Most people worry about stock drama, but every so often, there is also bond drama. Bonds are debt, which means people worry when there’s an increased chance you won’t get paid back. However, the goal of my bond holdings is to have at least 5 years of expenses safely set aside so that I can comfortably ignore both stock market drama and bond market drama. If you assume a simple 4% withdrawal rate, that means roughly 20% of my portfolio should be in very safe bonds.

“Safe” means that my bonds should have both minimal default risk and interest rate risk. Minimal default risk means ideally either FDIC/NCUA-insured cash or certificates, or US Treasury bonds. Minimal interest rate risk means a relatively short duration.

In the idealized “mental model” of my bond portfolio, this is a ladder of 1-year, 2-year, 3-year, 4-year, and 5-year certificates of deposit. Each rung of the ladder is a year of expenses. As each year passes, the 5-year CD will now have 4 years left to mature, the 4-year CD will have 3 years left, and so on, with the 1-year maturing into a liquid savings account. Then, I will take money from my portfolio (mostly dividends and interest) and buy a new 5-year CD. Usually the yield curve is such that a 5-year CD will pay more interest than the savings account, so this ladder earns more interest overall than just keeping it all in the savings account.

In reality, right now US Treasury bonds with their state income tax exemption pay more interest (in my state situation) than other safe options. For example, right now, a 5-year Treasury bond pays ~4.8% interest, but that’s effectively ~5.3% with the state income tax exemption (assuming a 10% state tax rate). There are no 5-year bank CDs that pay ~5.3% a year, even if I went through the hassle of rate-chasing across different credit unions and banks around the nation.

I could build a manual ladder of Treasury bonds, but even better (lazier) is simply buying the Vanguard Short-Term Treasury ETF (VGSH), which maintains a basket of 100% Treasury bonds with an average maturity of 2 years and a low expense ratio of 0.03%. Not exactly the same, but a short-term Treasury ETF is practically very similar to a repeating ladder of US Treasuries of 1 to 5 years. 100% of the interest is considered US government obligations, and so I retain the full state income tax deduction.

For comparison, the 30-day SEC yield today on VGSH is ~4.4%, and with the state income tax exemption that’s an effective ~4.8% for me. Meanwhile, the popular Vanguard Total Bond Market ETF (BND) has a 4.8% 30-day SEC yield but also has higher default risk (holds corporate bonds) and higher interest rate risk (longer duration). BND is fine, but this is why I prefer VGSH. I’m getting the same after-tax return as BND with lower risk. VGIT (intermediate-term Treasury ETF) has a significantly higher average maturity of about ~6 years year, longer than I need and doesn’t pay much higher interest in return.

That’s my long-winded explanation of why ~20% of my portfolio is held in Vanguard Short-Term Treasury ETF (VGSH). The rest of my bond allocation is in TIPS because they guarantee a long-term real return and thus address another risk (inflation risk) directly, but that’s a different topic.

Amazon Prime membership includes Grubhub+, and there’s a new $20 off a $30 purchase deal with promo code DEALS20. The code works on both delivery and pickup. I tried out Taco Bell pickup and added 16 cheesy bean and rice burritos at $2 each for $12 + tax at checkout. (Judge if you want, I’m also gonna add 16 packets of hot sauce!) Promo ends 10/5.

I have a hard time understanding how food prices can be so high, yet these food delivery companies are still in business. They mark up menu prices significantly, then add a delivery fee plus a 15%+ tip. I am honestly curious about the income profile of the folks who regularly use these services.

Here’s my monthly survey of the best interest rates on cash as of September 2026, roughly sorted from shortest to longest maturities. Banks and brokerages love taking advantage of idle cash, and you can often earn more interest while keeping the same level of safety by moving to another FDIC-insured bank or NCUA-insured credit union. Check out my Ultimate Rate-Chaser Calculator to see how much extra interest you could earn from switching. Rates listed are available to everyone nationwide. Rates checked as of 9/14/26.

TL;DR: Savings account interest rates are mostly stable, while rates on some longer-term CDs have risen significantly. You can get 4.34% APY on savings if you accept certain hoops/restrictions, but most are under 4% now. Short-term T-Bill rates ~3.8%. Top 5-year CD rates are now ~4.8% APY (brokered), while the 5-year Treasury rate is also ~4.8%.

High-yield savings accounts*
Since the huge megabanks still pay essentially zero interest, everyone should at least have a separate, no-fee online savings account to piggy-back onto your existing checking account. The interest rates on savings accounts can drop at any time, so I list the top rates as well as competitive rates from banks with a history of competitive rates and solid user experience. Some banks will bait you with a temporary top rate and then lower the rates in the hopes that you are too lazy to leave.

• The top saving rate at the moment: Elevault (no min) is at 4.34% APY, a division of Southern Bancorp Bank. CIT Platinum Savings held at 3.75% APY with $5,000+ balance, with a new 4.10% APY for 6 months Boost promotion; open your account by 10/31. There are many banks in between.
• SoFi Bank is at 3.10% APY (new customers can get up to $475 in bonuses with qualifying direct deposit. You must maintain a direct deposit of any amount (even $1) each month for the higher ongoing APY. SoFi has historically competitive rates and full banking features.
• Here is a limited survey of high-yield savings accounts. They aren’t the top rates, but a group that have historically kept it relatively competitive such that I like to track their history. This month they start at 3.00% APY on up.

Short-term guaranteed rates (1 year and under)
A common question is what to do with a big pile of cash that you’re waiting to deploy shortly (plan to buy a house soon, just sold your house, just sold your business, legal settlement, inheritance). My usual advice is to keep things simple and take your time. If not a savings account, then put it in a flexible short-term CD under the FDIC limits until you have a plan.

