Savings Bonds and Roth IRAs

[Guest freshair]

I have some series EE savings bonds from the late 80's and early 90's. I know some are drawing 6% and probably 4% interest. Would it be wise for me to cash these bonds and put the money into a Roth IRA? Or just leave the bonds alone?

[John G]

Do you have earned income?

How old are you?

What kind of retirement/investment options do you currently fund?

How many dollars are in the bonds?

What is your current tax rate?

What is your investment knowledge and risk tolerance?

If you put the cash out funds in a Roth, what kind of investments were you considering?

When do you expect to retire?

Do you have emergency funds stashed away, and if so how many months income?

If these were given to you as a kid and you have not started any systematic investing program the answer might be very different then if you were in your 60s and well funded for retirement. These funds could be the basis for initial investing or could be part of your emergency funds.

You need to provide a little more information about your circumstances before folks can make some suggestions.