- If you put $10,000 into a high-yield savings account with a 5.00% APY, you’ll make $500 in interest in a year.
- If you deposit $10,000 into a high-yield savings account with a 5.00% APY at age 20, you’ll earn nearly $80,000 in interest by the time you turn 65.
- The average high-yield savings interest rate is significantly higher than a regular savings account rate (0.45%). Our most popular savings accounts, such as American Express (4.00% Annual Percentage Yield), BrioDirect (5.00% APY), and CIT Bank (4.70% APY), offer up to 5.00% APY.
- The power of compounding interest is optimized when you start saving earlier.
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On This Page
- Key Takeaways
- How much will $10,000 make in a high-yield savings account?
- More details on our most popular high-yield savings accounts
- How much can I earn with our top banks?
- How much could I earn by 65 with $10,000 in a high-yield savings account?
- How to maximize saving $10,000 in a high-yield savings account
- Alternatives to high-yield savings accounts
- FAQ: How much will $10,000 make in a high-yield savings account?
- Related topics
On This Page
- Key Takeaways
- How much will $10,000 make in a high-yield savings account?
- More details on our most popular high-yield savings accounts
- How much can I earn with our top banks?
- How much could I earn by 65 with $10,000 in a high-yield savings account?
- How to maximize saving $10,000 in a high-yield savings account
- Alternatives to high-yield savings accounts
- FAQ: How much will $10,000 make in a high-yield savings account?
- Related topics
How Much Will $10,000 Make in a High-Yield Savings Account?
Kimberly Varvel - Finance
+ 1 other
Reviewed By
Blake Esken - Los Angeles Times
Our most popular savings accounts among LA Times visitors over the past year
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American Express® Savings Account
Member FDIC
Rates as of 10/30/2024
Rates as of 10/30/2024
APY
apy
Monthly Fee
$0.00
Minimum Opening Deposit
$0.00
Highest available APY
![displayname]()
BrioDirect Savings Account
FDIC Insured
rates_last_updated
rates_last_updated
APY
apy
Monthly Fee
$0.00
Minimum Opening Deposit
$5000.00
Best for balances over $5,000
CIT Platinum Savings Account
Member FDIC
rates_last_updated
rates_last_updated
APY
apy
Monthly Fee
$0.00
Minimum Opening Deposit
$0.00
How much will $10,000 make in a high-yield savings account?
The amount you earn depends on the annual percentage yield (APY) of your savings account. The higher the APY, the more money you can make.
According to data from the FDIC, the average savings account earns 0.45% APY. Currently, however, the best high-yield savings accounts offer APYs of around 5.00%. If you deposit $10,000 into one of these high-yield savings accounts, you’ll earn $500 in interest in a year.
If you continue to earn 5.00% APY for a second year, you would make another $500 on your original deposit, plus an extra $25 on the interest you earned in the first year.
If you want to see how much you’d earn in a year on a $10,000 deposit at various APYs, scroll down the page.
More details on our most popular high-yield savings accounts
Advertiser Disclosure
American Express® Savings Account
Member FDIC
Rates as of 10/30/2024
Rates as of 10/30/2024
APY
apy
Monthly Fee
$0.00
Minimum Opening Deposit
$0.00
Why We Like It
Editor's take
This FDIC-insured high-yield savings account offers an impressive 4.00% APY, nearly ten times the national average. There is no minimum balance requirement to receive this high APY, making it ideal for those just starting their saving journey. This American Express® High-Yield Savings Account is the most popular choice among LA Times visitors.
Additionally, there is no minimum deposit requirement or any monthly maintenance fees. However, since there is no ATM card, to withdraw funds, you’ll need to link the account to a checking account and transfer money, which can take up to two days.
PROS
- Impressive apy% APY
- No monthly maintenance fees
- No minimum balance requirements
- No minimum deposit requirement
- FDIC-Insured
CONS
- No ATM card
- Need to link checking account to transfer funds which can take up to two days
- APY isn’t as high as other competitors
BrioDirect Savings Account
FDIC Insured
rates_last_updated
rates_last_updated
APY
apy
Monthly Fee
$0.00
Minimum Opening Deposit
$5000.00
Why We Like It
Editor's take
A high-yield online savings account with BrioDirect offers 5.00% APY, one of the highest rates available on the market right now. The rate on this account is variable and can change over time, but this is clearly a great time to sign up and get your savings working for you.
The online application process to sign up to a BrioDirect account is extremely straightforward, you just need to provide your contact information, driver’s license, passport or state I.D. and Social Security number. The process can be done via smartphone and takes minutes to complete. If you’re looking to sign up to an excellent rate extra quickly, this is the account for you.