• No Penalty CDs offer a fixed interest rate that can never go down, but you can still take out your money (once) without any fees if you want to use it elsewhere. Marcus has a 11-month No Penalty CD at 4.00% APY ($500 minimum deposit). CIT Bank has a 11-month No Penalty CD at 3.90% APY ($1,000 minimum deposit). Farmer’s Insurance FCU has a 9-month No Penalty CD at 4.00% APY ($1,000 minimum deposit). USALLIANCE Financial CU has a 11-month No Penalty CD at 4.00% APY ($500 minimum deposit).
• Eagle Bank has a 12-month CD at 4.45% APY ($1,000 minimum deposit). Early withdrawal penalty is not clearly disclosed, but is 90 days of interest according to 3rd-party sources.

Money market mutual funds
Many brokerage firms that pay out very little interest on their default cash sweep funds (and keep the difference for themselves). Note: Money market mutual funds are highly-regulated, but ultimately not FDIC-insured, so I would still stick with highly reputable firms.

• Vanguard Federal Money Market Fund (VMFXX) is the default sweep option for Vanguard brokerage accounts, which has a 7-day SEC yield of 3.63% (changes daily, but also works out to a compound yield of 3.69%, which is better for comparing against APY). Odds are this is much higher than your own broker’s default cash sweep interest rate.
• Vanguard Treasury Money Market Fund (VUSXX) is an alternative money market fund which you must manually purchase, but the interest will be mostly (100% for 2025 tax year) exempt from state and local income taxes because it comes from qualifying US government obligations. Current 7-day SEC yield of 3.71% (compound yield of 3.77%).

Treasury Bills and Ultra-short Treasury ETFs
Another option is to buy individual Treasury bills which come in a variety of maturities from 4-weeks to 52-weeks and are fully backed by the US government. You can also invest in ETFs that hold a rotating basket of short-term Treasury Bills for you, while charging a small management fee for doing so. T-bill interest is exempt from state and local income taxes, which can make a significant difference in your effective yield.

• You can build your own T-Bill ladder at TreasuryDirect.gov or via a brokerage account with a bond desk like Vanguard and Fidelity. Here are the current Treasury Bill rates. As of 9/11/26, a new 4-week T-Bill had the equivalent of 3.85% annualized interest and a 52-week T-Bill had the equivalent of 4.34% annualized interest.
• The iShares 0-3 Month Treasury Bond ETF (SGOV) has a 3.63% 30-day SEC yield (0.09% expense ratio) and effective duration of 0.10 years. The Vanguard 0-3 Month Treasury Bill ETF (VBIL) has a 3.63% 30-day SEC yield (0.06% expense ratio) and effective duration of 0.10 years.

US Savings Bonds
Series I Savings Bonds offer rates that are linked to inflation and backed by the US government. You must hold them for at least a year. If you redeem them within 5 years there is a penalty of the last 3 months of interest. The annual purchase limit for electronic I bonds is $10,000 per Social Security Number, available online at TreasuryDirect.gov.

• “I Bonds” bought between May 2026 and October 2026 will earn a 4.26% rate for the first six months. The rate of the subsequent 6-month period will be based on inflation again. More on Savings Bonds here.
• In mid-October 2026, the CPI will be announced and you will have a short period where you will have a very close estimate of the rate for the next 12 months. I will post another update at that time.

Rewards checking accounts
These unique checking accounts pay above-average interest rates, but with unique risks. You have to jump through certain hoops which usually involve 10+ debit card purchases each cycle, a certain number of ACH/direct deposits, and/or a certain number of logins per month. If you make a mistake (or they judge that you did) you risk earning zero interest for that month. Some folks don’t mind the extra work and attention required, while others would rather not bother. Rates can also drop suddenly, leaving a “bait-and-switch” feeling.

• La Capitol Federal Credit Union pays 6.50% APY on up to $10,000 if you make 15 debit card purchases of at least $5 each per statement cycle. Anyone can join this credit union via partner organization, Louisiana Association for Personal Financial Achievement ($20).
• OnPath Federal Credit Union (my review) pays 6.00% APY on up to $10,000 if you make 15 debit card purchases, opt into online statements, and login to online or mobile banking once per statement cycle. Anyone can join this credit union via $5 membership fee to join partner organization. You can also get a $150 Visa Reward card when you open a new account and make qualifying transactions.
• Genisys Credit Union pays 6.75% APY on up to $7,500 if you make 10 debit card purchases of $5+ each per statement cycle, and opt into online statements. Anyone can join this credit union via $5 membership fee to join partner organization.
• Oklahoma Central Credit Union pays 6.00% APY on up to $10,000 if you make 15 debit card purchases (non-ATM) per statement cycle. Anyone can join this credit union if they are “affiliated with another credit union”.
• First Southern Bank pays 5.50% APY on up to $25,000 if you make at least 15 debit card purchases, 1 ACH credit or payment transaction, and enroll in online statements.
• Credit Union of New Jersey pays 5.50% APY on up to $25,000 if you make 12 debit card purchases, opt into online statements, and make at least 1 direct deposit, online bill payment, or automatic payment (ACH) per statement cycle. Anyone can join this credit union via $5 membership fee to join partner organization.
• Andrews Federal Credit Union pays 5.25% APY on up to $25,000 if you make 15 debit card purchases, opt into online statements, and make at least 1 direct deposit or ACH transaction per statement cycle. Anyone can join this credit union via partner organization.
• Capitol Credit Union pays 6.00% APY on up to $15,000 if you make 12 debit card purchases, opt into online statements, and make at least 1 direct deposit or ACH transaction per statement cycle. Anyone can join this credit union via partner organization ($5 to Wild Basin Wilderness).
• Find a locally-restricted rewards checking account at DepositAccounts.

