Welcome to our I Bond Calculator, designed to help you estimate the future value of your I Bonds investment. I Bonds are a type of savings bond issued by the U.S. Department of the Treasury, known for their inflation-adjusted returns.

**Formula:** The future value (FV) is calculated using the formula: ��=�×(1+�100)�*F**V*=*P*×(1+100*r*)*t* Where:

- �
*P*is the principal amount, - �
*r*is the annual interest rate, and - �
*t*is the number of years.

**How to Use:**

- Enter the principal amount in the designated field.
- Input the annual interest rate.
- Specify the number of years for which you want to calculate the future value.
- Click the “Calculate” button to get the result.

**Example:** Suppose you invest $1,000 in an I Bond with an annual interest rate of 3% for 5 years. Using the calculator, the future value would be calculated as follows:

- Principal Amount (�
*P*): $1,000 - Annual Interest Rate (�
*r*): 3% - Number of Years (�
*t*): 5

��=1000×(1+3100)5*F**V*=1000×(1+1003)5

**FAQs:**

*What is the I Bond Calculator used for?*The I Bond Calculator helps estimate the future value of an I Bond investment over a specified period.*How often is the interest on I Bonds compounded?*Interest on I Bonds is compounded semi-annually.*Can I use the calculator for other types of bonds?*This calculator is specifically designed for I Bonds; using it for other bonds may not provide accurate results.*Is the calculated future value guaranteed?*No, the calculated future value is an estimate based on the provided inputs.*What happens if I redeem the I Bond before maturity?*If you redeem the I Bond before five years, you will lose the last three months’ interest.*Can I use the calculator for historical I Bond rates?*No, the calculator is for projecting future values and does not consider historical rates.*Are there any taxes on the calculated future value?*Yes, I Bond interest is subject to federal income tax but exempt from state and local taxes.*Can I calculate the future value for multiple I Bonds together?*The calculator is designed for individual bonds; calculating multiple bonds should be done separately.*What is the maximum limit for purchasing I Bonds?*The annual purchase limit for I Bonds is $10,000 per Social Security Number.*Is the calculator suitable for educational purposes?*Yes, the I Bond Calculator is a valuable tool for educational purposes, helping users understand the potential future value of their investments.

**Conclusion:** Utilize our I Bond Calculator to make informed decisions about your investments. Understanding the future value of your I Bonds can contribute to effective financial planning. Take advantage of this tool and make the most out of your savings bonds investment.