How and where can I cash in U.S. savings bonds?


Q. What is the best way to determine the value of U.S. savings bonds (Series E)? Where may they be cashed?
— Investor

A. The best place to get information on U.S. savings bonds is the Treasury Direct website.

The website provides many useful tools including valuing U.S. savings bonds and answers a variety of questions about all types of U.S. savings bonds, said Micheal Maye, a certified financial planner and certified public accountant with MJM Financial in Gillette.

How to cash them out depends on whether they are paper or electronic bonds, Maye said.

Treasury Direct says 95% of paper U.S. savings bonds are cashed at local banks or credit unions.

“For U.S. Savings bonds held electronically, the bond holder will need to log into their Treasury Direct account,” Maye said, noting you can then just follow the instructions. “Proceeds from maturing bonds can be deposited directly into the saving bond holders checking or savings account.”

Maye said U.S. savings bonds are subject to ordinary income taxes when they are cashed in, and unlike most other investments, do not receive a step up In cost basis at death.

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This story was originally published on May 21, 2020. presents certain general financial planning principles and advice, but should never be viewed as a substitute for obtaining advice from a personal professional advisor who understands your unique individual circumstances.