# Consider Treasury Bills for cash savings **URL:** \ **Category:** Investing\ **Created:** [November 30, 2022, 10:30pm UTC](https://community.clark.com/t/consider-treasury-bills-for-cash-savings/1720 "2022-11-30T22:30:05Z")\ **Posts on this page:** 7\ **Page:** 1
**Author:** ![p1g1](https://avatars.discourse-cdn.com/v4/letter/p/cab0a1/32.png) [@p1g1](https://community.clark.com/u/p1g1)\ **Post date:** [November 30, 2022, 10:30pm UTC](https://community.clark.com/t/consider-treasury-bills-for-cash-savings/1720/1 "2022-11-30T22:30:05Z")
Higher interest rates of course mean higher yields for cash savings. I have reached my limit on I-Bonds. My other cash savings locations have included Ally bank, Vanguard Money Market funds and Treasury Bills. Today I looked at yields to decide about ongoing location for my cash. The yields on are listed below. Note that there are online banks that currently have somewhat higher yields than Ally. Ally savings account 3% Ally CD 3 month 1.5%, 6 month 2.75%, 4% for 1 year Vanguard Treasury MM fund (partially or all state tax free) 3.65% Treasury Bill (all state tax free) 1 month 4.08%, 3 month 4.3%, 6 month 4.72%, 1 year 4.78% Treasury Bills are a excellent option for cash that will not be needed for at least 1 month. I did not include Multi-Year Guaranteed Annuities because they have different considerations including a minimal 2 year term. ---
**Author:** ![butler](https://avatars.discourse-cdn.com/v4/letter/b/ac91a4/32.png) [@butler](https://community.clark.com/u/butler)\ **Post date:** [December 1, 2022, 5:19am UTC](https://community.clark.com/t/consider-treasury-bills-for-cash-savings/1720/2 "2022-12-01T05:19:02Z")
Considering that the Fed is expected to raise rates by over a point in the next few months…the 1-mo TBill is a good choice. You can roll them into the higher rates as they mature. ---
**Author:** ![ochotona](https://sea2.discourse-cdn.com/flex016/user_avatar/community.clark.com/ochotona/32/293_2.png) [@ochotona](https://community.clark.com/u/ochotona)\ **Post date:** [December 1, 2022, 12:19pm UTC](https://community.clark.com/t/consider-treasury-bills-for-cash-savings/1720/3 "2022-12-01T12:19:04Z")
I set an alert for two year Treasuries, and yesterday it busted out. The two year kinda predicts where the Fed is headed. Two year yields are falling, the market believes the Fed is close to done hiking. The market is often wrong, but it’s a unbiased indicator. I think Kathy Jones at Schwab is right, start locking in yields on longer duration bonds and CDs now. The yield curve is inverting hard and harder. Really portends a 2023 recession. This stock market rally could be a bear market rally. As a trader, I want to chase it with a small part of my portfolio, but I still have a lot of T-BILLS. ---
**Author:** ![p1g1](https://avatars.discourse-cdn.com/v4/letter/p/cab0a1/32.png) [@p1g1](https://community.clark.com/u/p1g1)\ **Post date:** [December 1, 2022, 4:53pm UTC](https://community.clark.com/t/consider-treasury-bills-for-cash-savings/1720/4 "2022-12-01T16:53:04Z")
Thanks butler and ochotona for your comments about rates leveling off. It is difficult to be precise as to when a reduction in the Fed rate will occur. Some point out that Treasuries also have the flexability to be sold on the seconday market with relatively small trading costs. ---
**Author:** ![AustinBonds](https://avatars.discourse-cdn.com/v4/letter/a/6bbea6/32.png) [@AustinBonds](https://community.clark.com/u/AustinBonds)\ **Post date:** [December 2, 2022, 4:11pm UTC](https://community.clark.com/t/consider-treasury-bills-for-cash-savings/1720/5 "2022-12-02T16:11:58Z")
Wonder what inflation rate for I bonds will be next May though. You can get 6.89% annualized rate right now. Even if the rate dips to 4% next May, that is still over 5% averaged rate for a whole year. Of course, many of you have reached your I bond limit for 2022. Can buy another $10K in January 2023, so less than a month now. ---
**Author:** ![p1g1](https://avatars.discourse-cdn.com/v4/letter/p/cab0a1/32.png) [@p1g1](https://community.clark.com/u/p1g1)\ **Post date:** [December 3, 2022, 12:52am UTC](https://community.clark.com/t/consider-treasury-bills-for-cash-savings/1720/6 "2022-12-03T00:52:58Z")
I have my calender set for an early January purchase. Hopefully the Treasury Direct site will not get overwelmed again. ---
**Author:** ![soldieradvocate](https://avatars.discourse-cdn.com/v4/letter/s/dfb087/32.png) [@soldieradvocate](https://community.clark.com/u/soldieradvocate)\ **Post date:** [February 5, 2023, 1:30pm UTC](https://community.clark.com/t/consider-treasury-bills-for-cash-savings/1720/7 "2023-02-05T13:30:31Z")
Capitol One CDs are 5 percent for 11 months. Would that be better than Treasury Bills?