Gifting electronic EE or I savings bonds
For electronic savings bonds as gifts, both you and the recipient must have a TreasuryDirect account. TreasuryDirect is the official United States government application in which you can buy and keep savings bonds.
You can gift a savings bond to adults or children. A child under 18 can have a TreasuryDirect account if the child's parent or other adult custodian has a TreasuryDirect account and sets up a linked account for the child.
About linked accounts
In TreasuryDirect, you can give anyone either EE or I savings bonds.
What you need to know about the recipient
To give an electronic savings bond to someone else, you must know that person's
- Full name
- Social Security Number (or Taxpayer Identification Number)
- TreasuryDirect account number
You can also save that information in your account so it will be there for you to give the person other gift savings bonds in the future.
How far in advance to buy the savings bond
You must hold the savings bonds in your account for at least 5 business days before you deliver them to the gift recipient.
That 5-day hold lets us be sure that the money for the gift has successfully gone through the banking system.
How to buy and deliver a gift bond in TreasuryDirect
Use either these videos or the PDF step-by-step instructions sheet:
How the person knows there's now a gift bond in their account
When you deliver the savings bond to the recipient's TreasuryDirect account, we send them an email announcing the gift.
You can also let them know yourself with one of our gift announcements.
Gifting paper I savings bonds
Only Series I savings bonds are available in paper.
Paper Series I savings bonds come in 5 denominations: $50, $100, $200, $500, and $1,000.
The only way to get a paper savings bond is to use your IRS tax refund. With your tax refund, you can buy savings bonds for anyone (yourself, your child, or as a gift to anyone).
If you buy paper savings bonds, we mail the savings bonds to you. You can then give the gift bonds yourself to the gift recipient.
You can also send or include one of our pretty gift announcements.
For more about buying paper savings bonds, see Using your income tax refund to buy paper savings bonds
Sending an announcement to tell about your gift
We have more than 25 announcements in 9 different categories for you to choose from.
Choose the design you want. Personalize it online. Print it at home. Give or send it to let someone know they are getting a savings bond from you.
FAQs
TreasuryDirect is the official United States government application in which you can buy and keep savings bonds. You can gift a savings bond to adults or children.
How to buy a gift savings bond in TreasuryDirect? ›
Log into your TreasuryDirect account and go to BuyDirect® . Click on the button next to the series of savings bond you wish to buy. Click Submit . On the “Purchase” page, select the desired registration from the drop-down list.
Can I give my savings bonds to someone else? ›
On Form 8888, you also specify who will own the bonds. That means, you can give paper savings bonds to yourself or to anyone else (as a gift).
Do I pay taxes on gifted savings bonds? ›
Whether you have to pay taxes on savings bonds depends on who owns it. Generally, taxes are owed on interest earned if you're the only bond owner or you use your own funds to buy a bond that you co-own with someone else.
Are savings bonds a good gift for a child? ›
Bonds can be a great gift for a baby or a young child because they are structured to reward long-term borrowers. Savings bonds can earn interest for up to 30 years.
How much is a $100 series EE bond worth after 30 years? ›
How to get the most value from your savings bonds
| Face Value | Purchase Amount | 30-Year Value (Purchased May 1990) |
|---|
| $50 Bond | $100 | $207.36 |
| $100 Bond | $200 | $414.72 |
| $500 Bond | $400 | $1,036.80 |
| $1,000 Bond | $800 | $2,073.60 |
May 7, 2024
How to avoid paying taxes on U.S. savings bonds
- Your filing status is not married filing separately.
- Your 2022 Modified Adjust Gross Income (MAGI) is less than $158,650 if married filing jointly and $100,800 if head of household status.
- The owner of the bond is at least 24 years old before the bond's issue date.
The Zero-Percent Certificate of Indebtedness (Zero-Percent C of I or simply, C of I) is a Treasury security that does not earn any interest. It is intended to be used as a source of funds for purchasing traditional Treasury securities.
How do I transfer savings bonds to TreasuryDirect? ›
Identify the security or securities you want to transfer. Choose External Transfer. Open the link for FS Form 5511, "TreasuryDirect Transfer Request." Fill out the required information and follow the instructions on the form.
How do I transfer ownership of a savings bond? ›
Transferring the Savings Bond to the Inheritors
- For electronic bonds: Use Form 5511 to transfer the bond to themselves, or use Form 5512 to redeem (cash in) the bonds.
- For paper bonds: Use Form 4000 to reissue (re-register) the bond in their own names (in new electronic form), or Form 1522 to redeem the bonds.
If the beneficiary has a TreasuryDirect account, the security will be transferred to that account. If the beneficiary does not have an account, he or she may establish an account. Alternatively, a beneficiary named on a savings bond may request redemption.
How to transfer an iBond gift? ›
Yes, you can transfer I bonds to someone else. But you'll both need TreasuryDirect accounts. If you have a newly purchased I bond, you must wait five days before transferring it. Then, you can initiate the transfer using the Transfer Securities option on the Manage My Securities section of your account.
Will I get a 1099 from TreasuryDirect? ›
If you invest in TreasuryDirect, your 1099 will be available electronically and you can print the form from your account. 1099 forms are available by January 31 of each tax year.
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.
Who pays taxes on a transferred savings bond? ›
You are the original owner.
You no longer own it. If you have not been paying tax on the bond's interest every year, you now owe tax on all the interest the bond earned while you owned it. You will not owe tax on interest the bond earns for the new owner.
Can I donate savings bonds? ›
Savings bonds can't be donated directly to a charitable organization during your lifetime, but you can use your bonds to support our mission in these ways: Leave the bonds to UMass Chan Medical School through your will.
Are Treasury bonds a good gift? ›
Savings bonds make excellent financial gifts because they can grow steadily by earning interest. Treasury securities are types of debt instruments that include Treasury bills, notes, bonds, Treasury inflation-protected securities (TIPS), and savings bonds.
Does it matter whose social security number is on a savings bond? ›
A Social Security Number must be provided. If this is a gift bond purchase, use the owner's name and SSN, if available. If the owner's SSN is not available, use the purchaser's SSN. Use of the purchaser's SSN does not confer rights to the bond or require interest reporting.
Are savings bonds transferable upon death? ›
If a surviving co-owner or beneficiary is named on the savings bond, the bond goes directly to that person. It does not become part of the estate of the person who died. If you are the named co-owner or beneficiary who inherits the bond, you have different options for paper EE or I bonds and paper HH bonds.
