# Singapore Savings Bonds explained: step-up interest, average return, limits and redemption

> How Singapore Savings Bonds work, how the step-up coupons and the average annual return differ, how much interest you earn if you hold for 1 to 10 years, the investment limits, and when you can apply and redeem.

- Tool: [Singapore Savings Bonds Calculator](https://toolsg.com/en/ssb-calculator)
- Language: en (available: en, zh, ms, ta)
- Last verified against official sources: 2026-10-20
- Source site: ToolSG — a planning guide, not official or financial advice. Cite the agencies listed under Sources.

## Key figures at a glance

| Fact | Value | Source |
| --- | --- | --- |
| Minimum investment | $500, in multiples of $500 | [MAS](https://www.mas.gov.sg/bonds-and-bills/singapore-savings-bonds) |
| Individual holdings limit | $200,000 across all Savings Bonds — A limit on what one person can hold in total, not a limit per issue. | [MAS issue notice GX26110X](https://www.mas.gov.sg/-/media/mas/sgs/sgs-announcements-pdf/ssb-pdf/2026/gx26110x-eapps.pdf) |
| Tenor and early exit | Up to 10 years; redeem in any month with no penalty | [MAS](https://www.mas.gov.sg/bonds-and-bills/singapore-savings-bonds) |
| Interest payments | Every six months — For the November 2026 issue, on 1 November and 1 May (first payment 1 May 2027). | [MAS issue notice GX26110X](https://www.mas.gov.sg/-/media/mas/sgs/sgs-announcements-pdf/ssb-pdf/2026/gx26110x-eapps.pdf) |
| November 2026 issue (SBNOV26, GX26110X) | Coupons 1.67% in year 1 rising to 3.08% in year 10; average return 2.45% over 10 years — The calculator's sample issue. Issued 2 November 2026; applications for individuals close 9.00 pm on 27 October 2026. | [MAS issue notice GX26110X](https://www.mas.gov.sg/-/media/mas/sgs/sgs-announcements-pdf/ssb-pdf/2026/gx26110x-eapps.pdf) |
| Application and redemption window | Opens on the 1st business day of the month; closes 9.00 pm on the 4th last business day — Redemption proceeds arrive by the 2nd business day of the next month. | [MAS](https://www.mas.gov.sg/bonds-and-bills/singapore-savings-bonds) |

## Investing in a Savings Bond: step by step

Each month MAS announces a new issue with its own coupon table. Check the latest before you apply.

1. **Read the latest issue's rates** (Early each month) — MAS publishes the coupon for each year and the average annual return. Paste them into the calculator to see your own numbers.
2. **Decide how long to hold** (Before applying) — The longer you hold, the higher the average return, because the coupons step up. You can exit any month.
3. **Apply through your bank** (Before 9.00 pm on the 4th last business day) — Apply through DBS/POSB, OCBC or UOB, using cash or SRS funds. Tools: [SRS Contribution Calculator](https://toolsg.com/en/srs-contribution-calculator)
4. **Collect interest every six months** (On the interest dates) — Interest is credited to your bank account. It is not reinvested into the bond.
5. **Redeem when you want to** (Between the 1st business day and the 4th last business day of a month) — Proceeds arrive by the 2nd business day of the next month. A bond that matures is redeemed automatically.

## How a Savings Bond works

A Singapore Savings Bond (SSB) is a government bond for individuals. You invest from **$500**, hold it for up to **10 years**, and can redeem in **any month without penalty**. The interest rises the longer you hold it, which is why it is called a step-up bond.

## Coupon and average return

Each issue has two sets of numbers:

- **Coupon**: the interest rate for each year you hold the bond.
- **Average annual return**: the compounded average over the years you have held it, which is the number to compare with other savings.