PROS
- High APY
- No monthly fees
- Quick and easy online application
CONS
- BrioDirect doesn’t offer a money market or checking account
- High minimum opening deposit of $5,000
CIT Platinum Savings Account
Member FDIC
rates_last_updated
rates_last_updated
APY
apy
Monthly Fee
$0.00
Minimum Opening Deposit
$0.00
Why We Like It
Editor's take
The CIT Platinum Savings Account offers a competitive 4.70% APY for balances of $5,000 and above, making it an attractive option for those looking to grow their savings. However, for balances below $5,000, the APY drops significantly to the less-than-impressive rate of 0.25%, which is even lower than the national average APY of 0.45%.
With that being said, there are no fees to open a CIT Platinum Savings Account and it doesn’t come with any monthly maintenance fees. Therefore, if you’re confident in maintaining a balance of at least $5,0000, this savings account could certainly be a great choice.
PROS
- 4.70% APY if you meet the minimum requirement
- No monthly maintenance fees
- FDIC-Insured
- No fees to open an account
CONS
- Low APY for balances below $5,000
- No physical branches
- Minimum opening deposit requirement of $100
Varo Bank High-Yield Savings Account
LEARN MORE
FDIC insured
Rates updated 09/23/2024
Rates updated 09/23/2024
APY
Up to 5.00 %
Monthly Fee
$0.00
Minimum Opening Deposit
$0.00
Why We Like It
Editor's take
Varo Bank is an excellent choice for those seeking a straightforward, fee-free online banking experience without minimum balance requirements. While the bank doesn’t offer CDs or money market accounts, its high-yield savings account is a standout feature.
You can earn 5% APY on up to $5,000 of your balance and 3% on any amount beyond that. To qualify for the highest rate, you’ll need to receive direct deposits totaling at least $1,000 per month and maintain a positive balance. Keep in mind that you must have a checking account to access the savings account.
PROS
- Competitive APY
- No monthly maintenance fees
- No deposit minimum
- Auto savings tool
CONS
- No physical branch locations
- Only part of your balance earns the highest rate
- No standalone savings account
Bask Bank Savings Account
FDIC Insured
Rates updated as of 09/23/2024
Rates updated as of 09/23/2024
APY
disclosure
apy
Monthly Fee
min_deposit
Minimum Opening Deposit
$0.00
Why We Like It
Editor's take
Bask Bank is offering a high-yield savings account that can earn you 4.85% APY, which is up there with the highest interest rates on offer at the moment.
With no minimum balance requirement, customers looking to start saving with any amount can benefit from this high APY. No monthly account fees are charged by Bask Bank, meaning your savings won’t be at risk of being eaten into, and you can manage your finances easily using the Bask Bank mobile app. We’re big fans of this product, which you can sign up for in 15 minutes or less.
PROS
- Competitive APY
- No monthly maintenance fees
- No minimum balance requirements
CONS
- No in-person services
- BaskBank doesn’t offer a checking account
Western Alliance Bank Savings Account
LEARN MORE
Member FDIC
Rates updated as of 10/02/2024
Rates updated as of 10/02/2024
APY
4.65 %
Monthly Fee
$0.00
Minimum Opening Deposit
$1.00
Why We Like It
Editor's take
The Western Alliance Bank Savings Account offers an impressive interest rate of 4.65%. Available through Raisin, this FDIC-insured high-yield savings account has no monthly maintenance fees, and you can open an account with as little as $1.
If your primary goal is to earn high interest on your savings, the Western Alliance High-Yield Savings Account could be the perfect choice for you.
PROS
- Competitive APY of 4.65%
- $1 minimum opening deposit
- $1 minimum balance requirement
- No monthly maintenance fees
- FDIC-insured
CONS
- No in-person services
- Balances are capped at FDIC maximums
- Transfers can take up to one to three days
- Doesn’t come with a debit card
Earnings on $10,000 in a high-yield savings account after one year
| APY | Interest earned annually on $10,000 | Total ending balance |
|---|---|---|
| 0.45% | $45.00 | $10,045.00 |
| 4.25% | $425.00 | $10,425.00 |
| 4.50% | $450.00 | $10,450.00 |
| 5.00% | $500.00 | $10,500.00 |
| 5.25% | $525.00 | $10,525.00 |
| 5.50% | $500.00 | $10,550.00 |
The calculations shown are just a simple example. Always seek advice from a qualified professional before making important financial decisions or long-term agreements.
