Comments on: Which of my Savings Bonds should I cash in? http://www.savings-bond-advisor.com/which-bonds-to-cash-2/ Thu, 18 Mar 2010 13:28:32 +0000 http://wordpress.org/?v=2.0.4 by: Tom Adams http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-59759 Wed, 24 Feb 2010 14:49:39 +0000 http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-59759 Carol - there is no option to defer the tax. There are two reasons to cash the bonds now. a. The IRS says the tax is due in the year the bonds stop earning interest whether you cash them or not. b. What's going to happen when you're 65 that will change things? Do you expect your income to be lower then? If so, you can do the math and see how much you'll save on taxes versus how much you'll lose in interest by giving the government an interest free loan until then. Typically when you do these calculations reinvesting is the better choice. Tom Adams Carol - there is no option to defer the tax. There are two reasons to cash the bonds now.

a. The IRS says the tax is due in the year the bonds stop earning interest whether you cash them or not.

b. What's going to happen when you're 65 that will change things? Do you expect your income to be lower then? If so, you can do the math and see how much you'll save on taxes versus how much you'll lose in interest by giving the government an interest free loan until then. Typically when you do these calculations reinvesting is the better choice.

Tom Adams

]]> by: Carol http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-59711 Tue, 23 Feb 2010 17:30:55 +0000 http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-59711 Since the demise of the HH option is there any other way to defer tax on redeemed mature 30+ year old bonds? Would I be better off letting them sit w/o interest until I'm 65? Since the demise of the HH option is there any other way to defer tax on redeemed mature 30+ year old bonds? Would I be better off letting them sit w/o interest until I'm 65?

]]> by: Tom Adams http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-57766 Thu, 11 Feb 2010 17:02:59 +0000 http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-57766 Mike - no, there is no option like that. Series HH bonds used to allow that, but those bonds were discontinued in 2004. Tom Adams Mike - no, there is no option like that. Series HH bonds used to allow that, but those bonds were discontinued in 2004.

Tom Adams

]]> by: Mike http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-57442 Wed, 10 Feb 2010 17:58:29 +0000 http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-57442 Tom,great site I have EE bonds I started buying monthly in 1980 and the first one just reached 30 years, that one with FV of $200 cashed out apprx. $670 with interest of $470. Is there any option I have to roll these into other bonds rather than cashing them and paying the taxes on the interest in that year? thanks Tom,great site

I have EE bonds I started buying monthly in 1980 and the first one just reached 30 years, that one with FV of $200 cashed out apprx. $670 with interest of $470. Is there any option I have to roll these into other bonds rather than cashing them and paying the taxes on the interest in that year? thanks

]]> by: Tom Adams http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-50006 Tue, 27 Oct 2009 15:00:04 +0000 http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-50006 Sally - EE bonds earn interest for 30 years. So the maximum value of your bonds will be reached on their 30th anniversary. However, if by "full amount" you mean face value, see this post on <a href="http://www.savings-bond-advisor.com/when-do-my-savings-bonds-mature/" rel="nofollow">Savings Bond original maturity dates</a>. Tom Adams Sally - EE bonds earn interest for 30 years. So the maximum value of your bonds will be reached on their 30th anniversary.

However, if by "full amount" you mean face value, see this post on Savings Bond original maturity dates.

Tom Adams

]]> by: sally http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-49960 Mon, 26 Oct 2009 22:16:24 +0000 http://www.savings-bond-advisor.com/which-bonds-to-cash-2/#comment-49960 I have a bunch of series EE bonds that were issued in 1994 and some in 1997. I am wondering when to cash these bonds....when do they reach their full amount? I can't seem to find a straight answer. It has been 15 years on some of them and 12 years on the other. Please help. Thank you. I have a bunch of series EE bonds that were issued in 1994 and some in 1997. I am wondering when to cash these bonds….when do they reach their full amount? I can't seem to find a straight answer. It has been 15 years on some of them and 12 years on the other. Please help.
Thank you.

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