Certificates of deposit (greater than 1 year)
CDs offer higher rates, but come with an early withdrawal penalty. By finding a bank CD with a reasonable early withdrawal penalty, you can enjoy higher rates but maintain access in a true emergency. Alternatively, consider building a CD ladder of different maturity lengths (ex. 1/2/3/4/5-years) such that you have access to part of the ladder each year, but your blended interest rate is higher than a savings account. When one CD matures, use that money to buy another 5-year CD to keep the ladder going. Some CDs also offer “add-ons” where you can deposit more funds if rates drop.

• NASA Federal Credit Union has a 5-year certificate at 4.28% APY ($1,000 minimum), 4-year at 4.20% APY, 3-year at 4.15% APY, 2-year at 4.10% APY, and 1-year at 4.05% APY. Early withdrawal penalty for the 5-year is 365 days of interest. Anyone nationwide can join via a complimentary membership to the National Space Society (NSS).
• Advancial Federal Credit Union has has a 5-year certificates at 4.28%/4.39%/4.49% APY based on either a $1,000/$25,000/$50,000 opening balance. Early withdrawal penalty for the 5-year is 365 days of interest. Anyone nationwide should be able to join via membership with partner organization US Dog Agility Association, but I would call to verify first.
• Popular Direct has a 5-year certificate at 4.50% APY ($10,000 minimum) but with a huge early withdrawal penalty of 730 days of interest.
• Sallie Mae Bank has a 5-year certificate at 4.40% APY ($2,500 minimum) but with a more reasonable early withdrawal penalty of 180 days of interest.
• You can buy certificates of deposit via the bond desks of Vanguard and Fidelity. You may need an account to see the rates. These “brokered CDs” offer FDIC insurance and easy laddering, but they don’t come with predictable early withdrawal penalties. Right now, I see a 5-year non-callable brokered CD at 4.80% APY (callable: no, call protection: yes). Be warned that both Vanguard and Fidelity will list higher rates from callable CDs, which importantly means they can (and will!) call back your CD if rates drop significantly later.

Longer-term Instruments
I’d use these with caution due to increased interest rate risk (tbh, I don’t use them at all), but I still track them to see the rest of the current yield curve.

• Willing to lock up your money for 10 years? You can buy long-term certificates of deposit via the bond desks of Vanguard and Fidelity. These “brokered CDs” offer FDIC insurance, but they don’t come with predictable early withdrawal penalties. You might find something that pays more than your other brokerage cash and Treasury options. Right now, I see a 10-year CDs at 4.85% APY (non-callable) vs. 4.97% for a 10-year Treasury. Watch out for higher rates from callable CDs where they can call your CD back if interest rates drop.

All rates were checked as of 9/14/26.

* I no longer recommend fintech companies for cash savings due to the possibility of significant loss due to poor record-keeping and the lack of government protection in such scenarios. The point of cash is absolute safety of principal.

Photo by Giorgio Trovato on Unsplash

(Update: Offer is back, this time for $300 for $20k with a 90 day hold. Again available to both new and existing customers depositing new funds. For existing customers, the deposits must be in addition to your balance as of September 7th, 2026. To be clear, you need to open up a *new* personal savings account through the specific link below. You can have more than one savings account. You can’t just transfer in more money as an existing customer to your existing account and expect the bonus. Thanks to reader Andrea for the tip.)

Live Oak Bank is an FDIC-insured internet bank that is focused on lending to small businesses. Their personal savings account has a limited-time offer of a $300 bonus if you deposit $20,000+ in new funds into a new online savings account by 5:00 p.m. ET on October 16th, 2026 per this special offer page and keep it there for 90 days. The current interest rate is 4.00% APY. Direct deposit is not required. Valid for both new and existing customers, as long as you are adding new money (lookback date is 9/7/26).

To be clear, you need to open up a *new* personal savings account through the specific link above. You can have more than one savings account. You can’t just transfer in more money as an existing customer to your existing account and expect the bonus.

Unlike some other deposit bonuses, the 90-day window starts when the new money hits:

Beginning on the date in September or October 2026 when the new account attains a balance of at least $20,000, if the balance remains equal to or exceeding $20,000 for 90 consecutive days, then the account will be eligible for the bonus if all other conditions are met. If all eligibility criteria are met, the $300 cash bonus will be deposited to your open, eligible account within 45 days following the expiration of the 90-day period.

Bonus math. This is a 1.5% bonus on $20,000 if you keep it there for 90 days, which makes it the equivalent of 6% APY annualized. Bonus will be paid around Day 135 (45 days afterward) and the account must be open at that time, but you only need to maintain full balance through Day 90. The bonus is on top of the standard interest rate, currently a competitive 4.00% APY as of 9/8/26.

This equivalent of roughly 10% total APY over 90 days makes it a solid offer for those with compatible balances looking for short-term place to hold their cash for a few months. Live Oak Bank seems to come and go with the competitiveness of their rates, but they’ve been strong recently and it’s nice that this is available to existing customers.

Sources for this post are here, here, here, here, and here. My personal takeaway is that they are two main scenarios where you should open an account.

Scenario #1: If you are eligible for free money, you should take action and open an account.