The calculations in the table above assume:
- There are no account fees
- The interest rate is fixed for the term
- Interest is compounded annually
- You make no deposits or withdrawals during the 12-month period
How much can I earn with our top banks?
While many banks offer high-yield savings accounts, interest rates can vary. The table below shows how much you can earn with our top savings accounts and highlights how even a small difference in APY can impact your savings balance.
Earnings after one year on $10,000 with our top picks for the best savings accounts
| Bank | APY | Interest earned annually on $10,000 | Total ending balance |
|---|---|---|---|
| National average | 0.45% | $45.00 | $10,045.00 |
| BrioDirect | 5.00% | $505.00 | $10,505.00 |
| Varo Bank | 5.00% | $500.00 | $10,500.00 |
| Bask Bank | 4.85% | $485.00 | $10,485.00 |
| CIT Bank | 4.70% | $470.00 | $10,470.00 |
| Western Alliance | 4.65% | $465.00 | $10,465.00 |
| American Express | 4.00% | $400.00 | $10,400.00 |
| Chase | 0.01% | $1.00 | $10,001.00 |
APYs are correct as of October 2024 and may vary by location. The calculations shown are just a simple example. Always seek advice from a qualified professional before making important financial decisions or long-term agreements.
The calculations in the table above assume:
- There are no account fees
- The interest rate is fixed for the term
- Interest is compounded annually
- You make no deposits or withdrawals during the 12-month period
How much could I earn by 65 with $10,000 in a high-yield savings account?
While the table above shows the exciting growth you can expect when you deposit $10,000 in a high-yield account for a year, the growth is maximized when your money remains longer. Each time the interest is compounded, the account balance earning interest increases. As a result, you earn even more interest year after year.
If you put $10,000 into a high-yield savings account with a 5.00% APY at age 20, you could earn nearly $80,000 in interest by the time you reach 65.
See how your savings will grow over time based on the age at which you begin saving in the table below.
Earnings over time on a $10,000 deposit with a 5.00% APY
| Starting age | Years to 65 | Interest earned | Total ending balance |
|---|---|---|---|
| 20 | 45 | $79,850.08 | $89,850.08 |
| 25 | 40 | $60,399.89 | $70,399.89 |
| 30 | 35 | $45,160.15 | $55,160.15 |
| 35 | 30 | $33,219.42 | $43,219.42 |
| 40 | 25 | $23,863.55 | $33,863.55 |
| 45 | 20 | $16,532.98 | $26,532.98 |
| 50 | 15 | $10,789.28 | $20,789.28 |
| 55 | 10 | $6,288.95 | $16,288.95 |
| 60 | 5 | $2,762.82 | $12,762.82 |
The calculations shown are just a simple example. Always seek advice from a qualified professional before making important financial decisions or long-term agreements.
The calculations in the table above assume:
- The APY is fixed at 4.50% and does not change
- Interest is compounded annually
- You make no additional deposits nor withdrawals
- There are no account fees
To further explore your potential earnings over time, try using our savings calculator.
How to maximize saving $10,000 in a high-yield savings account
The interest rate on your high-yield account directly affects your earnings, but it’s only one of several factors.
Here are some other ways to maximize your earnings.
Compound interest
While comparing the high APY savings account terms, focus on how frequently interest compounds. Typically, interest on a savings account compounds monthly or quarterly but can also compound daily, annually or at another interval.
A savings account that compounds interest more frequently is advantageous. For example, when interest compounds monthly, the accrued interest is deposited into your account monthly. You will then earn interest on the previous month’s balance and interest each month. On the other hand, with annual compound interest, you will not get an interest deposit for 12 months.
Low or no fees
Another factor that’s easy to overlook is bank fees. While some high-yield savings accounts have no account fees, others charge a monthly or annual fee. An account fee is deducted directly from your savings account balance. While interest is deposited, account fee deductions could result in a net loss if you have a smaller balance. Even when the net result is positive, account fees detract from the power of compound interest and stunt growth.
When comparing account terms for HYSAs, focus on the amount of the fees and how frequently they are assessed. Weigh the cost of the fees against the APY. While interest rates fluctuate, the highest rate is not always the best option.
Automatic payments
Most banks allow you to set up automatic deposits, which can maximize earnings over time. The alternative is to make manual deposits, which often leads to less frequent and missed deposits. Your regular, automated deposits directly and consistently increase your account balance. As a result, your accrued interest also increases regularly.
Automated deposits also enhance the power of compound interest. The additional interest you make with regular deposits generates its interest over the months and years.
