Money Management

[[{“value”:”Certificate of deposit (CD) rates are strong right now — as high as 4.55% APY. But how do you know when locking your money up is the right choice?Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. Here are four signs you may not want to go with a CD — and why opening a high-yield savings account (HYSA) is a better option.1. You’re building an emergency fundAn emergency fund, by definition, needs to be accessible during an emergency. But with a CD, your money’s locked up for a fixed term — anywhere from a few months to several years. If you pull your cash out early, you’ll likely be forced to pay an early withdrawal penalty, canceling out all or some of your earnings.A high-yield savings account, on the other hand, gives you access to your money whenever you need it. You’ll still earn a competitive interest rate — as high as 4.40% APY — but you won’t be penalized for using your savings when you need it most.2. You’re saving for a short-term goalIf you’re saving for a vacation or a large purchase, a CD can be a decent option. But if your timeline changes and you need your money sooner, a CD will slow you down.That’s because once again, you’ll be forced to pay an early withdrawal penalty — or delay your plans. But you can get a comparable return on your money with an HYSA, letting you build toward your savings goal while being able to access your money at any time.Ready to level up your savings? Open one of our favorite high-yield savings accounts today and earn up to 4.40% APY now.3. You’re starting with a small amountThe highest CD rates often come with high minimum deposits — $500, $1,000 or more. If you’re starting small or want to grow your savings gradually, that can be a barrier.HYSAs are easier to access, with many letting you open an account with $0 and contribute as you please. Some even include features like round-up transfers or automatic deposits to help build your balance.4. You want to keep contributing more to your savingsOnce you deposit money into a CD, you usually can’t add more money until the CD matures. That’s a problem if you’re saving money gradually and want to keep contributing to your investment over time.An HYSA lets you add (and withdraw) funds whenever you want. Whether it’s through recurring deposits or an unexpected windfall, you can grow your savings at your own pace and get a strong return all the while.Keep your money flexible with an HYSA todayCDs can make sense if you’re parking a lump sum that you won’t need for a while. But for everyday savings, short-term goals, and gradual investments, an HYSA is the better fit.What are you waiting for? Open one of our favorite HYSAs today to start earning more than 10x the national average APY on your savings.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.”}]] [[{“value”:”

Certificate of deposit (CD) rates are strong right now — as high as 4.55% APY. But how do you know when locking your money up is the right choice?

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

Here are four signs you may not want to go with a CD — and why opening a high-yield savings account (HYSA) is a better option.

1. You’re building an emergency fund

An emergency fund, by definition, needs to be accessible during an emergency. But with a CD, your money’s locked up for a fixed term — anywhere from a few months to several years. If you pull your cash out early, you’ll likely be forced to pay an early withdrawal penalty, canceling out all or some of your earnings.

A high-yield savings account, on the other hand, gives you access to your money whenever you need it. You’ll still earn a competitive interest rate — as high as 4.40% APY — but you won’t be penalized for using your savings when you need it most.

2. You’re saving for a short-term goal

If you’re saving for a vacation or a large purchase, a CD can be a decent option. But if your timeline changes and you need your money sooner, a CD will slow you down.

That’s because once again, you’ll be forced to pay an early withdrawal penalty — or delay your plans. But you can get a comparable return on your money with an HYSA, letting you build toward your savings goal while being able to access your money at any time.

3. You’re starting with a small amount

The highest CD rates often come with high minimum deposits — $500, $1,000 or more. If you’re starting small or want to grow your savings gradually, that can be a barrier.

HYSAs are easier to access, with many letting you open an account with $0 and contribute as you please. Some even include features like round-up transfers or automatic deposits to help build your balance.

4. You want to keep contributing more to your savings

Once you deposit money into a CD, you usually can’t add more money until the CD matures. That’s a problem if you’re saving money gradually and want to keep contributing to your investment over time.

An HYSA lets you add (and withdraw) funds whenever you want. Whether it’s through recurring deposits or an unexpected windfall, you can grow your savings at your own pace and get a strong return all the while.

Keep your money flexible with an HYSA today

CDs can make sense if you’re parking a lump sum that you won’t need for a while. But for everyday savings, short-term goals, and gradual investments, an HYSA is the better fit.