• Enrollment is not automatic. However, once you open an account, even with $0, outside contributions can arrive directly into your account. There are no annual account fees, so I see no reason not to take the money and let it grow over time until it becomes part of your child’s IRA balance. Your money will be invested in an S&P 500 index ETF (ticker SPYM) and you will need to use an app with BNY and Robinhood software handling the backend.
• Download the official app. You need to file IRA Form 4547. Practically, you can do everything on the app found at the official site TrumpAccounts.gov. You could also wait until when you file your taxes or through the IRS website.
• $1,000 Federal-level contribution for young kids and newborns. U.S. citizens born between January 1, 2025, and December 31, 2028, qualify for a one-time federal contribution of $1,000. The money arrives automatically after you open an account.
• $250 Dell Foundation contribution (~75% of rest of kids under age 10). U.S. citizens born between 2016 and 2024 who live in ZIP codes where the median income is $150,000 or less qualify for $250 from the Dell Foundation. This ends up including ~75% of all kids in that age range. Limited to the first 25 million kids who open an account. Here is an eligibility tool. The money arrives automatically after you open an account.
• Employer Contributions and/or Matching (Up to $2,500/year). Check with your employer, and look out for new commitments, especially if its a big corporation.
• State-level Contributions. This list is also growing.
• Things appear to be changing constantly, including Visa stating they want to enable the ability to redirect your credit card rewards to Trump Accounts.

Scenario #2: If you are already financially set for your own retirement and your children’s educational goals.

• In general, I take the philosophy that you should worry about your own retirement needs first. If you aren’t very confident you can fund your own retirement, why are you worrying about your kids? This by itself removes the majority of US families.
• After that, 529 accounts are most likely a better way to save money towards your child’s education. There are tax breaks on contributions in many states, there are more investment options, and the money can be withdrawn tax-free for eligible educational expenses. Even if you over-contribute, you can also now convert up to $35,000 in excess to Roth IRAs.
• For those financially set enough that they still want to help fund their kids’ retirement beyond that, then this works like a non-deductible IRA contribution to your kids’ retirement. You have to put in after-tax money, it grows tax-deferred, but when it turns into a Traditional IRA at age 18, your kids will owe tax on all capital gains upon withdrawal (taxed as ordinary income).
• Given that your kids will probably be an a relatively low tax bracket at age 18, this may be a good time to convert from Traditional IRA to a Roth IRA, assuming that is still allowed in the future. Boom, your kid could turn 21 with a six-figure Roth IRA.
• I figure the folks that are rich enough for this will often be the same folks that were previously funding their kids’ Roth IRA by trying to count their chores or other household tasks as “earning income”. This account isn’t as good as a Roth IRA, but it’s a lot easier to fund.

I was surprised to find out that roughly 75% of children aged 10 and under qualify for the “low-income restricted” Dell $250 contribution, and indeed my zip code was eligible and the $250 has already arrived in my child’s account.

In the end, I did learn more about several financial topics outside my personal bubble like using a financial calculator, handling estate issues for small business clients, and specific insurance topics. I would be glad that a prospective financial advisor at least had this basic core level of financial knowledge, but a lot of it was “studying for the test” and memorizing specific formulas and facts. It’s basically the equivalent of passing a semester or two of a single college class. I bought the physical textbooks, but passed the tests without opening them at all (just used the class slides). I’m still glad I tried it, otherwise I would still be curious.

The final requirement of a CFP is “Ethics”, which means passing their Candidate Fitness and Standards Background Check. Allan Roth is an experienced fee-only financial advisor whose opinion I respect, and he recently wrote a detailed article about How the CFP Board Sold Out the Public & the Profession. It’s certainly a disappointing read. Basically, the article outlines how the CFP Board is failing in its promise to only certify ethical financial planners. Many CFP holders with regulatory issues get to keep their CFP as long as they keeping paying the dues. “Nearly 1,000 CFPs have some form of criminal disclosure.”

Overall, my impression is that the CFP Board now mainly serves as a business selling the CFP designation to whoever is willing to pay the annual fees and continuing education fees as a signifier to the average person that they are a “educated and vetted financial planner”. They make millions on annual dues, exam prep classes, and continuing eduction tuition. The CFP took advantage of a vacuum, and unfortunately there really isn’t anything better. This means that all financial planners (good or bad) feel pressured to keep their CFP designation, even if they know it doesn’t mean much.

The takeaway is that a CFP designation is a bar, but not a very high bar. Yes, they took some coursework and passed a knowledge exam, although that exam is not nearly as hard as other financial tests like the CFA or CPA exams. Unfortunately, the CFP does not appear to aggressively weed out unethical advisors. The best advisors in the world still probably have a CFP, but many sketchy advisors with past complaints are also flashing their CFP. Be careful out there. If you’re looking for a planner, looking beyond the CFP badge and use BrokerCheck at a minimum, even if the CFP Board doesn’t.

GalaxyOne is a fintech super-app that combines a checking account, stock trading, and crypto. Checking account is through Cross River Bank, FDIC. Brokerage is through FIN2, a FINRA/SIPC member firm. Digital assets are held in custodial wallets with Paxos Trust Company, a New York State-chartered trust company. Previously known as Fierce App.

Right now they are offering a $1,000 new customer bonus. Hat tip to DoC. You must open a new account using promo code AUGUST1000 and deposit $10,000 or more in cash or crypto within 30 days, and hold it for 120 days to earn the $1,000 sign-up bonus. Must open by August 31, 2026, and then you have 30 days to make the deposit. You get the bonus 30 days after meeting these terms.

The fact that this is a fintech makes it a little concerning, and I don’t keep my money long-term in fintechs, but might be okay with the short-term since the bonus is effectively 30% annualized. You can hold your deposit at Cross River Bank and earn an additional 3.50% APY (would be my choice), or go nuts and hold it in crypto earning 8% yield (backed by Galaxy Digital).

Financial advice. I find this the most interesting area of change. Can Vanguard find a way to provide high-quality advice to the masses at a low cost? They have gathered a lot of assets into what they have built already, even though I don’t see it as a high-quality tool yet. Too rigid, and too pricey for what you get.

Vanguard just announced that they are acquiring Altruist, a start-up firm supporting independent financial advisors, for over $4 billion (WSJ gift article, official Vanguard press release). A big move by new CEO Ramji.

