What will the next I bond rate be in 2024?

The May I Bond composite rate is 4.28% (US Treasury) which is 2.14% earned over 6 months. Breaking News: Official Treasury I Bond Rate announced! The May 2024 I Bond Fixed Rate is 1.30%.

Can I buy $10,000 I bond every year?

That said, there is a $10,000 limit each year for purchasing them . There are several ways around this limit, though, including using your tax refund, having your spouse purchase bonds as well and using a separate legal entity like a trust.

How long should you hold series I bonds?

Can I cash it in before 30 years? You can cash in (redeem) your I bond after 12 months. However, if you cash in the bond in less than 5 years, you lose the last 3 months of interest. For example, if you cash in the bond after 18 months, you get the first 15 months of interest.

Is there a downside to I bond?

The cons of investing in I-bonds There's actually a limit on how much you can invest in I-bonds per year . The annual maximum in purchases is $10,000 worth of electronic I-bonds, although in some cases, you may be able to purchase an additional $5,000 worth of paper I-bonds using your tax refund.

What is a better investment than I bonds?

Bottom line. If inflation and investment safety are your chief concerns — TIPS and I-bonds deliver both. TIPS offer greater liquidity and the higher yearly limit allows you to stash far more cash in TIPS than I-bonds . If you're saving for education, I-bonds may be the way to go.

Do you pay taxes on I bonds?

How much tax do I owe on my I bonds? Interest on I bonds is exempt from state and local taxes but taxed at the federal level at ordinary income-tax rates .

What is the loophole for series I bonds?

Normally, you're limited to purchasing $10,000 per person on electronic Series I bonds per year. However, the government allows those with a federal tax refund to invest up to $5,000 of that refund into paper I bonds . So most investors think their annual investment tops out at $15,000 – one of the key I bond myths.

Can married couples buy $20,000 in I bonds?

Yes, since bond purchase limits are based on a person's Social Security number, a married couple could buy up to $30,000 in I bonds annually . Each spouse could buy $10,000 in electronic I bonds and $5,000 in paper I bonds, assuming their federal tax refund is large enough.

How long does it take to get money from TreasuryDirect?

You just bought a security from the U.S. Treasury. Securities are generally issued to your account within two business days of the purchase date for savings bonds or within one week of the auction date for Bills, Notes, Bonds, FRNs, and TIPS .

Will I bond fixed rate go up?

The fixed rate stays the same for the life of the bond. The inflation rate can change every six months from the issue date of the bond. When the inflation rate changes, the earnings rate does too.

When should I sell my I bonds?

So the best time to sell is after three straight months of low interest and then just after the 1 st of the fourth month . That way, you hold onto the higher interest and shed the lower rate.

I bonds interest rates — TreasuryDirect (2024)

The interest rate on a Series I savings bond changes every 6 months, based on inflation. The rate can go up. The rate can go down.

I bonds earn interest until the first of these events: You cash in the bond or the bond reaches 30 years old.

I bonds earn a combined rate of interest

the interest on I bonds is a combination of

a fixed rate
a inflation rate

Current Interest Rate

Series I Savings Bonds

An example

The composite rate for I bonds issued from November 2023 through April 2024 is 5.27%.

Here's how we got that rate:

Fixed rate	1.30%
Semiannual (1/2 year) inflation rate	1.97%
Composite rate formula: [Fixed rate + (2 x semiannual inflation rate) + (fixed rate x semiannual inflation rate)]	[0.0130 + (2 x 0.0197) + (0.0130 x 0.0197)]
Gives a composite rate of	[0.0130 + 0.0394 + 0.0002561]
Adding the parts gives	0.0526561
Rounding gives	0.0527
Turning the decimal number to a percentage gives a composite rate of	5.27%

Interest rate changes depend on when we issued the bond

Although we announce the new rates in May and November, the date when the rate changes for your bond is every 6 months from the issue date of your bond. Use this table to understand when each new rate begins to apply to your I bond.