Alternatives to high-yield savings accounts
You can earn a higher return on your funds through various other investments. However, many people also keep at least some money in a savings account. A savings account provides easy access to funds, making it well-suited for a rainy day or emergency fund. In addition, higher-yield investments, such as stocks and mutual funds, generally have some risk of loss. The money in a high-yield savings account is FDIC-insured. In fact, up to $250,000 per account and per account holder is protected by the FDIC. This means that there is little risk of loss with a HYSA.
However, the FDIC also insures a few other types of accounts. CDs and money market accounts are often considered alternatives to high-yield savings accounts, but how do they compare?
CDs
You can purchase a CD, or certificate of deposit, through most banks. A CD has a fixed term, ranging from a few months to five or 10 years. You can pull your money out of a CD before the end of the term, but this will cost you money. The early withdrawal penalty varies from bank to bank, but it can erase a large chunk of the interest accrued up to that point.
The interest rate on a CD is relatively low compared to a regular savings account, but it is still considerably higher than the interest on a regular savings account. The average APY on a 5-year CD is 1.43%.
With a lower yield, why would you choose a CD over a high-yield savings account? Because a penalty is associated with cashing in a CD, you may be more likely to leave your CD untouched until the term ends. If you tend to pull money out of your savings account often, a CD could discourage you from doing that.
Money market accounts
Like a high-yield savings account, a money market account has no withdrawal penalty. It also doesn’t have a limit on the number of withdrawals you can make in a month. In fact, a money market account also comes with a debit card and allows you to write checks. This makes your money more accessible in a money market account than a high-yield savings account.
The average APY for a money market account is 0.66%. You can earn substantially more interest in a high-yield savings account. However, a money market account allows you to earn interest on funds you need access to more frequently without limiting your access to a small number of transactions.
FAQ: How much will $10,000 make in a high-yield savings account?
How much will $10,000 make in a high-yield savings account after one year?
This depends on the APY, account fees, and how often the interest is compounded. In a high-yield savings account with a fixed 5% APY, no fees, and monthly compounding, $10,000 will earn $511.62 in one year.
How much will $1,000 make in a high-yield savings account in one year?
How much $1,000 will make in one year will depend on the APY, if there are any account fees, and how often the interest is compounded. In a high-yield savings account with a fixed 5% APY and no fees, $1,000 will earn $51.16 annually. A $10,000 balance will earn $511.62 in that same period. These calculations take into account compounded monthly interest.
How much will $100 make in a high-yield savings account after one year?
In a high-yield savings account with a fixed 5% APY and no fees, $100 will earn $5.12 when compounded monthly.
How long should you keep money in a high-yield savings account?
To maximize your earnings from a high-yield savings account, keep your money in the account for as long as possible. Compound interest allows you to accrue interest on top of your interest over time, which results in exciting growth levels. When your interest earns interest year after year, your money works harder for you.
How much money should you put into a high-yield savings account?
There isn’t a penalty to withdraw money from a high-yield savings account. However, there is a limit on the number of withdrawals you can make per month. With this in mind, it is advantageous to deposit any money that you do not intend to use over the next several weeks in a high-yield savings account.
Are high-yield savings accounts worth it?
With an APY currently up to 5% or higher on some high-yield savings accounts, a HYSA is a smart place to put your emergency funds. A high-yield account is insured by the FDIC, making it risk-free. Compared to other FDIC-insured savings vehicles, it has a higher APY while still providing easy access to your funds. However, you are limited to a small number of withdrawals each month.
Are savings accounts safe?
Savings accounts are a safe place to store and grow your money. Both regular and high-yield savings accounts are insured by the FDIC.
About the Author
Kimberly Varvel brings over 12 years of experience in commercial real estate finance, specializing in loan processing, underwriting, and sales. With more than five years as a licensed real estate professional and over 14 years as a professional freelance writer, Kimberly has a unique blend of practical experience and writing expertise. Her comprehensive knowledge in the real estate sector enables her to provide insightful, accurate, and engaging content that helps readers navigate the complexities of commercial real estate finance.
About the Reviewer
Blake Esken has over 15 years of experience in product management and has been a member of the Los Angeles Times staff for over five years.
As part of his role at the Los Angeles Times Commerce Team, Blake acts as the in-house reviewer and fact checker for LA Times Compare. He supervises all content for compliance and accuracy and puts to use skills he has honed through years of experience managing high-stakes projects for a range of industry-leading companies.
He has a strong background in data analysis, compliance, and communication, which allows him to support LA Times Compare through fact-checking in an effort to provide up-to-date and factual information across our content.
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