“Altruist’s mission to make financial advice more accessible, more affordable, and help advisers scale their practices, that very much rhymes with what we’re trying to do here at Vanguard,” Ramji said. “That’s really how this acquisition was born.”

Will Vanguard work more directly with independent advisors now? Will they successfully incorporate all this new technology and AI stuff into their in-house advice platform? Will it be a shocking amount cheaper than the competition, spreading the “Vanguard Effect” to portfolio management?

High-yield cash savings. I opened a Vanguard Cash Plus Account a while back, but so far it’s been sitting empty. The current yield is 3.35% APY as of 8/24/26, which is okay in the world of online savings accounts but not special. I know it’s FDIC-insured, but personally I feel equally as safe with a Vanguard money market fund, especially those that are 99%+ made of US Treasuries. The Barron’s article suggests that the main purpose for Cash Plus seems to be to draw in new customers that don’t already have a Vanguard brokerage account.

The current 7-day SEC yield (as of 8/24/26) on the default brokerage sweep is Vanguard Federal Money Market Fund (VMFXX) is 3.62% with a compound yield of 3.68% (best comparison to APY). I can do even better with Vanguard Treasury Money Market Fund (VUSXX), which is exempt from state income taxes. There’s also now Vanguard 0-3 Month Treasury Bill ETF (VBIL, see below). All of these options are better than Cash Plus.

Will Vanguard expand back into cash management and checking again? Maybe it’s best they don’t.

Fixed-income investing. This also makes sense, especially with a higher yield environment making people branch out to various bond segments, as with fixed income the easiest way to get a higher return without taking on more risk is to simply lower the expense ratio. The math just maths, for both cash and bonds.

Vanguard’s active bond funds charge an average annual fee of 0.10%, compared with an industry average of 0.45% (excluding Vanguard funds), according to data from Morningstar. And 83% of Vanguard active bond funds beat peer 10-year average returns, according to Morningstar.

VBIL has closed its bid/ask spread gap with SGOV and is now also at 0.01%. So you can trade it easily with minimal loss whenever you want a cash sweep option in any brokerage. On top of that, VBIL expense ratio was lowered 0.06%, while SGOV is still at 0.09%. VBIL is the new SGOV replacement in all my various brokerage spaces.

One of the company’s biggest fund launch success stories is the Vanguard 0-3 Month Treasury Bill ETF (ticker: VBIL), which reached $5 billion in assets less than a year after debuting in February 2025. That makes it the fastest-growing Vanguard ETF—fixed income or equity. Devereux notes that as VBIL grew, the company took a page from its traditional playbook and cut the expense ratio from 0.07% to 0.06%. It’s an example, she says, of how, while a lot is changing at Vanguard, “our core mission and focus on clients aren’t.”

Groupon has brought back their limited-time deal on new Costco Gold Star or Executive Memberships. There are two options.

$65 for Gold Star Membership Package

• 1-year Gold Star Membership (normally $65 by itself)
• Membership card for the Primary Cardholder and one additional Household Card for anyone living at the same address, over the age of 18.
• $40 Digital Costco Shop gift card Valid in-store and online. The Digital Costco Shop Card will be emailed within two weeks of sign-up.

$130 for Executive Membership Package

• 1-year Executive Membership (normally $130 by itself). Executive membership includes an annual 2% reward (up to $1,250) on eligible Costco and Costco Travel purchases.
• Executive membership now also includes early shopping hours from 9 a.m.
• Membership card for the Primary Cardholder and one additional Household Card for anyone living at the same address, over the age of 18.
• $40 Digital Costco Shop gift card Valid in-store and online. The Digital Costco Shop Card will be emailed within two weeks of sign-up.

They’ve made it a bit more restrictive in that both the Primary and Household/Affiliate member must not have had a membership in the last 18 months. I know that some people like to alternate between a Costco and Sam’s Club membership.

Valid only for new members and those whose previous memberships (Primary and Affiliate) have been expired for at least 18 months or more. Not valid for renewal or upgrade of an existing membership.

Save even more on your Groupon with a cashback shopping portal. The Rakuten $50 bonus now excludes the Costco offer, but others are actually paying an increased bonus. For example, BeFrugal has a $10 bonus when you join as a new member and earn $10 in rewards, plus 8% cash back on this Costco Groupon offer. If you buy the $130 offer, 8% of $130 is $10.40, enough to trigger the bonus.

In this Morningstar market brief, it is revealed that the average self-directed Vanguard investor (7 million accounts!) held an asset allocation of 65% stocks, 24% cash, and 10% bonds. That’s a lot more cash than I expected as well.

Then this WSJ article comes up, Wealth Management Has a $3 Trillion Problem: Investors Are Keeping Too Much Cash (gift article). A self-directed investor and former pilot is profiled that keeps 85% in stocks and 15% in a “a money-market fund yielding 3.62%”, which suggests a Vanguard money market fund or another very-low cost money market.

He is keeping 85% of his portfolio in stocks and the rest in a money-market fund yielding 3.62%. Ross looked at historical bear markets and determined they typically don’t last longer than three years. He keeps enough of his portfolio in cash to comfortably get himself through that period, and he sells stocks when he needs to replenish his cash pile.

The rest of the article is about financial advisors thinking this is wrong and suggesting all sorts of alternatives, from muni bonds to private credit to buffer ETFs.

Now wealth and asset managers, eager to prove their worth and in many cases earn more fees, are trying to persuade investors to put it to work. Search for the phrase “too much cash” and you will find numerous articles penned by the likes of JPMorgan Chase and Charles Schwab, warning about the risk of being underinvested.

