UpDate - Vol. 12, No. 25, Page 1
March 25, 1993
Buy multiple bonds!; Campus drive set April 19-29

     The University of Delaware will conduct its U.S. Savings Bond campaign
from April 19-29, and for the first time, employees will be able to
purchase up to four bonds with different owners and with different purchase
prices.
     Employees can choose to have bonds deducted from their first pay or
second pay or have two deductions per month.
     During the campaign, employees may purchase bonds or increase their
current bond allocation through payroll deduction.
     Savings Bonds have a number of attractive features: competitive
interest rate, government guarantee of principal and interest, protection
from loss or theft, exemption of earned interest from state and local
income taxes and the sheltering of earned interest from federal income tax
until funds are withdrawn.
     Interest rates on Series EE bonds are compounded semi-annually.
     A minimum rate of 4 percent is guaranteed on bonds held for five or
more years.
     The interest earned on Savings Bonds purchased in 1990 and beyond can
be used to pay for a child's college or trade school education. This
interest is exempt from federal income tax if the parents' adjusted annual
gross income is less than $68,250. Partial exemptions will also be granted
to parents whose combined incomes range between $68,250 and 98,250
annually.
     Savings Bonds come in denominations that fit every budget-from $100 to
$10,000-and they cost just one-half of face value, so purchase prices start
as low as $50.
     The University purchases bonds from the bank once a month, when the
employee has accumulated a sufficient amount to purchase a bond ($50 for
$100 bond, $100 for $200 bond, etc.).
     Bonds are dated the month of purchase; the effective date for the
first bond issued will be July 1, 1993. Bonds are mailed directly to the
bond-owner by the bank. Payroll deduction provides regular, automatic
savings with no commissions or fees.
     The campaign is the perfect time for employees to consider buying
bonds or increasing their level of participation in the U.S. Savings Bond
Program.
     To obtain U.S. Savings Bonds forms, call Anne Butler, Personnel
Records, telephone 831-1189.
     Employees with questions about the Savings Bond Program should contact
Joyce Dennis, assistant to the director of employee services, telephone
831-2171, or Deborah Dintenfass, director of benefits services, telephone
831-8823.