When EE Savings Bonds Reach Full Value and What Happens After

EE bonds reach their stated face value after 20 years

An EE savings bond matures—meaning it reaches the value printed on the bond—after exactly 20 years from the issue date. If you bought a $100 EE bond on January 1, 2004, it would be worth $100 on January 1, 2024. The U.S. Treasury guarantees this: your EE bond will be worth at least face value after 20 years, no matter what interest rates do in the meantime.

The issue date is printed on your bond certificate or appears in your TreasuryDirect account if you own digital bonds. Count forward 20 years from that date to find your maturity date. This is not negotiable—all EE bonds follow the same 20-year timeline.

Before the 20-year mark, your bond earns interest monthly, though you do not see the money until you cash it. The interest rate on EE bonds is set by the Treasury and changes every six months, on May 1 and November 1. Your bond earns whatever rate was in effect when you purchased it for the first six months, then switches to the new rate on the next rate-change date.

Key Takeaways

EE bonds reach their face value after exactly 20 years from the issue date, and the Treasury guarantees this minimum value.
Interest accrues monthly but is not paid out until you cash the bond, and the interest rate changes every six months.
You can cash an EE bond anytime after one year, but cashing before five years means losing the last three months of interest.
After 20 years, your bond stops earning interest and should be cashed or redeemed to avoid holding dead money.
The final maturity date for EE bonds is 30 years from issue, after which they earn nothing and must be cashed.

What happens if you cash your bond before 20 years

You can cash an EE bond anytime after you have owned it for one year. If you cash it before five years have passed, you lose the last three months of interest as a penalty. For example, if you cash a bond at 18 months, you receive only 15 months of accrued interest, not 18 months.

After five years, there is no penalty—you receive all the interest that has accrued up to the date you cash it. This is why many people wait at least five years before cashing, even if they do not need the money to reach the 20-year maturity date.

The amount you receive when you cash early depends on the interest rate your bond earned during the time you held it. You will not receive the full face value unless you have held the bond for the full 20 years.

How to find your bond's maturity date

If you own digital EE bonds through TreasuryDirect, log into your account at treasurydirect.gov. Your bonds are listed with their issue dates clearly shown. Add 20 years to the issue date to find the maturity date.

If you own paper EE bonds, look at the bond certificate itself. The issue date is printed near the top or bottom of the certificate. You can also contact the Treasury's Bureau of the Fiscal Service at 844-284-2676 or visit treasurydirect.gov to look up bonds you own but cannot locate.

Write down your maturity date somewhere you will remember it—a calendar note, a spreadsheet, or your banking records. Many people forget about bonds they purchased years ago and miss the opportunity to cash them when they mature.

Why you should not hold an EE bond past 20 years

After 20 years, your EE bond stops earning interest. If you continue to hold it, your money sits idle and earns nothing. This is called the final maturity date, and for EE bonds it occurs 30 years from the issue date. Between year 20 and year 30, your bond is worth exactly what it was at year 20—no growth, no additional earnings.

At year 30, the bond expires entirely and you must cash it. If you have not cashed it by then, you will need to contact the Treasury to recover your money, which takes longer than a simple redemption.

The practical move is to cash your bond sometime during year 20 or shortly after. You have received the full value the bond will ever provide, and holding it longer costs you the opportunity to put that money into something that does earn interest.

The difference between maturity and final maturity

Maturity is when your EE bond reaches its face value—20 years from issue. Final maturity is when the bond stops earning interest entirely—30 years from issue. Between these two dates, your bond is worth the same amount but earns nothing.

Some people confuse these terms and think their bond stops being valuable at 20 years. It does not. Your bond is still worth its full face value at year 21, year 25, and year 29. The problem is that it is not growing anymore, so there is no reason to hold it.

Interest rates and how they affect maturity value

The interest rate on EE bonds changes every six months. When you purchase an EE bond, it earns the rate in effect at that time for the first six months. On the next rate-change date (May 1 or November 1), it switches to the new rate, and continues switching every six months for the entire 20 years you hold it.

Because rates change so often, two EE bonds purchased on different dates will reach different values at the 20-year mark, even though both are may provide to reach at least face value. A bond purchased when rates are high will be worth more than face value at maturity. A bond purchased when rates are low might be worth exactly face value—no more.

You can check the current EE bond interest rate and historical rates on treasurydirect.gov. The rate is always listed as an annual percentage, and it applies to all new purchases made during that six-month period.

Cashing your bond when it matures

To cash a digital EE bond through TreasuryDirect, log into your account, select the bond, and request redemption. The money is deposited into your linked bank account within a few business days. There is no fee for this.

Paper EE bonds can be cashed at most banks and credit unions. Bring the bond certificate and a form of identification. Some banks may require you to have an account with them. You can also mail the bond to the Treasury's Bureau of the Fiscal Service with a completed form FS 1522, though this takes longer.

When you cash a bond, you will receive a 1099-INT form for tax purposes if the interest earned is $10 or more. The interest is taxable as federal income in the year you cash the bond, unless you used the bond for education expenses and meet specific conditions.

Frequently Asked Questions

Can I cash my EE bond on the exact maturity date?

Yes. You can cash it on the 20-year anniversary of the issue date or anytime after. There is no deadline—you can wait weeks or months after maturity to cash it, though you will not earn any additional interest.

What if I lost my paper EE bond certificate?

Contact the Treasury's Bureau of the Fiscal Service at 844-284-2676 or visit treasurydirect.gov. You will need to provide information about the bond—the series, denomination, and serial number if you have it. The Treasury can help you locate it and arrange redemption or replacement.

Do I owe taxes when my EE bond matures?

You owe federal income tax on the interest earned, but only in the year you cash the bond. State and local taxes do not apply to EE bonds. If the interest is $10 or more, you will receive a 1099-INT form to include with your tax return.

Can I roll my EE bond into another investment when it matures?

You can cash the bond and use the money for anything, including purchasing new EE bonds or other Treasury securities. There is no automatic rollover—you must actively cash the mature bond and then decide what to do with the proceeds.

What happens if I forget to cash my bond after 30 years?

The bond becomes unredeemable through normal channels. You will need to contact the Treasury directly with proof of ownership. The process is slower and may require additional documentation, so it is better to cash the bond before the 30-year final maturity date.

This guide is for general information only and is not medical, financial, legal, or other professional advice. For decisions specific to your situation, consult a qualified professional. See our Editorial Policy.