I found myself siding with the pilot. Maybe an alternative bond fund would give you a slightly higher yield, but the yield curve right now is still not very steep. As long as you are smart with your cash holdings (“cash sort”) and avoid crappy default sweep options with low yield from brokerages (like *cough*, JPMorgan Chase at 0.01% and Charles Schwab at 0.01%!) and instead buying SGOV, VBIL, or a Vanguard money market fund, you won’t be losing that much to a riskier bond alternative. Perhaps that is also partially why the cash allocation of Vanguard investors is so high. Their money market funds are quite good.

Switching to other bonds types can be fine, but be aware of the additional risk you are accepting for that higher yield. You may be taking on principal risk (buffer ETFs can lose money), duration risk (longer-term bonds can lose money), credit risk, or liquidity risk (private credit may limit withdrawals).

Finally, cash is simply a very safe, very short-term bond. Bonds are broken down by maturity, and Treasury bills with under 30 days of maturity are considered cash (“cash equivalents”). I see nothing wrong with taking your risk with stocks and keeping your “bonds” the safest flavor of bonds possible.

Keeping track of TIPS yields is useful because it provides a baseline of the return you can get by taking minimal risk. Beyond just the reliability of US Treasury bonds paying out their interest and return of principal at maturity, TIPS are US government-backed bonds that also address the risk of unexpectedly high inflation.

The real yield on 30-year TIPS has been at ~3% for weeks now as of August 2026, which is the first time since 2008, nearly 20 years ago. At the same time, the 30-year regular Treasury is at 5.3%, making the break-even annual inflation rate roughly 2.3%. This situation has motivated a new article by Edward F. McQuarrie and William J. Bernstein, Long TIPS Yield 3%. Time to Buy?. Only 2.3% inflation for the next 30 years? As the authors state, “Good luck with that.”

I would recommend reading it in full for their blunt and snarky writing style, but here are my major takeaways:

• Long-term TIPS real yields at 3% or above are not common, and they usually don’t last long when they do show up.
• “Regular” nominal bonds are more likely than not to have a 30-year rolling average real return below 3%. One long-term average provided is only 1.5% real (above inflation). They do sometimes, but it’s not guaranteed and it can be a lot lower than 3%.
• Stocks historically do provide 30-year rolling average real returns above 3% (see chart below). But your time horizon must be that long, as the short-term returns can be very different.
• As a result, this may be a good opportunity for a near-retiree or retiree to lock in some guaranteed, inflation-protected income via a ladder of individual, long-term TIPS. Near-retirees might sell other bonds and buy TIPS. Younger folks should still own mostly stocks.
• Per TIPSLadder.com, you can currently get a 4.9% real withdrawal rate by building such a ladder. That means with $1,000,000 invested, you can get $49,000 every year in today’s dollars every year for the next 30 years, adjusted upwards each year exactly to match CPI inflation.

What if you live past 30 more years? Remember, you don’t need to put every penny you have into a TIPS ladder. For example, if you carve out just 10% and put it into stocks instead, after 30 years those stocks will have grown quite a lot, most likely enough to fund another 7-10 years of annual income. Or you could split your portfolio up between stocks and TIPS however you like, knowing that the TIPS will provide a stable sleeve of income.

Here’s my monthly survey of the best interest rates on cash as of August 2026, roughly sorted from shortest to longest maturities. Banks and brokerages love taking advantage of idle cash, and you can often earn more interest while keeping the same level of safety by moving to another FDIC-insured bank or NCUA-insured credit union. Check out my Ultimate Rate-Chaser Calculator to see how much extra interest you could earn from switching. Rates listed are available to everyone nationwide. Rates checked as of 8/16/26.

TL;DR: Savings account interest rates dropped slightly overall, while rates on longer-term CD rose slightly. You can get 4.34% APY if you accept certain hoops/restrictions, but most are under 4% now. Short-term T-Bill rates ~3.7%. Top 5-year CD rates are ~4.5% APY, while the 5-year Treasury rate is ~4.4%.

High-yield savings accounts*
Since the huge megabanks still pay essentially zero interest, everyone should at least have a separate, no-fee online savings account to piggy-back onto your existing checking account. The interest rates on savings accounts can drop at any time, so I list the top rates as well as competitive rates from banks with a history of competitive rates and solid user experience. Some banks will bait you with a temporary top rate and then lower the rates in the hopes that you are too lazy to leave.

• The top saving rate at the moment: Elevault (no min) is at 4.34% APY, a division of Southern Bancorp Bank. CIT Platinum Savings held at 3.75% APY with $5,000+ balance, with a new 4.10% APY for 6 months Boost promotion; open your account by 8/31. There are many banks in between.
• SoFi Bank is at 3.10% APY (new customers can get up to $475 in bonuses with qualifying direct deposit. You must maintain a direct deposit of any amount (even $1) each month for the higher ongoing APY. SoFi has historically competitive rates and full banking features.
• Here is a limited survey of high-yield savings accounts. They aren’t the top rates, but a group that have historically kept it relatively competitive such that I like to track their history. This month they start at 3.00% APY on up.

Short-term guaranteed rates (1 year and under)
A common question is what to do with a big pile of cash that you’re waiting to deploy shortly (plan to buy a house soon, just sold your house, just sold your business, legal settlement, inheritance). My usual advice is to keep things simple and take your time. If not a savings account, then put it in a flexible short-term CD under the FDIC limits until you have a plan.

• No Penalty CDs offer a fixed interest rate that can never go down, but you can still take out your money (once) without any fees if you want to use it elsewhere. Marcus has a 11-month No Penalty CD at 4.00% APY ($500 minimum deposit). CIT Bank has a 11-month No Penalty CD at 3.90% APY ($1,000 minimum deposit). Farmer’s Insurance FCU has a 9-month No Penalty CD at 4.00% APY ($1,000 minimum deposit). USALLIANCE Financial CU has a 11-month No Penalty CD at 4.00% APY ($500 minimum deposit).
• CFG Bank has a 12-month CD at 4.30% APY (no minimum deposit). Early withdrawal penalty is not clearly disclosed, I would assume at least 180 days of interest.

