Series EE bond

Series EE bond

Series EE Savings Bond

In the United States, a savings bond, exempt from state and local taxes, with a fixed interest rate. The interest is adjusted every six months and is equal to 90% of the average 5-year Treasury security yield over the six months preceding the calculation. These bonds are sold at half of face value and pay par upon maturity, which is 30 years after purchase. They must be held for at least one year, and United States Treasury guarantees that it will double in value after 20 years. They are non-transferable and must either be held or redeemed. When used to pay for college education, they are exempt from federal taxes. Series EE bonds are the successors to Series E bonds, better known as war bonds.
References in periodicals archive ?
Arak and Rosenstein (2004) compared Series EE bond returns to six-month certificates of deposit (CDs), Treasury Bills and intermediate-term Government bonds over the period 1954 to 2000.
And he'll be able to take advantage of it in the future,'' said Tuszynski, 38, who plans on purchasing a Series EE bond for $25, which the U.
Since the introduction of the series EE bond in 1980, more than 50 million investors have purchased them.
135 AGI limits will reduce their future Series EE bond exclusion benefit if they continue to hold the bonds.
With the smallest denomination of a Series EE bond selling for just $25, they've been a popular savings vehicle for children's college education or as holiday and birthday gifts for young relatives.
The Series EE bond is an appreciation-type security that accrues interest for 30 years.
Likewise, those benefits targeted not to exceed high-income levels (such as the new child care credit, new education credits and IRAs, and the new Roth IRA, as well as the existing alternative minimum tax exemption, itemized deductions, personal exemptions, adoption credit and exclusion, Series EE bond exclusion, and Sec.
Treasury Department offers two series of Savings Bonds, the I Bond and the Series EE Bond, each offering numerous advantages for all levels of investors and available in denominations raging from $50 to $10,000.
While most I Bonds are sold through financial institutions, more and more employers are planning to offer I Bonds to their employees alongside the familiar Series EE bond.
However, Roberts is critical of initiatives that provide subsidies exclusively to government products such as the Series EE Bond.
We cashed out most of the Series EE bonds we had saved during the previous seven years--a thrilling $10,000
Bond interest - For 2009, interest on proceeds of qualified savings bonds (specifically, Series I bonds or qualified Series EE bonds issued after 1989) cashed to pay education expenses is tax free for joint filers with less than $104,900 in AGI, partially tax free for AGI of $104,900-$134,900; comparable limits for single filers are $69,950-$84,950.