What's Going to Happen With Series I Bonds?

If you purchased an I bond November 1st or after all the way up to April 30th of this year, your annualized interest rate will be 6.89%. But that 6.89% is made up of 0.40% which is fixed. So half of that is what you will actually be earning for the 6 months that you own that I bond. If you live in a state that has high state income taxes, T bills are better for you. There is no state income tax if you live in states where there is no state Income Tax.