Series EE Savings Bond: Values and What to Know

A Series EE bond is a government-backed savings bond that earns interest on a fixed rate basis and is guaranteed to double in value in 20 years if it was issued after May 2005. But although they earn less on average than major stock indexes, these bonds are a good fit if you want a long term, low-risk investment.

Investors can buy between $25 and $10,000 worth of EE bonds per year, and while you can only buy electronic EE bonds now, there were paper bonds of this type for sale until 2012.

Read on to learn more about the Series EE Savings bonds, how to find out what your bond is worth now and how to cash out.

What is a Series EE savings bond?

The Series EE savings bond earns fixed interest either until it matures in 30 years or until you cash out. These bonds preserve capital while yielding steady, predictable returns. In contrast, an I bond fluctuates in interest every six months, which can generate higher or lower returns than an EE bond depending on the market.

An EE savings bond does come with limitations and penalties for early withdrawal. You’re required to hold onto your bond for at least 12 months before redeeming it. Note, however, that if you cash out in less than five years, you’ll lose three months of interest. For example, say you redeem your bond after 24 months — in that case, you’ll only receive 21 months of interest earnings.

Although the US Treasury guarantees your EE bond investment will double in 20 years, the compound interest might not add up to that much. They will add on money to make sure you get double your value after 20 years, so you might be losing money if you cash out before that time.

How to buy an EE savings bond

As of 2024, you can only purchase and manage new EE bonds electronically through your TreasuryDirect account, since paper bonds are no longer issued. If you don’t have an account yet, you can easily open a TreasuryDirect account as long as you have a Social Security number and a functioning email address.

Although the minimum price of a bond is $25, you can purchase any amount after that up to the maximum. (For example, you could purchase a bond worth $183.27, if you wanted to.) Each individual can purchase up to $10,000 in EE bonds every calendar year.

How much is my Series EE savings bond worth?

Determining an EE savings bond’s worth depends on whether you have a paper or electronic bond.

Electronic EE bonds

To determine an electronic Series EE bond value, visit your TreasuryDirect account, find the “ManageDirect” section and locate the “Current Holdings” section. There, you’ll find a list of your bonds and securities, as well as their up-to-date values. The value listed is what the bond would be worth if you sold it or cashed out now, so that includes penalties if you’ve had the bond for less than five years.

Note: If you redeem a savings bond less than five years old, you forfeit the last three months of interest.

Paper EE bonds

If you have a paper bond, you’ll need to use the Paper Savings Bond Calculator on the TreasuryDirect site. This tool computes your bond’s current value, total interest and year-to-date interest earned on your bonds. It can also calculate returns on multiple bonds and inventory them for record-keeping.

You’ll need several pieces of information to use the calculator, including your bond’s series, denomination and issue date, which you’ll find on your paper bond. The calculator also allows you to adjust your “value as of” date to identify how much your bond has earned at an earlier date or will gain in the future.

Series EE Bond taxes

When you cash out, EE savings bonds will have tax implications. You don’t have to pay state and local taxes on earnings from government bonds as you would with other investments. However, you’ll likely have to pay federal income and other applicable taxes on your interest earnings.

How to cash in Series EE savings bonds

The steps to cash in a savings bond will depend on whether you have a paper or electronic bond. Take a look at the following steps to cash out an electronic one:

1. Log into your TreasuryDirect account
2. Go to ManageDirect
3. Select the link for cashing securities

Note: You can cash out any amount as long as at least $25 remains in your account, but you can only receive the interest earned on the withdrawn amount.

There are two ways to cash out a paper bond:

Through your bank

Before cashing out at your bank, the Treasury Department recommends calling your bank to ask:

• If they can cash out your savings bond
• How much you can cash out at one time
• If you need to bring any identification documents

Through Treasury Retail Securities Services

To redeem your paper bond through the Treasury, you must complete and mail an FS Form 1522. This form requires:

1. Information for the bond(s)
2. Your Social Security Number or employer identification number
3. A copy of a valid identification document for bonds $1,000 or less
4. Signature certification for bonds worth more than $1,000
5. Bank account information for direct deposit

You can mail your form and your paper bond to the following address:

Treasury Retail Securities Services
P.O. Box 9150
Minneapolis, MN 55480-9150