Want to leave your kids an inheritance? Start here


Any money you choose not to reinvest, consider putting into a high-yield savings account. Because cash needs are always present, holding your money in one of these accounts prove to be one of the best investments for young adults or anyone else wanting their cash to earn some interest.

In fact, holding your money in one of these accounts can really make a difference over time. Nationally, the average interest rate for savings accounts currently stands at 0.09% APY. Meanwhile, some high-yield savings accounts pay many multiples of that rate. 

To give you a sense of how high-yield savings accounts can perform compared to the national average rates, imagine depositing $10,000 into an account paying 0.10%. This account will earn $10 of interest in the first year while an account paying 1.50% will pay 15x more, or $150.

Rates might be low right now, but when they do eventually rise, high-yield savings accounts will likely increase their rates to remain competitive for gaining deposits. That means rates will likely head north, providing you greater risk-free return on your cash.

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