US Savings Bond return in 30 years?
by admin ~ May 17th, 2009 . Filed under: Personal Finance .
KashLea asked:
Let say I buy a $100, series EE savings bond today. The fixed interest rate is 3.7%. What is my return in 30 years?
Benton Tapaoan
Let say I buy a $100, series EE savings bond today. The fixed interest rate is 3.7%. What is my return in 30 years?
Benton Tapaoan
May 17th, 2009 at 4:06 pm
The only value of money after eventual taxes inflation they killed my grandparents.
My grandparents.
May 18th, 2009 at 1:51 pm
If you are going to buy a savings bond, buy an I bond. At least it is guaranteed to return a fixed rate over inflation. (1.4% over inflation until 05/01/07) You may have some rate periods where it returns 6%, and some where it may return 3%, but most of the time it will beat an EE. Money market mutual funds can also give you a comparable rate of return with instant liquidity (no 12-month holding period or 5-year penalty), however, you will need to shop around.
May 21st, 2009 at 10:24 am
To answer your quesion, a $100 EE bond earning 3.7%, compounded semi-annually for 30 years will be worth $300.37