Reply #2: (Chuckle.)

[tsipple]

Yes, welcome to the Bush Economy. :evilgrin:

Well, anyway, despite the anemic interest rates out there, I did want to pass along at least one totally risk-free place to park any extra dough -- that pays as much as possible.

By the way, I-Bonds look pretty good right now, too. Those are 4.66% currently (adjustable). You have to hold a minimum five years to avoid penalty, and interest accrues up to 30 years. The bonds pay out 1.1% above the CPI, adjusted every six months. If there's deflation, you get 1.1% guaranteed. After October 31, the 1.1% fixed rate component is likely to adjust downward. You can order these bonds online, with a credit card, in any denomination. Taxes are deferred as long as you hold, and they're exempt from state and local taxes. You can use the bond proceeds tax free for certain favored activities.