If we issued your bond in	Your interest rate changes every
January	July 1 and January 1
February	August 1 and February 1
March	September 1 and March 1
April	October 1 and April 1
May	November 1 and May 1
June	December 1 and June 1
July	January 1 and July 1
August	February 1 and August 1
September	March 1 and September 1
October	April 1 and October 1
November	May 1 and November 1
December	June 1 and December 1

The interest gets added to the bond's value

I bonds earn interest from the first day of the month you buy them.

Twice a year, we add all the interest the bond earned in the previous 6 months to the main (principal) value of the bond.

That gives the bond a new value (old value + interest earned).

Over the next 6 months, we apply the new interest rate to that entire new value.

This is called semiannually compounding (adding value 2 times a year). That way, your money grows not just from the interest percentage but from the fact that the interest is calculated on a growing balance.

How do you find the current value of an I bond? If the bond is in TreasuryDirect, look in your account there. If the bond is paper, use the Savings Bond Calculator.

Note: For bonds less than 5 years old, values shown in TreasuryDirect and the Calculator don’t include the last 3 months of interest. That’s because if you cash a bond before 5 years, we don’t pay you the final 3 months of interest.

What have interest rates been for I bonds?

We've put all the rates together in one chart – fixed rate, inflation rate, and combined rate. You can look up a specific bond there and see its entire history. You will probably have to enlarge the chart to view a particular row. We also have a Series I Bond rate history chart.

Below, we show you historical rates in separate tables.

Fixed rates

The fixed rate that we set each May and November applies to all bonds we issue in the 6 months following the date when we set the rate. The fixed rate applies for the life of the bond.

Date the fixed rate was set	Fixed rate for bonds issued in the six months after that date
November 1, 2023	1.30%
May 1, 2023	0.90%
November 1, 2022	0.40%
May 1, 2022	0.00%
November 1, 2021	0.00%
May 1, 2021	0.00%
November 1, 2020	0.00%
May 1, 2020	0.00%
November 1, 2019	0.20%
May 1, 2019	0.50%
November 1, 2018	0.50%
May 1, 2018	0.30%
November 1, 2017	0.10%
May 1, 2017	0.00%
November 1, 2016	0.00%
May 1, 2016	0.10%
November 1, 2015	0.10%
May 1, 2015	0.00%
November 1, 2014	0.00%
May 1, 2014	0.10%
November 1, 2013	0.20%
May 1, 2013	0.00%
November 1, 2012	0.00%
May 1, 2012	0.00%
November 1, 2011	0.00%
May 1, 2011	0.00%
November 1, 2010	0.00%
May 1, 2010	0.20%
November 1, 2009	0.30%
May 1, 2009	0.10%
November 1, 2008	0.70%
May 1, 2008	0.00%
November 1, 2007	1.20%
May 1, 2007	1.30%
November 1, 2006	1.40%
May 1, 2006	1.40%
November 1, 2005	1.00%
May 1, 2005	1.20%
November 1, 2004	1.00%
May 1, 2004	1.00%
November 1, 2003	1.10%
May 1, 2003	1.10%
November 1, 2002	1.60%
May 1, 2002	2.00%
November 1, 2001	2.00%
May 1, 2001	3.00%
November 1, 2000	3.40%
May 1, 2000	3.60%
November 1, 1999	3.40%
May 1, 1999	3.30%
November 1, 1998	3.30%
September 1, 1998	3.40%

Inflation rates

The inflation rate that we set each May and November applies for 6 months to all I bonds that we ever issued.