Money market mutual funds
Many brokerage firms that pay out very little interest on their default cash sweep funds (and keep the difference for themselves). Note: Money market mutual funds are highly-regulated, but ultimately not FDIC-insured, so I would still stick with highly reputable firms.

• Vanguard Federal Money Market Fund (VMFXX) is the default sweep option for Vanguard brokerage accounts, which has a 7-day SEC yield of 3.61% (changes daily, but also works out to a compound yield of 3.67%, which is better for comparing against APY). Odds are this is much higher than your own broker’s default cash sweep interest rate.
• Vanguard Treasury Money Market Fund (VUSXX) is an alternative money market fund which you must manually purchase, but the interest will be mostly (100% for 2025 tax year) exempt from state and local income taxes because it comes from qualifying US government obligations. Current 7-day SEC yield of 3.68% (compound yield of 3.74%).

Treasury Bills and Ultra-short Treasury ETFs
Another option is to buy individual Treasury bills which come in a variety of maturities from 4-weeks to 52-weeks and are fully backed by the US government. You can also invest in ETFs that hold a rotating basket of short-term Treasury Bills for you, while charging a small management fee for doing so. T-bill interest is exempt from state and local income taxes, which can make a significant difference in your effective yield.

• You can build your own T-Bill ladder at TreasuryDirect.gov or via a brokerage account with a bond desk like Vanguard and Fidelity. Here are the current Treasury Bill rates. As of 8/14/26, a new 4-week T-Bill had the equivalent of 3.70% annualized interest and a 52-week T-Bill had the equivalent of 3.97% annualized interest.
• The iShares 0-3 Month Treasury Bond ETF (SGOV) has a 3.60% 30-day SEC yield (0.09% expense ratio) and effective duration of 0.10 years. The Vanguard 0-3 Month Treasury Bill ETF (VBIL) has a 3.62% 30-day SEC yield (0.06% expense ratio) and effective duration of 0.10 years.

US Savings Bonds
Series I Savings Bonds offer rates that are linked to inflation and backed by the US government. You must hold them for at least a year. If you redeem them within 5 years there is a penalty of the last 3 months of interest. The annual purchase limit for electronic I bonds is $10,000 per Social Security Number, available online at TreasuryDirect.gov.

• “I Bonds” bought between May 2026 and October 2026 will earn a 4.26% rate for the first six months. The rate of the subsequent 6-month period will be based on inflation again. More on Savings Bonds here.
• In mid-October 2026, the CPI will be announced and you will have a short period where you will have a very close estimate of the rate for the next 12 months. I will post another update at that time.

Rewards checking accounts
These unique checking accounts pay above-average interest rates, but with unique risks. You have to jump through certain hoops which usually involve 10+ debit card purchases each cycle, a certain number of ACH/direct deposits, and/or a certain number of logins per month. If you make a mistake (or they judge that you did) you risk earning zero interest for that month. Some folks don’t mind the extra work and attention required, while others would rather not bother. Rates can also drop suddenly, leaving a “bait-and-switch” feeling.

• La Capitol Federal Credit Union pays 6.50% APY on up to $10,000 if you make 15 debit card purchases of at least $5 each per statement cycle. Anyone can join this credit union via partner organization, Louisiana Association for Personal Financial Achievement ($20).
• OnPath Federal Credit Union (my review) pays 6.00% APY on up to $10,000 if you make 15 debit card purchases, opt into online statements, and login to online or mobile banking once per statement cycle. Anyone can join this credit union via $5 membership fee to join partner organization. You can also get a $150 Visa Reward card when you open a new account and make qualifying transactions.
• Genisys Credit Union pays 6.75% APY on up to $7,500 if you make 10 debit card purchases of $5+ each per statement cycle, and opt into online statements. Anyone can join this credit union via $5 membership fee to join partner organization.
• Oklahoma Central Credit Union pays 6.00% APY on up to $10,000 if you make 15 debit card purchases (non-ATM) per statement cycle. Anyone can join this credit union if they are “affiliated with another credit union”.
• First Southern Bank pays 5.50% APY on up to $25,000 if you make at least 15 debit card purchases, 1 ACH credit or payment transaction, and enroll in online statements.
• Credit Union of New Jersey pays 6.00% APY on up to $25,000 if you make 12 debit card purchases, opt into online statements, and make at least 1 direct deposit, online bill payment, or automatic payment (ACH) per statement cycle. Anyone can join this credit union via $5 membership fee to join partner organization.
• Andrews Federal Credit Union pays 5.25% APY on up to $25,000 if you make 15 debit card purchases, opt into online statements, and make at least 1 direct deposit or ACH transaction per statement cycle. Anyone can join this credit union via partner organization.
• Capitol Credit Union pays 6.00% APY on up to $15,000 if you make 12 debit card purchases, opt into online statements, and make at least 1 direct deposit or ACH transaction per statement cycle. Anyone can join this credit union via partner organization ($5 to Wild Basin Wilderness).
• Find a locally-restricted rewards checking account at DepositAccounts.

Certificates of deposit (greater than 1 year)
CDs offer higher rates, but come with an early withdrawal penalty. By finding a bank CD with a reasonable early withdrawal penalty, you can enjoy higher rates but maintain access in a true emergency. Alternatively, consider building a CD ladder of different maturity lengths (ex. 1/2/3/4/5-years) such that you have access to part of the ladder each year, but your blended interest rate is higher than a savings account. When one CD matures, use that money to buy another 5-year CD to keep the ladder going. Some CDs also offer “add-ons” where you can deposit more funds if rates drop.

