This was excellent with good information that, was presented nice and simple. There is a local Credit Union in my area currently offering a Certificate of Deposit (CD) at 5.75 percent APY. My goal is to open an account with about $200,000. Please note, I have other larger sums of money in both the stock market and other types of investments (smile ... smile).
Going to get my first real job at 16 in a couple of weeks, is it worth it for me to do this even if I’m not going to be making much more than minimum wage and probably won’t be working more than about 30 something hours a week?
Emergency savings are recommended for everyone but I can not say what to do. If you have additional on top of that, I will say HYSA is not the place since you could be investing and leveraging the money in better ways.
Hey! Thanks for your comment. This completely depends on your usage of the account. Stocks are if you want long term investing. HYSA is best for emergency savings and cash you want easy access to in the near future. There are also many other tools you can benefit from depending on the exact type of reasons you are storing away the cash.
Starting a business, investing into real estate, the stock market. Retirement investing in the stock market for tax advantages. I just wanted to emphasize here that HYSA can not build wealth like the other areas can!
@nivkhexonym it requires homework. For example, you can't sell snow jackets in FL. You need to find what the market or services is needed in you area and how knowledgeable you are. If pressure washing is good money but you know nothing or experience your business will fail.
