Living is expensive, and saving money is hard.
A high-yield savings account can help you earn interest on cash you’re able to put aside. But if you find yourself making frequent withdrawals, the money you’re stashing may be dwindling faster than you’d like.
A savings account shouldn’t be treated like a checking account, said Chad Harmer, financial planner and founder of Harmer Wealth.
“The key is balance. Use the account as a safety net, but not as a go-to for everyday spending,” Harmer said. “If you’re dipping in often, it might be time to reassess your budget and find areas where you can cut back or reallocate spending.”
Even if you’re living paycheck to paycheck and struggling to set a few dollars aside, a high-yield savings account can help you establish habits that pay off in the long run.
Don’t put off saving for later
According to Harmer, one of the biggest mistakes is thinking you’ll “get around to saving” later. You may be tempted to pause your high-yield savings contributions as a short-term fix, but that can be risky.
“Once you get used to not saving, it’s easy to keep putting it off,” said Harmer. “If you really need to pause, plan for when and how you’ll restart. Even better, try reducing your contributions instead of stopping them altogether.”
If you’ve made several heavy withdrawals from your high-yield savings account, do your best to continue making regular savings contributions, even if they’re smaller. Harmer recommends timing transfers from your checking account to your savings account each payday to make it a part of your routine.
Putting aside just $10 in a high-yield savings account every two weeks can help you earn a little extra. Look for an account where you can get around a 4% annual percentage yield on your balance. Here are some of the best savings rates today and the banks that offer them.
Savings account rates, Feb. 17, 2025
| Bank | APY* | Min. deposit to open |
|---|---|---|
| Varo | 5.00%** | $0 |
| Newtek Bank | 4.55% | $0 |
| LendingClub | 4.50% | $0 |
| EverBank | 4.30% | $0 |
| Bask Bank | 4.35% | $0 |
| Synchrony Bank | 4.00% | $0 |
| Laurel Road | 4.00% | $0 |
| American Express | 3.80% | $0 |
| Capital One | 3.70% | $0 |
Experts recommend comparing rates before opening a savings account to get the best APY possible. Enter your information below to get CNET’s partners’ best rate for your area.
What to do if you’re struggling to save
If your savings are being depleted faster than you can rebuild, it might be worth reexamining your budget. Planning ahead for ongoing expenses could help you avoid having to constantly dip into your savings to cover shortfalls. Keeping your savings separate from your daily spending account can also make it easier to budget effectively, Harmer said.
With everything more expensive right now, do what you can to plan. Depending on your personal situation, it may require adjusting your spending, prioritizing essentials or finding ways to increase your income.