High Yield Savings Account
I’m receiving an inheritance from a sale on my deceased parent’s home. Ultimately, I would like the monies to be inherited by my adult children after I pass. I thought about depositing the monies into a High yield savings account that offers a high interest rate. AMEX was recommended to me. Any advice on how to keep the money secure and earning good interest? I don’t plan on touching the money, but would like some flexibility in case of an emergency. Thank you so much for your time!
Terry Says
Well, I just checked, and the Amex high yield savings account is yielding 3%. Meanwhile, the safest investment on the planet, U.S. Treasury bills are yielding nearly 4% for 6 months.
Please read this article: https://www.terrysavage.com/how-to-buy-treasury-bills/
You can set up automatic rollovers at maturity, and get the current interest rate at the time. And you can stagger purchases, maybe a few weeks apart, so a portion is always rolling over. And when any of your T-bills matures, you can stop the rollover and the money will drop back into your linked checking account.
PS Now make sure you have an estate plan of your own. And if you are going to create a REvocable Living Trust (like a will, but better — watchthis video: https://www.terrysavage.com/wp-content/uploads/2022/10/Terry-Talks-Wills-Trusts-Estate-Planning.mp4 —
Once you do that, you should open your Treasury Bill account in the name of your Revocable Living Trust.
