When it comes to safe, government-backed savings solutions, State Savings Ireland is hard to beat.
Offered by the National Treasury Management Agency (NTMA) and administered through An Post, these products are 100% guaranteed by the Irish State, free from fees, and, in many cases, tax‑exempt.
In this guide, we’ll explore the main State Savings products—Deposit Accounts, Savings Bonds, Savings Certificates, Instalment Savings, National Solidarity Bonds, and Prize Bonds—so you can make informed decisions about how to grow your money securely.
What is State Savings Ireland?
State Savings Ireland is the brand name for a range of savings products backed by the Irish government.
Through it, the NTMA offers fixed- and variable-rate options that savers can purchase via statesavings.ie, post offices, by post, or phone.
Features Of State Savings
- Fully State‑guaranteed: Your money is a direct obligation of the Irish Government—no risk, no surprises
- Zero fees or commissions: What you deposit is what you get back, plus interest
- Tax advantages: Many products are exempt from Deposit Interest Retention Tax (DIRT)
State Savings Products Available
10-Year National Solidarity Bond
This long-term product offers the highest guaranteed return of all State Savings products—22% over 10 years, equivalent to an AER of 2.01%.
It’s ideal for savers with long-term goals, like retirement or children’s education.
10-Year National Solidarity Bond Examples
- 22% total return
- Annual Equivalent Rate = 2.01%
- Tax Free
- You are locking the money away for 10 years
- If you redeem early you will only get partial interest
| Principal | Interest Earned | Tax Charged | Returns |
| €1,000 | €220 | €0 | €1,220 |
| €5,000 | €1,100 | €0 | €6,100 |
| €10,000 | €2,200 | €0 | €12,200 |
| €20,000 | €4,400 | €0 | €24,400 |
| €50,000 | €11,000 | €0 | €61,000 |
| €100,000 | €22,000 | €0 | €122,000 |
5 Year Savings Certificates
The 5‑Year Savings Certificate from State Savings Ireland is a fixed-term, tax-free investment product that offers a secure way to grow your money over a medium-term period.
With a total return of 9% over 5 years, it delivers an Annual Equivalent Rate (AER) of 1.74%, and the 100% state guarantee and exemption from Deposit Interest Retention Tax (DIRT).
This is suited cautious savers seeking a predictable return without the risk associated with market-linked investments.
Funds must be held for the full term to earn the full interest, though early redemption is possible, typically resulting in a reduced return.
It’s ideal for individuals planning ahead for medium-term financial goals like education costs, a house deposit, or a future family expense.
5 Year Savings Certificates Examples
- 9% total return
- Annual Equivalent Rate = 1.74%
- Tax Free
- You are locking the money away for 5 years
- If you redeem early, you will only get partial interest
| Principal | Interest Earned | Tax Charged | Returns |
| €1,000 | €90 | €0 | €1,090 |
| €5,000 | €450 | €0 | €5,450 |
| €10,000 | €900 | €0 | €10,900 |
| €20,000 | €1,800 | €0 | €21,800 |
| €50,000 | €4,500 | €0 | €54,500 |
| €100,000 | €9,000 | €0 | €109,000 |
3 Year Savings Bond
The 3-Year Savings Bond from State Savings Ireland is a short- to medium-term, tax-free savings product designed for individuals seeking a secure, fixed return over a manageable timeframe.
Offering a total return of 4% over 3 years, it equates to an Annual Equivalent Rate (AER) of 1.32%, and, like other State Savings products, it is fully guaranteed by the Irish government and exempt from Deposit Interest Retention Tax (DIRT).
This makes it particularly appealing to conservative savers looking for a better return than standard bank deposits, without the complexity or risk of investment markets.
While the bond must be held for the full three years to receive the total interest, it can be encashed early with reduced returns.
Overall, it’s a strong option for savers planning for near-term goals like holidays, weddings, or small home improvements.
3 Year Savings Bonds Examples
- 4% total return
- Annual Equivalent Rate = 1.32%
- Tax Free
- You are locking the money away for 3 years
- If you redeem early, you will only get partial interest
| Principal | Interest Earned | Tax Charged | Returns |
| €1,000 | €40 | €0 | €1,040 |
| €5,000 | €200 | €0 | €5,200 |
| €10,000 | €400 | €0 | €10,400 |
| €20,000 | €800 | €0 | €20,800 |
| €50,000 | €2,000 | €0 | €52,000 |
| €100,000 | €4,000 | €0 | €104,000 |
State Savings Regular Saving Products Available
State Savings Instalment Savings & Childcare Plus
The State Savings Instalment Savings and child benefit savings are unique savings product designed for disciplined savers who prefer to build their savings gradually over time.
