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 Author: jennlgreen Number: of 35114 Subject: EE/E series bond Date: 10/18/2001 9:21 PM
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 Hi All-- I have been searching the site all afternoon for an answer to my question--hopefully someone here can help. I have a EE/E series bond which was bought in 10/1987 in the \$50 denomination. This month it received its lastest accrural and has reached face value (\$55.22 to be exact--according to my savings bond wizard program). It has a YTD of 5.74% and its final maturity is in 10/2017. My question involves how much it will be worth in 2017. I used the compounding interest equation:Future Value = \$25*(1+0.0574)^30FV = \$133.39Does this equation take into account the interest added to the original amount invested every six months? For some reason, I thought you had to account for the biannual accrurals. Am I trying to make this too complicated? It just seems like with a YTD of 5.74% there would be more than \$108.39 in interest in 30 years.JLGwondering how I ever passed math
 Author: foobar73 Number: 2243 of 35114 Subject: Re: EE/E series bond Date: 10/18/2001 10:06 PM
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 Author: jrr7 Number: 2245 of 35114 Subject: Re: EE/E series bond Date: 10/19/2001 10:09 AM
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 Also keep in mind that EE/E bonds earn market-based rates. In the future the rates may be higher or lower.http://www.savingsbonds.gov/sav/savmktrt.htmis a table of rate fluctuations over the past few years.
 Author: jennlgreen Number: 2246 of 35114 Subject: Re: EE/E series bond Date: 10/19/2001 10:10 AM
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 Oh--I thought I was receiving 5.74% interest every 6 months. Maybe that was where I was confusing myself. Thanks for the info.Jen
 Author: 110intheshade Number: 2262 of 35114 Subject: Re: EE/E series bond Date: 10/23/2001 12:09 AM
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 Forget 'em. Look at the good side of these bonds. in 1975 and 1976 my Grandfather bought me a 1,000 bond each of those two years. I forgot them, and now, with 4-5 years left they've each earned over 3700 of interest. Componding ain't sexy, but it works.110
 Author: jennlgreen Number: 2270 of 35114 Subject: Re: EE/E series bond Date: 10/23/2001 8:28 PM
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 Well normally I would agree but to leave the money in the bond for another 15 years just to earn \$100 total in interest (over a span of 30 years) didn't make sense. I was wanting to put the money in my IRA. Whadda ya think?
 Author: 110intheshade Number: 2272 of 35114 Subject: Re: EE/E series bond Date: 10/24/2001 11:41 PM
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 Well normally I would agree but to leave the money in the bond for another 15 years just to earn \$100 total in interest (over a span of 30 years) didn't make sense. I was wanting to put the money in my IRA. Whadda ya think?Well, you're right - 100 bucks in a span of 30 years isn't much to look at...my thoughts were mainly towards the hindsite perspective of 'wow' look at that 7400 (3700ea) of interest on things I didn't even know I had!!Perhaps remembering next year our IRA's can go to 3K a year, cash it out, pay the tax and put it towards your IRA.Just a thought....110
 Author: emarko2 Number: 2284 of 35114 Subject: Re: EE/E series bond Date: 10/26/2001 10:50 AM
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 I say put it a roth account tax free.Ethan