how much money can i make with an i bond 
suppose an investor purchases 10 000 worth of i bonds when the composite rate is 5 27 this rate includes both the fixed rate and the variable inflation rate if the composite rate remains at 5 27 for the entire year and the interest is compounded semiannually the investor would earn year 1 interest 10 000 1 0 0527 2 2 10 000 10 000 1 02635 2 10 000 10 000 1 0535 10 000 535in this scenario the investor would earn approximately 535 in interest during the first year however it s essential to keep in mind that the composite rate for i bonds is not fixed and can change every six months based on the variable inflation rate if the composite rate fluctuates the actual interest earned may be higher or lower than in this example also note that early redemptions will incur penalties 