It allows you to make monthly contributions for 12 months, with each payment accumulating towards a lump sum that then grows over a total 6-year term (1 year of paying in plus 5 years of holding) for instalment savings or 5 years for Childcare Plus savings.
Over the full term, it offers a 10% total tax-free return, equivalent to an Annual Equivalent Rate (AER) of 1.75%, and like other State Savings products, it’s fully guaranteed by the Irish Government and exempt from Deposit Interest Retention Tax (DIRT).
This makes it an ideal choice for anyone looking to establish a regular saving habit with the peace of mind that their money is both secure and earning a competitive, tax-free return.
However, to achieve the full return, funds must remain in place for the entire term; early withdrawals are allowed but will significantly reduce the final payout.
Instalment Savings or Childcare Plus Example
- 10% total return
- Annual Equivalent Rate = 1.75%
- Tax Free
- You are locking the money away for 6 years
- If you redeem early, you will only get partial interest
- Each year you can renew your savings plan
| Detail | Amount / Info |
| Monthly Contribution | €100 |
| Contribution Period | 12 months |
| Total Contributions | €1,200 |
| Accumulation Period | 5 additional years (total term: 6 years) |
| Total Return (10% tax-free) | €1,320 after 6 years |
| Tax-Free Profit | €120 |
Other State Savings Products
Deposit Account
This is a flexible, demand deposit account that allows savers to access their funds easily while earning a variable interest rate.
In 2025 it pays 0.75% annually (gross), and is subject to DIRT.
This option is suitable for those looking for safety and liquidity without committing to a fixed term. It is comparable to other fixed interest bank accounts from other providers.
Prize Bonds
Prize Bonds are a unique savings product offered by the State in Ireland.
Unlike traditional savings accounts that pay interest, Prize Bonds give you the chance to win tax-free cash prizes in regular draws instead.
Here’s a quick overview of how they work.
| Category | Details |
| What are Prize Bonds? |
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| Safety |
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| Tax |
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| Who might Prize Bonds suit? |
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| Returns |
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Other Options to state savings
Beyond State Savings, Irish savers have a variety of alternatives, each with different levels of risk, return, and flexibility.
Bank Saving Accounts
Bank deposit accounts, including regular savings and fixed-term deposit accounts, offer liquidity and are covered up to €100,000 by the Deposit Guarantee Scheme, but rates are often low—typically 0.01% to 2.5% AER.
For checking best value in lump sum deposit accounts, check the CCPC here: https://www.ccpc.ie/consumers/money-tools/lump-sum-deposits-comparison/
For checking best value in regular saving accounts, check the CCPC here: https://www.ccpc.ie/consumers/money-tools/regular-savings-comparison/
Unit Linked Saving Accounts
For those seeking potentially higher returns, unit-linked investment funds from insurers like Irish Life, New Ireland, Standard Life, Zurich and Aviva let you invest in different funds.
With diversified funds of shares, bonds, or property, with expected returns of 3–7% per year—but these carry risk of capital loss and annual management charges.
Unit-linked savings plans can offer the potential for higher returns while helping you build a disciplined, long-term investment strategy tailored to your goals.
Our team of qualified financial advisors is here to guide you through the options, assess your risk appetite, and help you choose the right plan for your needs.
👉 Contact us today for a free, no-obligation consultation and see how unit-linked savings could help you secure your financial future.
📞 Call us at 01 853 2727 — we’d love to hear from you!
