Comparing EE and I bonds

(for bonds you buy November 1, 2024 to April 30, 2025 )

That rate remains the same for at least the first 20 years. It may change after that for the last 10 of its 30 years.

We guarantee that the value of your new EE bond at 20 years will be double what you paid for it.

(If you have an EE bond from before May 2005, it may be earning interest at a variable rate. See more at EE bonds.)

• a fixed interest rate
and
• an inflation rate that we calculate twice a year (November, May)

We guarantee that the interest rate of an I bond will never fall below zero.

Thus, your bond's value grows both because it earns interest and because the principal value gets bigger.

EE and I bonds earn interest until the first of these events: You cash in the bond or the bond matures – reaches the end of its 30-year term. (If you cash in the bond before 5 years, you lose 3 months interest.)

If you have an electronic bond, you can see what it is worth in your TreasuryDirect account.

To see what your paper bond is worth, use our Savings Bond Calculator.

Federal income tax: Yes

State and local income tax: No

Federal estate, gift, and excise taxes; state estate or inheritance taxes: Yes

For federal income tax, you choose whether to report earnings each year or wait to report all the earnings when the bond finishes earning interest (or when you cash it if you cash it before the end of its 30 year life).

If you use the money for qualified higher education expenses, you may not have to pay tax on the earnings.

See more in

You may own paper EE bonds issued before 2012.

The only way to buy paper I bonds now until January 1, 2025 is by using your IRS tax refund.

You may own paper I bonds issued before 2012 that you bought at a bank or through payroll savings.

(You can split your tax refund, spending some on paper I bonds and sending the rest to your bank account.)

• $10,000 in electronic EE bonds
• $10,000 in electronic I bonds, and
• $5,000 in paper I bonds (with your tax refund before January 1, 2025)

However, if you cash in the bond in less than 5 years, you lose the last 3 months of interest. For example, if you cash in the bond after 18 months, you get the first 15 months of interest.