What are you waiting for? Open one of our favorite HYSAs today to start earning more than 10x the national average APY on your savings.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

“}]] Read More 

[[{“value”:”Image source: Getty Images
So you’ve got $100,000 in cash… Now what?Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. You could blow it on a brand-new Tesla, rent a private island for a week, or order avocado toast for every meal for the next 20 years. (No judgment.)But let’s be honest: That money took time and effort to earn. If you want it to last (or better yet, grow), you need a smarter plan than just leaving it in a regular checking or savings account.Here are four smart moves for putting your $100,000 to work.1. Open a high-yield savings accountLet’s start with the obvious: Don’t leave $100,000 in a checking account earning 0.01% interest.It’s way better off in a high-yield savings account (HYSA) earning maximum interest.Right now, top online banks are offering 4.10% – 4.40% APY for high-yield accounts. That’s about $350 per month you can collect in interest — just for parking your money in a better spot.Your money is very safe in an HYSA. Accounts are FDIC insured (up to $250,000 per depositor), and most banks don’t charge monthly fees or have minimum balance requirements. You can also access your cash anytime.Even if you only move $50,000 into an HYSA, you could make an easy $2,000 a year in passive income, with no additional risk. It’s a great way to earn high interest, without locking up any of your cash.Put your savings to work ASAP. Compare today’s top high-yield savings accounts and start earning up to 4.40% APY.2. Set up a CD ladderA certificate of deposit (CD) is when you lock in your money for a set period of time, with a guaranteed return. And right now, many banks are offering 4.00% APY for short-term CDs.But instead of dumping all your $100,000 into a single CD, consider spreading it across multiple CDs with a “laddering” strategy.Here’s what a potential CD ladder would look like:Split your $100,000 into four equal parts ($25,000 each)Open CDs with staggered terms: 6, 12, 18, and 24 monthsAs each CD matures, you can withdraw that $25,000, or roll it into a new 24-month CDThe goal is to lock in today’s high rates, but also keep cash flowing back to you regularly.A CD ladder works especially well if you’re saving for short-term goals like a home down payment, new car, or an epic vacation.We monitor the top banks so you don’t have to. Check out the best CD rates for May 2025 and start building your ladder today3. Invest for long-term growthIf your emergency fund is solid and you don’t have any short-term saving goals, investing most of your cash is the smartest thing you can do.Let’s say you invest $50,000 into a low-cost S&P 500 index fund. Here’s what that could grow into, assuming 8% average annual returns:Years InvestedFuture Value10 years$107,94620 years$233,04730 years$503,15540 years$1,086,226Data source: Author’s calculations.And if you invested all $100,000? Double those figures above.Einstein said that compound interest is the eighth wonder of the world. I agree, it’s incredible.A smart first move is to open a tax-advantaged IRA — either traditional or Roth — depending on your income and retirement goals. This lets you grow part of your money tax-free or tax-deferred, which can make a huge difference over time.Once you’ve maxed out your IRA contribution for the year, putting the rest into a low-fee online brokerage account gives you the flexibility to invest in stocks, ETFs, or bonds without contribution limits.Just remember: Markets go up and down. But staying invested over decades is one of the best ways to build wealth.Want some help planning for retirement? A short questionnaire from our partner, SmartAsset, helps match you with up to three fiduciary financial advisors, each legally bound to work in your best interest.4. Keep some cash on hand — strategicallyWhile it’s tempting to put every dollar to work, it’s smart to keep a cash cushion for life’s curveballs.A good rule of thumb is to keep three to six months of expenses in cash (and in a high-yield account). For most people, that’s around $20,000 to $30,000.For big upcoming purchases like buying a rental property or launching a business, keep those savings liquid or in short-term accounts like CDs.But once you’ve set aside what you need short term, you can confidently invest the rest with a long-term mindset.The bottom lineHaving $100,000 in cash is a great problem to have. You worked hard to earn those dollars. Now it’s time to make those dollars work hard for you.Alert: highest cash back card we’ve seen now has 0% intro APR into 2026
This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!
Click here to read our full review for free and apply in just 2 minutes. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.Joel O’Leary has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Tesla. The Motley Fool has a disclosure policy.”}]] [[{“value”:”

So you’ve got $100,000 in cash… Now what?

