EE bonds stop earning interest after 30 years

EE bonds issued by the U.S. Treasury reach final maturity at 30 years from the issue date. Once a bond hits that 30-year mark, it stops accruing interest entirely, even if you do not cash it in. The maturity date is printed on your bond or shown in your TreasuryDirect account if you own electronic bonds.

This is different from the original maturity period, which lasts 20 years. During those first 20 years, your bond earns interest at a fixed rate set when you bought it. After 20 years, the bond enters an extended maturity period that runs for another 10 years — but the interest rate changes. During years 21 through 30, your bond earns a new rate that the Treasury sets every six months.

If you own paper EE bonds, you can find the exact maturity date by looking at the issue date on the bond itself and adding 30 years. For example, a bond issued on May 1, 2020 will reach final maturity on May 1, 2050. Electronic bonds purchased through TreasuryDirect show the maturity date in your account dashboard.

Key Takeaways

  • EE bonds issued after May 2003 earn interest for exactly 30 years from the issue date, then stop accruing value.
  • The first 20 years use a fixed interest rate; years 21 through 30 use a variable rate reset every six months.
  • You can cash in an EE bond at any time after one year, but you will lose the last three months of interest if you redeem it before five years have passed.
  • After 30 years, your bond has reached its final value and will not grow further, whether you hold it or cash it in.
  • Paper bonds and electronic bonds mature on the same schedule; the issue date determines when the 30-year period ends.

How the two maturity periods work differently

The first 20 years of an EE bond's life are called the original maturity period. During this time, your bond earns a fixed interest rate that never changes. The rate depends on when you bought the bond — rates are set monthly and vary from month to month. Once your bond is issued, that rate is locked in for the full 20 years.

After 20 years, your bond enters the extended maturity period, which lasts 10 more years (years 21 through 30). During this decade, the interest rate is no longer fixed. Instead, the Treasury announces a new rate every six months, in May and November. Your bond earns whichever rate is in effect during each six-month window. This means the interest you earn in year 21 might be different from the interest you earn in year 25.

The extended maturity period exists partly to encourage people to hold their bonds longer and partly to reflect changing economic conditions. However, the extended rate is often lower than the original fixed rate, so your bond may earn less per year during years 21 through 30 than it did during years 1 through 20.

What happens when your EE bond reaches 30 years

On the exact date your EE bond reaches 30 years old, it stops earning interest. If you have not cashed it in by then, the bond has reached its final value. Holding it longer will not increase the amount you receive when you eventually redeem it.

At this point, you should cash in the bond. There is no benefit to keeping it in your possession or account. You can redeem it at most banks, through your TreasuryDirect account (for electronic bonds), or by mail if you own a paper bond. The redemption process is the same as it would have been at any earlier date — you simply receive the final value the bond reached by year 30.

If you forget to redeem a mature bond, it does not disappear or lose value. The money is yours whenever you decide to cash it in. However, there is no reason to delay once the bond has stopped earning interest.

The penalty for cashing in before five years

You can redeem an EE bond as early as one year after purchase, but there is a cost to redeeming early. If you cash in your bond before it has been held for five years, you lose the last three months of interest. This penalty applies whether you redeem at year 2, year 4, or any time before the five-year mark.

For example, if you bought an EE bond on January 1, 2024 and cashed it in on December 1, 2025 (less than two years later), you would receive the value of the bond as of September 1, 2025 — three months earlier. The interest earned between September 1 and December 1 would be forfeited.

After five years, you can redeem your bond without any penalty. You receive the full value including all interest earned up to the redemption date. This is why many people hold EE bonds for at least five years even if they do not plan to keep them until maturity.

Paper bonds versus electronic bonds on the maturity timeline

Paper EE bonds and electronic bonds purchased through TreasuryDirect follow the same 30-year maturity schedule. The issue date — the date printed on the paper bond or shown in your TreasuryDirect account — is what determines when the bond matures. The format of the bond does not change the timeline.

For paper bonds, the issue date is printed directly on the bond certificate. You can calculate the maturity date by adding 30 years to that date. For electronic bonds, log into your TreasuryDirect account and look at the bond details; the system shows both the issue date and the maturity date.

One practical difference: electronic bonds are easier to track because TreasuryDirect sends you statements and reminders. Paper bonds require you to keep the certificate safe and remember to redeem it yourself. If you own paper bonds that are approaching 30 years old, it is worth checking the issue dates now so you do not miss the maturity deadline.

Interest rates during the extended maturity period

The interest rate your EE bond earns during years 21 through 30 is announced by the Treasury every six months. These announcements happen in May and November, and the new rates take effect on the first day of those months. The extended maturity rate is not may provide to match the original fixed rate you locked in for years 1 through 20.

In recent years, extended maturity rates have often been lower than the original rates people received. This reflects the fact that interest rates in the broader economy have changed since the bond was issued. However, the extended rate is still real interest — your bond continues to grow during years 21 through 30, just possibly at a slower pace than during the first 20 years.

You can find the current extended maturity rates on the TreasuryDirect website or by checking the rate tables published each May and November. If you own a paper bond, you can also ask your bank for the current rate when you visit to redeem it.

Tracking your bond's maturity date

For electronic bonds, TreasuryDirect makes tracking simple. Log into your account, and you will see the issue date and maturity date for each bond you own. The system also shows you the current value and the interest rate being applied. You can set a reminder on your calendar based on the maturity date shown there.

For paper bonds, write down the issue date from the certificate and add 30 years. If you own multiple paper bonds, create a simple list with the issue date and maturity date for each one. Store this list somewhere safe along with the bonds themselves. Some people photograph their bonds and keep the photos on their phone for reference.

If you have lost track of paper bonds you own, you can search for them through the Treasury Hunt tool on the TreasuryDirect website. This tool allows you to search for unclaimed Treasury securities by name and Social Security number. If you find bonds you had forgotten about, you can redeem them at any time, even if they have already reached maturity.

Frequently Asked Questions

Can I keep an EE bond after it matures at 30 years?

Technically yes, but there is no reason to. Once your bond reaches 30 years, it stops earning interest. The value is fixed at whatever it reached by year 30. Holding it longer will not increase the amount you receive when you redeem it, so you should cash it in and move the money elsewhere if you want it to continue growing.

What is the difference between the 20-year and 30-year maturity dates?

The 20-year mark is when your EE bond stops earning at the original fixed rate and moves into the extended maturity period. Years 21 through 30 use a new variable rate set by the Treasury every six months. At 30 years, the bond reaches final maturity and stops earning interest entirely.

Do I have to redeem my EE bond on the maturity date?

No. You can redeem it anytime after one year of ownership. However, once it reaches 30 years, there is no benefit to holding it longer since it will not earn any more interest. You should redeem it at or shortly after the maturity date to avoid leaving money sitting idle.

How do I find the maturity date of a paper EE bond I own?

Look at the issue date printed on the bond certificate and add 30 years. For example, a bond issued May 15, 2010 will mature on May 15, 2040. If you cannot find the issue date on the bond, you can search for it using the Treasury Hunt tool on the TreasuryDirect website.

Will my EE bond lose value after it matures?

No. Once your bond reaches final maturity at 30 years, its value stays the same. It does not decrease or disappear. You can redeem it whenever you choose and receive the full value it had on the maturity date. There is no penalty for redeeming after maturity, only a lack of further growth.