Had a query on buying I bonds - I bought one last year in November for the full amount …So, Am I allowed to buy for this year again now.It says calendar year and I wasnt sure if it meant $10k for Jan to Dec 2022; and $10k for Jan 2023-Dec 2023
Or if the 1 year limitation is from the day I actually bought the bond ( in which case I can not buy till November 2023)
Thank you,
Charlie
Hey Charlie -
google is your friend!!!
Here you go → Buying savings bonds — TreasuryDirect
In any one calendar year, you may buy up to $10,000 in Series EE electronic savings bonds AND up to $10,000 in Series I electronic savings bonds for yourself as owner of the bonds. That is in addition to the amount you can spend on buying savings bonds for a child or as gifts.
'38Packard
==> Already bought mine for 2023
Thanks 38Packard…Sorry, the main query I had was with regards to what the “calendar year” meant in this situation…And I was not able to to see this in their website.
Like I said, I bought the 2022 allowance in November 2022.
Am I allowed to buy the 2023 allowance now in Jan 2023; or Does the 365 days limitation mean I need to wait till November 2023 (Since I bought my 2022 allowance only in November 2022)?
I think I should be okay to buy as calendar year would generally mean Jan to Dec…but I did not want to assume it…I called to verify but no one is picking up the phone in treasury direct.
Thank you,
Charlie
Jan 1 to Dec 31. That is the definition of a “calendar year”.
Any other meaning of the term “year” would NOT be a “calendar year”. The federal “fiscal year” is Oct 1 to Sept 30, for example. It is a “12 months/year”, but NOT a “calendar year”.
Thank you so much! I didn’t want to err and felt best to clarify. Thanks for confirming that.
I bought my I bonds limit in Nov 2021 and then in January 2022. Also bought my limit in 2023.
The month you buy in does not matter.
Cheers!
Murph
BL Home Fool
Awesome, thank you…and while you are there, can I ask you another question…
I bought the ibonds for my kid on December last date but it settled on Jan 2nd 2023…So, will that be considered as 2023 allocation.
I wish it is far more simpler in the website. I believe I can never err on the IRA as it will simply not allow any more allocation if that year’s contribution is already reached.
I don’t think that is the case with Treasury direct, and so little more hesitant, lest I do something stupid inadvertently.
Thanks for your help.
Charlie
After searching quite a bit, this is what I see…So, I guess it means that since I bought in the end of December, and the settlement date is in Jan 2023, that would have be considered 2023.
If I buy an EE or I Bond at the end of the month, what issue date appears on the bond?
The issue date of your bond is the first day of the month in which the Treasury receives funds for the purchase of the security. For example, if you purchased a savings bond on July 10, the issue date would be July 1. Funds must be received prior to Midnight Eastern Time to be credited for a particular day. If you make a purchase request at the end of the month, your bond’s issue date may be the following month depending upon when funds are received
This is why it is best to buy I-bonds near the end of the month … because you are credited with interest from the first of the month.
You don’t have to guess! Just login to your treasurydirect account, navigate to holdings → I bonds and all your I bonds will appear in the list and you can see the exact issue date for each of them.
Thanks a lot …That definitely helps. Yes, the issue date is 1/1/2023.
Thanks again.
Darn!
In the list above, you can see a mistake I made. I purchased a few separate bonds in different amounts adding up to the $10k limit. That was in case I wanted to redeem only a part of the $10k. I later learned that that is not necessary, you can buy $10k at once and redeem portions of it at will (subject to the normal 1 year/3 month rules).
Regarding your question about effective date of a treasury direct purchase, I really don’t know. However, if you try a purchase and you have already reached your calendar year limit, IIRC, they will tell you and the buy will not go through…and vice-versa.
Cheers!
Murph
BL Home Fool