Regular Saving Example Comparing Deposit, State Savings & Unit Linked
| Example: Regular Saving €250 per month | ||||
| Year | Med/High Risk (Net) Level 6 | Low/Med (Net) Level 3 | States Savings (Certs & Bonds)* | Reg Saving Bank Account 1.5% AER |
| 1 | €2,948 | €2,892 | €0 | €3,045 |
| 5 | €16,490 | €15,581 | €0 | €15,695 |
| 10 | €36,520 | €32,507 | €3,660 | €32,615 |
| 15 | €61,200 | €50,947 | €22,289 | €50,856 |
| 20 | €90,901 | €70,932 | €61,711 | €70,520 |
| ROI | €30,901 | 52% | €10,932 | 15% | €10,711 | 21% | €10,520 | 18% |
| *Assuming a total investment of €51,000 spread across 10-year, 5-year, and 3-year State Savings products over a 20-year period. Upon maturity, each investment is reinvested in the next available product — the 10-year bond transitions into a 5-year certificate, followed by a 3-year bond. Figures above are after net after fees and taxes. | ||||
Lump Sum Saving Example Comparing Deposit, State Savings & Unit Linked
| Example: Lump Sum €60,000 | ||||
| Year | Med/High Risk (Net) Level 6 | Low/Med (Net) Level 3 | States Savings (Certs & Bonds)* | Lump Sum Bank Account |
| 1 | €58,931 | €57,995 | €0 | €61,206 |
| 5 | €67,870 | €64,525 | €0 | €66,277 |
| 10 | €78,094 | €70,416 | €73,200 | €73,211 |
| 15 | €90,217 | €77,113 | €0 | €80,871 |
| 20 | €103,878 | €84,331 | €89,304 | €89,332 |
| ROI | €43,878 | 42% | €24,331 | 41% | €29,304 | 49% | €29,332 | 33% |
| *Assuming a total investment of €60,000 spread across 2 x 10-year State Savings products over a 20-year period. Upon maturity, each investment is reinvested in the next available product — the 10-year bond transitions into another 10 year bond. Figures above are after net after fees and taxes. | ||||
Other Saving Options
Alternatively, exchange-traded funds (ETFs) and direct share investments offer growth potential at lower fees but require understanding of markets and tolerance for volatility.
Lastly, government or corporate bonds, available via brokers, can provide fixed income but expose savers to market and interest-rate risk if sold before maturity.
Choosing the right option depends on your financial goals, time horizon, and comfort with risk.
This guide is for informational purposes only and does not constitute financial advice. For personalised advice, consult a Qualified Financial Adviser.
Frequently Asked Questions about State Savings Ireland
What are State Savings Ireland products?
State Savings Ireland products are savings options backed by the Irish government, offering 100% security, tax advantages, and no fees. They include fixed-term bonds, certificates, instalment savings plans, and Prize Bonds.
Are State Savings products safe?
Do I pay tax on State Savings products?
Most State Savings products, including Savings Bonds, Savings Certificates, Instalment Savings, and Prize Bonds, are exempt from Deposit Interest Retention Tax (DIRT), so your returns are tax-free.
What happens if I need to access my money early?
You can redeem your funds early from fixed-term products like Savings Bonds or Certificates, but you will only receive partial interest. The full advertised return is only available if you hold the product for its full term.
How do Prize Bonds work?
Prize Bonds don’t pay interest. Instead, you’re entered into weekly prize draws for tax-free cash prizes, ranging from €75 to €500,000. Your initial investment is fully guaranteed, and you can cash in your bonds anytime.
Which State Savings product offers the highest return?
Currently, the 10-Year National Solidarity Bond offers the highest guaranteed return of 22% over 10 years, equivalent to an annual equivalent rate (AER) of 2.01% — completely tax-free.
How can I buy State Savings products?
You can purchase State Savings products online at statesavings.ie, at your local post office, by phone, or by post.
What are the alternatives to State Savings?
Alternatives include bank savings accounts, which offer liquidity but often lower rates; unit-linked investment funds, which carry risk but potential higher returns; ETFs or shares; and bonds purchased through brokers.
Each has different risk and return profiles.
Who should consider State Savings?
State Savings products are ideal for conservative savers who prioritise security, predictable returns, and tax-free income — for example, those saving for retirement, children’s education, or a future expense.
Who should consider State Savings?
State Savings products are ideal for conservative savers who prioritise security, predictable returns, and tax-free income — for example, those saving for retirement, children’s education, or a future expense.
Where can I get advice on the best savings plan for me?
Our team of Qualified Financial Advisors is ready to help you choose the best savings or investment plan tailored to your goals. 👉 Contact us todahttps://greenwayfinancialadvisors.ie/contact-us/y for a free, no-obligation consultation.
