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The Tax Time Savings Bond program expired this year.
How Did the Tax Time Savings Bond Program Work?
What was the purpose of the Tax Time Savings Bond program?
The Tax Time Savings Bond program was introduced in 2010.
The extra interest can accumulate and move you a little closer to your long-term financial goals.
This program was the last viable way to receive paper bonds.
Why the Program Was Cancelled
Ultimately, it came down to demand and cost.
Not many people capitalized on it, and it was expensive to maintain.
Luscombe offered more context.
A Roth IRA is another great option to consider since the funds in that retirement account grow tax-free.
Another key detail is that the program sent physical bond papers to a recipients address.
This paper delivery method increased the risk offraud and theft.
The tax refund would also take longer to arrive at someones door than an electronically delivered tax refund.
Luscombe explained that you have a lot of flexibility with how you invest your tax refund in bonds.
Taxpayers would still be able to use their refunds to purchase savings bonds electronically, he said.
Investors can now put the tax refund into assets likestocks and cryptoto potentially generate higher returns than bonds.
They can also head over to TreasuryDirect to buy electronic savings bonds.
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