How to Invest in an I Bond

I bonds are tax deferred in most cases unless you sign up to pay taxes yearly, which is also a hassle truthfully. If you were to buy right now the new I bond that's out there at 6.89% annualized or 3.45%. You would also know that six months after you purchased it, your money would be earning 1.89%. All right, not so bad if you combined all of that. It's around a 5.4% interest rate. But is it really worth it because remember you also have that three month interest penalty if you need the money for the next four years?