Variable Interest Rate: EE bonds issued from May 1997 through April 2005 earn a variable interest rate. The variable rate is set each May 1 and November 1 and is currently 1.07%. The savings bonds work as zero-coupon bonds in which bond coupons, or interest payments, are added to the bond's principal value rather than paid out periodically. The drastically different maturity dates for these bonds result from the differing rates of interest built into each Series EE bond when it is issued. The annual interest rate for EE Bonds issued from November 1, 2019 through April 30, 2020, is 0.10%. EE Bonds issued in May 2005 and after earn interest until they reach 30 years or you cash them, whichever comes first. They earn a fixed rate of interest. For the first 20 years, EE bonds earn the same fixed rate that was set when the bond was Series EE bonds issued since May 2005 will pay a fixed rate of interest for the life of the bond. Savings bonds continue to accrue interest for up to 30 years. The interest is accrued to individual bonds every month and compounds every six months. The U.S. Treasury resets the rate for new bonds on the first of May and November. EE bonds issued since May 2005 earn a fixed rate of interest. When you buy the bond, you know the rate of interest it will earn. For EE bonds bought from November 1, 2019 through April 30, 2020, the rate is 0.10%. The interest earned on Series EE savings bonds is exempt from state and local taxes. They also grow tax deferred for federal income taxes. No taxes are owned on savings bond interest until the bond is redeemed. Savings bonds continue to earn interest until 30 years after the issue date.
This page covers Series EE Savings Bonds that were issued between May 1995 and April 1997. On this page: Interest rate; How do these EE Bonds earn For example, a series EE bond that has a face value of $50 can be bought for $25. Since this is a government site and bonds are government-issued, this is the One thing that you should know about savings bonds, is that the interest rates The drastically different maturity dates for these bonds result from the differing rates of interest built into each Series EE bond when it is issued. Bonds issued
The interest earned on Series EE savings bonds is exempt from state and local taxes. They also grow tax deferred for federal income taxes. No taxes are owned on savings bond interest until the bond is redeemed. Savings bonds continue to earn interest until 30 years after the issue date. What is an EE bond? (EE bonds issued from May 2005 on) EE bonds we sell today earn the same rate of interest (a fixed rate) for up to 30 years. When you buy the bond, you know what rate it will earn for at least the first 20 years. Treasury announces the rate for new bonds each May 1 and November 1. See: Comparing I Bonds to EE Bonds The interest rate is fixed for 20 years at the time it is issued. The government may adjust the rate after the 20th year. Rates paid on series EE bonds are set twice a year, in May and November Dear Suzanne, Series EE savings bonds issued in the 1980s and early 1990s have an original maturity of 20 years, and an extended maturity of 10 years, for a total of 30 years until the final Variable Interest Rate: EE bonds issued from May 1997 through April 2005 earn a variable interest rate. The variable rate is set each May 1 and November 1 and is currently 1.07%. If you elect cash-based reporting on your income tax filings with the IRS, you can defer payment of taxes on the interest income of your Series EE savings bonds until you redeem the bond or 30 years from the date it is issued. Each savings bond is a zero coupon bond.
Rates & Terms. Series EE bonds issued May 2005 and after earn a fixed rate of interest. EE bonds purchased between May 1997 and April 30, 2005, earn a variable rate of interest. Interest is added to an EE bond monthly and paid when you cash the bond. Paper bonds were sold at half the face value; i.e., you paid $25 for a $50 bond. For Series EE Bonds issued May 1997 through April 2005, interest is added every month. The bonds' interest rate is compounded semiannually. The rate announced each May and November for these bonds is applied to a bond for the six-month earning period. Some Series EE bonds pay interest beyond the original maturity date, up to 30 years from issuance. There is $25 minimum investment requirement for EE bonds. Every investor may purchase up to $10,000 in these bonds, per calendar year. Along with the Series I bond, the Series EE bond is one of the two types Series EE savings bonds issued in the 1980s and early 1990s have an original maturity of 20 years, and an extended maturity of 10 years, for a total of 30 years until the final maturity of the bonds. Variable Interest Rate: EE bonds issued from May 1997 through April 2005 earn a variable interest rate. The variable rate is set each May 1 and November 1 and is currently 1.07%. The savings bonds work as zero-coupon bonds in which bond coupons, or interest payments, are added to the bond's principal value rather than paid out periodically. The drastically different maturity dates for these bonds result from the differing rates of interest built into each Series EE bond when it is issued. The annual interest rate for EE Bonds issued from November 1, 2019 through April 30, 2020, is 0.10%. EE Bonds issued in May 2005 and after earn interest until they reach 30 years or you cash them, whichever comes first. They earn a fixed rate of interest. For the first 20 years, EE bonds earn the same fixed rate that was set when the bond was
The interest earned on Series EE savings bonds is exempt from state and local taxes. They also grow tax deferred for federal income taxes. No taxes are owned on savings bond interest until the bond is redeemed. Savings bonds continue to earn interest until 30 years after the issue date.