Date the inflation rate was set	Inflation rate for all I bonds issued for six months (starting in that bond's next interest start month - see the table of months higher on this page)
November 1, 2023	1.97%
May 1, 2023	1.69%
November 1, 2022	3.24%
May 1, 2022	4.81%
November 1, 2021	3.56%
May 1, 2021	1.77%
November 1, 2020	0.84%
May 1, 2020	0.53%
November 1, 2019	1.01%
May 1, 2019	0.70%
November 1, 2018	1.16%
May 1, 2018	1.11%
November 1, 2017	1.24%
May 1, 2017	0.98%
November 1, 2016	1.38%
May 1, 2016	0.08%
November 1, 2015	0.77%
May 1, 2015	-0.80%
November 1, 2014	0.74%
May 1, 2014	0.92%
November 1, 2013	0.59%
May 1, 2013	0.59%
November 1, 2012	0.88%
May 1, 2012	1.10%
November 1, 2011	1.53%
May 1, 2011	2.30%
November 1, 2010	0.37%
May 1, 2010	0.77%
November 1, 2009	1.53%
May 1, 2009	-2.78%
November 1, 2008	2.46%
May 1, 2008	2.42%
November 1, 2007	1.53%
May 1, 2007	1.21%
November 1, 2006	1.55%
May 1, 2006	0.50%
November 1, 2005	2.85%
May 1, 2005	1.79%
November 1, 2004	1.33%
May 1, 2004	1.19%
November 1, 2003	0.54%
May 1, 2003	1.77%
November 1, 2002	1.23%
May 1, 2002	0.28%
November 1, 2001	1.19%
May 1, 2001	1.44%
November 1, 2000	1.52%
May 1, 2000	1.91%
November 1, 1999	1.76%
May 1, 1999	0.86%
November 1, 1998	0.86%
September 1, 1998	0.62%

Current composite rates

The table below shows the current composite rate for all I bonds. Each composite rate is a yearly rate that applies for 6 months.

Period when you bought your I bond		Composite rate for your 6 month earning period starting during November 2023 through April 2024
From	Through
Nov. 2023	Apr. 2024	5.27%
May 2023	Oct. 2023	4.86%
Nov. 2022	Apr. 2023	4.35%
May 2022	Oct. 2022	3.94%
Nov. 2021	Apr. 2022	3.94%
May 2021	Oct. 2021	3.94%
Nov. 2020	Apr. 2021	3.94%
May 2020	Oct. 2020	3.94%
Nov. 2019	Apr. 2020	4.14%
May 2019	Oct. 2019	4.45%
Nov. 2018	Apr. 2019	4.45%
May 2018	Oct. 2018	4.25%
Nov. 2017	Apr. 2018	4.04%
May 2017	Oct. 2017	3.94%
Nov. 2016	Apr. 2017	3.94%
May 2016	Oct. 2016	4.04%
Nov. 2015	Apr. 2016	4.04%
May 2015	Oct. 2015	3.94%
Nov. 2014	Apr. 2015	3.94%
May 2014	Oct. 2014	4.04%
Nov. 2013	Apr. 2014	4.14%
May 2013	Oct. 2013	3.94%
Nov. 2012	Apr. 2013	3.94%
May 2012	Oct. 2012	3.94%
Nov. 2011	Apr. 2012	3.94%
May 2011	Oct. 2011	3.94%
Nov. 2010	Apr. 2011	3.94%
May 2010	Oct. 2010	4.14%
Nov. 2009	Apr. 2010	4.25%
May 2009	Oct. 2009	4.04%
Nov. 2008	Apr. 2009	4.65%
May 2008	Oct. 2008	3.94%
Nov. 2007	Apr. 2008	5.16%
May 2007	Oct. 2007	5.27%
Nov. 2006	Apr. 2007	5.37%
May 2006	Oct. 2006	5.37%
Nov. 2005	Apr. 2006	4.96%
May 2005	Oct. 2005	5.16%
Nov. 2004	Apr. 2005	4.96%
May 2004	Oct. 2004	4.96%
Nov. 2003	Apr. 2004	5.06%
May 2003	Oct. 2003	5.06%
Nov. 2002	Apr. 2003	5.57%
May 2002	Oct. 2002	5.98%
Nov. 2001	Apr. 2002	5.98%
May 2001	Oct. 2001	7.00%
Nov. 2000	Apr. 2001	7.41%
May 2000	Oct. 2000	7.61%
Nov. 1999	Apr. 2000	7.41%
May 1999	Oct. 1999	7.31%
Nov. 1998	Apr. 1999	7.31%
Sept. 1998	Oct. 1998	7.41%