EE Bond value depends on how long you have held it and the issue date
An EE bond's worth is not fixed at purchase. You pay a set price when you buy it — currently half the face value, so $50 for a $100 bond — but the value grows over time. The amount it grows depends on the issue date (when the Treasury issued that particular series) and how many months or years you have owned it.
The Treasury guarantees that an EE bond will reach its face value in 20 years. So a $100 bond purchased today will be worth at least $100 in 20 years, even if interest rates stay flat. After 20 years, the bond continues to earn interest for another 10 years (30 years total), but the growth rate changes.
To find the exact current value of a bond you own, you need to check the Treasury's Savings Bond Calculator at treasurydirect.gov. You enter the bond series, denomination, and issue date, and the calculator shows what it is worth today.
Key Takeaways
- EE bonds purchased today cost half the face value ($50 for a $100 bond) and are may provide to reach face value within 20 years.
- The current value of any EE bond you own depends on its issue date and how long you have held it, which you can check using the Treasury's Savings Bond Calculator.
- Interest rates on new EE bonds change every six months, so bonds issued in different periods earn different amounts.
- After 20 years, an EE bond stops earning interest at the original rate and enters a 10-year extended maturity period with a different rate.
How interest rates affect what your bond is worth
The Treasury sets the interest rate for EE bonds every six months, in May and November. The rate applies to all bonds issued during that six-month window. A bond issued in May 2023 earns a different rate than one issued in November 2023, and that rate stays locked in for the life of the bond.
Because rates change twice a year, two EE bonds bought just months apart can have very different values at the same point in time. The bond issued when rates were higher will be worth more. You can see historical rates on the Treasury website under "EE Bond Rate History."
The current rate for new EE bonds is posted on treasurydirect.gov and changes on May 1 and November 1 each year. If you are comparing bonds you own from different years, the Savings Bond Calculator accounts for all these rate changes automatically.
What happens at the 20-year mark
When an EE bond reaches 20 years old, it has earned enough interest to be worth at least its face value — that is the Treasury's may provide. At that point, the bond enters what is called extended maturity, a second 10-year period during which it continues to earn interest, but at a different rate.
The extended maturity rate is set by the Treasury and is typically lower than the original rate. You do not have to do anything for this to happen; it occurs automatically. The bond will keep earning and growing in value until it reaches 30 years old, at which point it stops earning interest entirely and is considered mature.
Many people cash in their EE bonds at or shortly after the 20-year mark because the growth slows down. However, if you need the money to stay invested and growing, the extended maturity period still offers some return, even if it is modest.
How to check the value of a specific bond you own
Go to treasurydirect.gov and look for the "Savings Bond Calculator" link. You will need three pieces of information: the bond series (EE), the denomination ($50, $100, etc.), and the issue date. If you have the physical bond, the issue date is printed on the front.
Enter these details and the calculator will show you the current value. It will also show you the value at maturity (20 years) and the extended maturity value (at 30 years). This is the most accurate way to know what your bond is worth right now.
If you own bonds through TreasuryDirect (the online account system), you can also log in to your account and see the current value of each bond listed there. The account shows the purchase price, current value, and projected value at maturity.
The difference between purchase price and current value
You pay $50 for a new $100 EE bond, but that does not mean it is worth $50 when you buy it. The $50 is the purchase price. The bond's actual value grows from that point forward based on the interest rate locked in at issue.
In the first few months after purchase, the value grows slowly. Over time, as compound interest works, the growth accelerates. By year 20, the bond will have grown enough to reach the full $100 face value. After that, growth continues but at the extended maturity rate, which is slower.
This is why the purchase price and the current value are two different numbers. The purchase price is what you paid; the current value is what the bond is worth in the market today, based on how much interest it has earned so far.
What affects the value if you cash in early
You can cash in an EE bond at any time after holding it for one year. However, if you cash it in before five years have passed, the Treasury deducts the last three months of interest as a penalty. This means the value you receive will be lower than the calculated current value.
For example, if a bond is worth $52 but you have only held it for three years, you will receive $51 (the value minus three months of interest). After five years, there is no penalty, and you receive the full current value.
This early-redemption penalty is one reason many people hold EE bonds for at least five years. It also explains why EE bonds are better suited to money you do not plan to touch in the near term.
Comparing EE bond value to other savings options
The value of an EE bond grows slowly compared to some other savings vehicles. A high-yield savings account or a certificate of deposit (CD) may offer higher rates in certain years, especially when the Federal Reserve has raised interest rates. The trade-off is that EE bonds offer a may provide: your money will at least double in 20 years, no matter what happens to interest rates.
If you are trying to decide between an EE bond and a savings account, consider your timeline. If you will not need the money for at least five years, an EE bond removes the penalty risk. If you might need it sooner, a savings account is more flexible, though it may earn less.
You can also hold both. Many people use EE bonds for long-term goals (education, retirement) and savings accounts for shorter-term needs. The value of each tool depends on when you need the money and how much certainty you want.
Frequently Asked Questions
Can I find out what an old EE bond from years ago is worth?
Yes. Use the Treasury's Savings Bond Calculator at treasurydirect.gov. You need the series, denomination, and issue date. If you have the physical bond, the issue date is printed on it. The calculator will show the current value and whether the bond is still earning interest or has reached maturity.
What is the current interest rate on new EE bonds?
The rate changes every six months on May 1 and November 1. Visit treasurydirect.gov to see the current rate for bonds issued today. The rate is the same for all EE bonds issued during that six-month period, but it will be different from the rate on bonds issued in the previous or next period.
Do I owe taxes on the interest my EE bond earns?
Yes, but you can choose when to pay them. You can report the interest each year as it accrues, or you can wait and report all the interest when you cash in the bond. Most people wait until maturity or redemption. The interest is subject to federal income tax but not state or local tax.
What happens if I lose a physical EE bond?
Contact the Treasury's Savings Bond Division. You will need to provide proof of ownership and the bond details. The Treasury can issue a replacement or pay you the current value. The process takes time, so report a lost bond as soon as you notice it is missing.
Is the value of an EE bond affected by inflation?
EE bonds earn a fixed interest rate set at issue, so their real purchasing power can decline if inflation rises. If you want protection against inflation, the Treasury offers I bonds, which adjust their rate based on inflation every six months. I bonds have different rules and purchase limits than EE bonds.