As an American living overseas I take the FEIE which means that I cannot contribute to my IRA. For years my accountant has advised me to take the FEIE and forget about contributing to my IRA and use the money for other investments, which I have done. I have stocks mostly. However, as I am getting to the point of no return for some types of investments due to my age I have stopped contributing so much to stocks and have started putting extra cash in US savings bonds. I love EE bonds as they double it in 20 years. I know the rate of return is not that great, but it is quite a safe investment. My question is this... How do I determine or is there a calculator I can use to figure out what the cost/benefit is of both IRA vs. Savings bonds returns? This is a difficult question I think, but would like to see if anyone has a way of calculating it? I am worried that the result would have been better to contribute to my IRA rather than to bonds, but contributing to an IRA at this point as I am over 40 would probably not be so beneficial.
I want to answer this question now because I am sure someone will ask. Why don't I invest where I live, because there are no decent financial products where I live and none of which can be trusted. Enough said.
I want to answer this question now because I am sure someone will ask. Why don't I invest where I live, because there are no decent financial products where I live and none of which can be trusted. Enough said.
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