The information provided on this website does not, and is not intended to, act as legal, financial or credit advice; instead, it is for general informational purposes only. Information on this website may not be current. This website may contain links to other third-party websites. Such links are only for the convenience of the reader, user or browser; we do not recommend or endorse the contents of any third-party sites. Readers of this website should contact their attorney, accountant or credit counselor to obtain advice with respect to their particular situation. No reader, user, or browser of this site should act or not act on the basis of information on this site. Always seek personal legal, financial or credit advice for your relevant jurisdiction. Only your individual attorney or advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client or fiduciary relationship between the reader, user, or browser and website owner, authors, contributors, contributing firms, or their respective employers.
Credit.com receives compensation for the financial products and services advertised on this site if our users apply for and sign up for any of them. Compensation is not a factor in the substantive evaluation of any product.
Many or all of the products featured here are from our partners who compensate us. This may influence which products we write about and where and how the product appears on a page. However, this does not influence our evaluations.
One of the best ways to grow your wealth is to take advantage of a high-yield savings account and make money from the interest. Depending on your age, the average savings in America can vary, but those who start younger can build more wealth because they have more time.
Use our free simple savings account calculator to see how your money can make money over time from interest payments.
The simple savings account calculator helps you easily calculate the annual percentage yield (APY) and accurately show how your investment can grow. Below, we go over each aspect of the calculator and how it works.
How much you save each month is unique to your financial situation. However much you choose to deposit into your savings account, the important thing is to be consistent. One way to do this is by setting up automatic transfers from your checking to your savings each month after a payday.
You’ll also want to ensure you’re budgeting properly so you don’t fall behind on other expenses like bills or debt payments. A monthly budget template can help you create a strategy and see what amount works for you.
To calculate the simple interest amount in a savings account, multiply the account balance by the annual percentage rate. For example, if you save $10,000 in a year and have a high-yield savings account with a 4% interest rate, the calculation is:
$10,000 x 0.04 = $400
Having a savings account is not only helpful for building your wealth, but it also provides you with some security in an emergency. By finding a savings account with a high interest rate, you will make money by simply storing your savings in the account.
Improving your credit score can also help your financial well-being. A good credit score lets you benefit from lower interest fees and access to additional loans and lines of credit. If you want to know where you stand with your credit, sign up for your free credit report card. You can also utilize Credit.com’s ExtraCredit® service to get credit monitoring alerts, additional credit reporting, and more.
Check out some of our other articles for more tips and strategies for saving and growing your wealth.
March 11, 2021
Personal Finance
March 1, 2021
Personal Finance
February 18, 2021
Personal Finance