check out our recent podcast episode on what to do when both stocks and bonds are falling.
This oldie but goodie offers information on protecting your portfolio from inflation.
Check out these investments recommended by advisers.
Want to invest but are concerned about stocks? Here are seven choices that might work for you.
We also have a whole podcast episode about investment alternatives to the stock market.
Retiring in this uncertain environment? We’ve got a list of six sane and safe investment ideas.
Check out our recent podcast episode about how you can handle this horrible market.
A potential silver lining in the dark clouds: Could a stock market crash be the time for a Roth conversion?
Retiring into a bear market? We’ve got you covered with these seven things to do now.

Meet this week’s guest, Kevin L. Matthews II

Kevin L. Matthews II is a Plutus Award winner and No. 1 bestselling author. He has helped hundreds of individuals plan for their retirement in addition to managing more than $140 million in assets during his advisory career. By 2017, he was named one of the Top 100 Most Influential Financial Advisors by Investopedia.

Kevin launched BuildingBread in 2010 to inspire millennials to set, simplify and achieve any financial goal. Kevin regularly speaks to young adults across the country and has been featured in The Wall Street Journal, The New York Times, Forbes, Black Enterprise, CNBC and many other publications and productions.

Kevin holds a bachelor’s degree in economics from Hampton University, a certificate in financial planning from Northwestern University and a certificate in disruptive strategy from Harvard Business School. In 2020, he graduated from the University of Texas at Austin’s McCombs School of Business with a master’s in technology commercialization.

Don’t listen to podcasts?

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You can listen to our latest podcasts here or download them to your phone from any number of places, including Apple, Spotify, RadioPublic, Stitcher and RSS.

If you haven’t listened to our podcast yet, give it a try, then subscribe. You’ll be glad you did!

About the hosts

Stacy Johnson founded Money Talks News in 1991. He’s a CPA, and has also earned licenses in stocks, commodities, options principal, mutual funds, life insurance, securities supervisor and real estate.

Miranda Marquit, MBA, is a financial expert, writer and speaker. She’s been covering personal finance and investing topics for almost 20 years. When not writing and podcasting, she enjoys travel, reading and the outdoors.

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