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U.S. savings bonds can be bought with as little as $25 and earn interest for up to 30 years, with the government guaranteeing double your value in 20 years. 6. Bond funds.
The yields on bonds and cash may not be party-worthy right now, but they’re still respectable. In fact, many certificates of deposit and high-yield savings accounts are paying around 4.75%.
Fixed annuities carry 10% penalties for withdrawals before age 59 ½, so that alone makes these more appropriate investments for seniors. They are guaranteed by the insurance company that issues ...
See our editor's picks for best savings, checking and hybrid accounts for active agers, seniors and retirees, updated for December 2024.
A guaranteed investment contract (GIC) is a contract that guarantees repayment of principal and a fixed or floating interest rate for a predetermined period of time. Guaranteed investment contracts are typically issued by life insurance companies qualified for favorable tax status under the Internal Revenue Code (for example, 401(k) plans).
Series E bonds were introduced in 1941 as war bonds but continued to be a retail investment long after the end of World War II. Issued at a discount of the face value, the bonds could be redeemed for the full face value when the bond matured after a number of years that varied with the interest rate at the time of issuance.
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