The November 2026 issue (SBNOV26, code GX26110X) is the sample used by the calculator:

| Year held | Coupon | Average return if held to end of year |
| --- | --- | --- |
| 1 | 1.67% | 1.67% |
| 2 | 2.00% | 1.83% |
| 3 | 2.19% | 1.95% |
| 4 | 2.35% | 2.05% |
| 5 | 2.49% | 2.13% |
| 6 | 2.61% | 2.21% |
| 7 | 2.70% | 2.27% |
| 8 | 2.79% | 2.33% |
| 9 | 2.91% | 2.39% |
| 10 | 3.08% | 2.45% |

## How much interest you earn

Interest for each year is the principal times that year's coupon. For $10,000:

| Held for | Total interest | Total received | Average return |
| --- | --- | --- | --- |
| 1 year | $167 | $10,167 | 1.67% |
| 5 years | $1,070 | $11,070 | 2.13% |
| 10 years | $2,479 | $12,479 | 2.45% |

Interest is paid every six months and is not reinvested into the bond, so the cash totals above are the simple sum of the yearly coupons. The average return is a compounded measure, which is why it is not the same as total interest ÷ principal ÷ years.

## Limits

- **Minimum**: $500, in multiples of $500.
- **Holdings limit**: $200,000 across all the Savings Bonds one person holds, not per issue.
- Only individuals can apply. You can use cash or SRS money.

## When you can apply and redeem

| Action | Window |
| --- | --- |
| Apply for the new issue | From 6.00 pm on the 1st business day of the month to 9.00 pm on the 4th last business day |
| Redeem a bond | From the 1st business day to the 4th last business day |
| Receive redemption proceeds | By the 2nd business day of the next month |

> **Tip:** Savings Bonds are not for money you need this week, because redemption proceeds arrive only in the following month. Keep an emergency fund in an account you can use immediately.

## Common mistakes

- **Treating $200,000 as a per-issue cap.** It is a total holdings limit.
- **Comparing the year-1 coupon with other rates.** Compare average returns for the period you will hold.
- **Using last month's issue.** Each month has new rates. Paste the current coupons into the calculator.
- **Expecting same-day cash.** Redemption takes until the next month.
- **Assuming interest compounds in the bond.** It is paid out every six months.

## Related tools

- [SRS contribution calculator](https://toolsg.com/en/srs-contribution-calculator) — SRS money can fund Savings Bonds.
- [Compound interest calculator](https://toolsg.com/en/compound-interest-calculator) — compare growth if you reinvest the interest.
- [Income tax calculator](https://toolsg.com/en/income-tax-calculator) — the tax picture for your savings.

## Frequently asked questions

**What is the 10-year average return for SBNOV26?**

2.45% p.a. if held 10 years. Year-1 coupon is 1.67%. $10,000 held 10 years receives $2,479 of interest.

**Do I lose money if I redeem early?**

No. MAS returns principal plus accrued interest. You simply miss later step-up coupons.

**Is interest compounded inside the bond?**

No. Coupons are paid out every six months. The average-return column is a MAS compound average of the coupon path, not automatic reinvestment.

**What is the minimum investment?**

$500, in multiples of $500, up to $200,000 in total across all Savings Bonds you hold (the individual holdings limit).

**Can I model a future issue?**

Yes. Paste ten coupon percentages from the MAS announcement. Averages are then estimated geometrically.

**Is this the same as the compound-interest calculator?**

No. That tool is a generic compounding formula. This one uses SSB coupon tables and MAS hold-period averages.

**When is interest paid?**

Every six months on the issue’s payment dates (for SBNOV26, 1 May and 1 November).

**Is this MAS advice?**

No. Confirm on the Singapore Savings Bonds website. Coupons can differ each month.


## Sources

- [MAS — Singapore Savings Bonds](https://www.mas.gov.sg/bonds-and-bills/singapore-savings-bonds)
- [MAS — Announcement of Savings Bond GX26110X (SBNOV26)](https://www.mas.gov.sg/-/media/mas/sgs/sgs-announcements-pdf/ssb-pdf/2026/gx26110x-eapps.pdf)