Although I’ve achieved this goal a lot later in the program than I’d like, I managed to max out both my wife and I’s Roth IRA’s for 2009… in the nick of time.

With a kid romping around and daycare chewing up the extra cash, it will be much more difficult to fund all $10,000 for 2010, but I’m gonna try.

What bugs me now is that I’ve got money sitting on the sidelines.  It bugs me because I want it to be working for me, but I’m not sure where to put it to work.  I’m still overweight in a few stocks that I’m paring out of gradually, which is where a bulk of the idle money is coming from.

I’m still thinking interest rates are going to be on the rise, along with taxes…

Another subject I’d rather not think about now.

Investing, Saving Roth IRA, Saving

I didn’t figure the great rate would last long, but I’m disappointed nonetheless that Dollar Savings Direct has lowered their online savings account interest rate from 4% to 3.5%.

Still a leader in the online savings account game, I can’t be too disappointed; they still beat Emigrant Direct by more than a full point (Emigrant Direct is still sitting at 2.4%), and I pretty much have to pay Bank of America (or is it America’s Bank now?) to hold my money.

I’ll sit and wait for the time being.  My money is FDIC insured, the interest rate is very competitive, and the setup and administration has been trouble free.

Somehow I suspect the rate drops are not done yet, and we’ll continue to see interest rates fall for the next 8 to 12 months.  I hope I’m wrong.

Among the online, high yield savings accounts, there are still a few that pay a respectable rate.

Bank of Internet still has a 3.51% rate with no fees and a $100 minimum deposit.  FDIC insured of course.

Chesapeake Banks Clear Sky Accounts still offers a 3.75% APY, however the interest compounds monthly instead of daily.

Many others are sitting at or below 3%, including HSBC Direct, FNBO Direct, and ING Direct.

Banking Dollar Savings Direct, Emigrant Direct, interest rate, online savings, Saving