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

You could blow it on a brand-new Tesla, rent a private island for a week, or order avocado toast for every meal for the next 20 years. (No judgment.)

But let’s be honest: That money took time and effort to earn. If you want it to last (or better yet, grow), you need a smarter plan than just leaving it in a regular checking or savings account.

Here are four smart moves for putting your $100,000 to work.

1. Open a high-yield savings account

Let’s start with the obvious: Don’t leave $100,000 in a checking account earning 0.01% interest.

It’s way better off in a high-yield savings account (HYSA) earning maximum interest.

Right now, top online banks are offering 4.10% – 4.40% APY for high-yield accounts. That’s about $350 per month you can collect in interest — just for parking your money in a better spot.

Your money is very safe in an HYSA. Accounts are FDIC insured (up to $250,000 per depositor), and most banks don’t charge monthly fees or have minimum balance requirements. You can also access your cash anytime.

Even if you only move $50,000 into an HYSA, you could make an easy $2,000 a year in passive income, with no additional risk. It’s a great way to earn high interest, without locking up any of your cash.

2. Set up a CD ladder

A certificate of deposit (CD) is when you lock in your money for a set period of time, with a guaranteed return. And right now, many banks are offering 4.00% APY for short-term CDs.

But instead of dumping all your $100,000 into a single CD, consider spreading it across multiple CDs with a “laddering” strategy.

Here’s what a potential CD ladder would look like:

1. Split your $100,000 into four equal parts ($25,000 each)
2. Open CDs with staggered terms: 6, 12, 18, and 24 months
3. As each CD matures, you can withdraw that $25,000, or roll it into a new 24-month CD

The goal is to lock in today’s high rates, but also keep cash flowing back to you regularly.

A CD ladder works especially well if you’re saving for short-term goals like a home down payment, new car, or an epic vacation.

We monitor the top banks so you don’t have to. Check out the best CD rates for May 2025 and start building your ladder today

3. Invest for long-term growth

If your emergency fund is solid and you don’t have any short-term saving goals, investing most of your cash is the smartest thing you can do.

Let’s say you invest $50,000 into a low-cost S&P 500 index fund. Here’s what that could grow into, assuming 8% average annual returns:

And if you invested all $100,000? Double those figures above.

Einstein said that compound interest is the eighth wonder of the world. I agree, it’s incredible.

A smart first move is to open a tax-advantaged IRA — either traditional or Roth — depending on your income and retirement goals. This lets you grow part of your money tax-free or tax-deferred, which can make a huge difference over time.

Once you’ve maxed out your IRA contribution for the year, putting the rest into a low-fee online brokerage account gives you the flexibility to invest in stocks, ETFs, or bonds without contribution limits.

Just remember: Markets go up and down. But staying invested over decades is one of the best ways to build wealth.

Want some help planning for retirement? A short questionnaire from our partner, SmartAsset, helps match you with up to three fiduciary financial advisors, each legally bound to work in your best interest.

4. Keep some cash on hand — strategically

While it’s tempting to put every dollar to work, it’s smart to keep a cash cushion for life’s curveballs.

A good rule of thumb is to keep three to six months of expenses in cash (and in a high-yield account). For most people, that’s around $20,000 to $30,000.

For big upcoming purchases like buying a rental property or launching a business, keep those savings liquid or in short-term accounts like CDs.

But once you’ve set aside what you need short term, you can confidently invest the rest with a long-term mindset.

The bottom line

Having $100,000 in cash is a great problem to have. You worked hard to earn those dollars. Now it’s time to make those dollars work hard for you.

Alert: highest cash back card we’ve seen now has 0% intro APR into 2026

This credit card is not just good – it’s so exceptional that our experts use it personally. It features a 0% intro APR for 15 months, a cash back rate of up to 5%, and all somehow for no annual fee!

Click here to read our full review for free and apply in just 2 minutes.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
Motley Fool Money does not cover all offers on the market. Editorial content from Motley Fool Money is separate from The Motley Fool editorial content and is created by a different analyst team.Joel O’Leary has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Tesla. The Motley Fool has a disclosure policy.

“}]] Read More