The Eight-Rung Treasury Bond Ladder That Pays a 72-Year-Old $40,000 a Year With Zero Credit Risk on $850,000

Here is what the U.S. Treasury curve looks like right now: 1-year: 3.8% 2-year: 4.1% 3-year: 4.2% 5-year: 4.3% 7-year: 4.5% 10-year: 4.7% The Treasury does not issue four, six, or eight-year notes directly, so those rungs are filled with secondary-market paper or by interpolating along the curve.