US govt I bonds might be a good investment now.

[progree]

13. If its worth the fuss to you of setting up an account at Treasurydirect.gov

to earn 9.62% rate for 6 months (so per $1,000 it earns 9.62%/2 = 4.81% * 1000 = $48.10). The next 6 months will be a different interest rate, could be higher and lower. If its 9.62% again then its another $48.10 per thousand).

Historically, I-bonds have had interest rates lower than other Treasury options, and I expect that to be the case in say 3 years. But you only have to hold I-bonds for 1 year. After that, its a quarter's interest penalty if you hold them for less than a total of 5 years.

So say you only hold them for 2 years, and interest rates stay the same 9.62%. Per $1000, You would earn 2*9.62% which comes to $192. Actually $207 with compounding taken into consideration. So the nest egg is now $1,207. Then you pay a penalty of about $29 interest on withdrawal, so you are left with a mere $1,178, or $178 earned. Per $1000 investment.

So on $2,000 it would be $356 earned in 2 years after paying the withdrawal penalty.

I'm a few years older than you and I don't expect to tip over within the next few years.

If you know of a better guaranteed investment (remembering the interest rates change every 6 months), than that would be the way to go. Let me know if you find one.