• NASA Federal Credit Union has a 5-year certificate at 4.38% APY ($1,000 minimum), 4-year at 4.30% APY, 3-year at 4.25% APY, 2-year at 4.20% APY, and 1-year at 4.15% APY. Early withdrawal penalty for the 5-year is 365 days of interest. Anyone nationwide can join via a complimentary membership to the National Space Society (NSS).
• Advancial Federal Credit Union has has a 5-year certificates at 4.28%/4.39%/4.49% APY APY based on either a $1,000/$25,000/$50,000 opening balance. Early withdrawal penalty for the 5-year is 365 days of interest. Anyone nationwide should be able to join via membership with partner organization US Dog Agility Association, but I would call to verify first.
• Popular Direct has a 5-year certificate at 4.50% APY ($10,000 minimum) but with a huge early withdrawal penalty of 730 days of interest.
• You can buy certificates of deposit via the bond desks of Vanguard and Fidelity. You may need an account to see the rates. These “brokered CDs” offer FDIC insurance and easy laddering, but they don’t come with predictable early withdrawal penalties. Right now, I see a 5-year non-callable brokered CD at 4.50% APY (callable: no, call protection: yes). Be warned that both Vanguard and Fidelity will list higher rates from callable CDs, which importantly means they can (and will!) call back your CD if rates drop significantly later.

Longer-term Instruments
I’d use these with caution due to increased interest rate risk (tbh, I don’t use them at all), but I still track them to see the rest of the current yield curve.

• Willing to lock up your money for 10 years? You can buy long-term certificates of deposit via the bond desks of Vanguard and Fidelity. These “brokered CDs” offer FDIC insurance, but they don’t come with predictable early withdrawal penalties. You might find something that pays more than your other brokerage cash and Treasury options. Right now, I see a 10-year CDs at 4.65% APY (non-callable) vs. 4.67% for a 10-year Treasury. Watch out for higher rates from callable CDs where they can call your CD back if interest rates drop.

All rates were checked as of 8/16/26.

* I no longer recommend fintech companies due to the possibility of significant loss due to poor recordkeeping and the lack of government protection in such scenarios. The point of cash is absolute safety of principal.

Photo by Giorgio Trovato on Unsplash

Limited-time offer is back. The Citi AAdvantage Platinum Select World Elite Mastercard is the co-branded American Airlines card from Citi. The sign-up bonus varies, but since you can only get it once every 48 months, right now is a good time with an elevated 80k bonus and the annual fee being waived. Here are the updated card highlights:

• 80,000 American Airlines miles after $3,500 in purchases within the first 4 months of account opening.
• First checked bag free on domestic American Airlines itineraries for you and up to 4 travel companions on the same reservation – savings of up to $500 per round trip.
• 2X AAdvantage® miles for every $1 spent at gas stations
• 2X AAdvantage® miles for every $1 spent at restaurants
• 2X AAdvantage® miles for every $1 spent on eligible American Airlines purchases*
• 1 Loyalty Point for every 1 eligible AAdvantage(R) mile earned from purchases.
• $125 American Airlines Flight Discount after you spend $20,000 or more in purchases during your cardmembership year and renew your card.
• No Foreign Transaction Fees*
• Preferred boarding on American Airlines flights
• 25% savings on inflight food and beverage purchases when you use your card on American Airlines flights
• $0 intro annual fee for the first year, then $99.

Bonus details. Note the following language for the personal card, which has been changed from 24 to 48 months. Having the business version is okay.

American Airlines AAdvantage® bonus miles are not available if you have received a new account bonus for a Citi® / AAdvantage® Platinum Select® account in the past 48 months or if you converted another Citi credit card account on which you earned a new account bonus in the last 48 months into a Citi® / AAdvantage® Platinum Select® account.

To clarify, you can have one of both the consumer version of this card and the CitiBusiness® version designed for businesses under your name. The bonuses are also separate.

Baggage fee value. American Airlines now charges a whopping $50 one-way for the first checked bag if you don’t prepay online ($45 if you prepay online). That’s $100 roundtrip for a single checked bag, per person. With this card, your first checked bag is free on domestic American Airlines itineraries for you and up to four companions traveling with you on the same reservation. $100 roundtrip x 5 people = $500 potential benefit.

Bottom line.  The Citi® / AAdvantage® Platinum® Select® World® Elite® Mastercard® has® a® nice® bonus® offer®. As with most of these co-branded cards, a lot of the ongoing value comes when you fly on American and utilize the free first checked bag benefit for you and up to 4 companions (value of up to $100 per person, round-trip).

Here’s an article about the question “Do married couples efficiently allocate their retirement contributions across their retirement accounts?” Since employer match rates differ, even if you both for example set aside 5% of salary, that may not be the most efficient usage of your potential bonus money.

Roughly 20% of couples are not efficiently using their employer match. Of these couples, the average could have earned $757 more in employer match simply by shifting some of the deferral amount from the account of the spouse with the lower match rate to the account of the spouse with the higher one. Legally, retirement account wealth accumulated during marriage is treated as a marital asset that is equally divided in divorce regardless of which spouse made contributions. Practically, perhaps a household with separate finances will prefer keeping 401k balances separate even if happily married? Is that worth the lost money? Perhaps something worth discussing at the next money talk.

Here are their main findings:

– Employer 401(k) matches vary in generosity, so couples can get the most bang for their buck by prioritizing the more generous match.
– But, about 1 in 5 couples leave employer matching money on the table by failing to coordinate their contributions – forgoing $760 per year, on average.
– Half of forgone matches appear to be accidental; the other half reflect deliberate choices related to low marital commitment and/or misperceptions about how assets are treated in divorce.
– These findings suggest that employers and financial advisors could boost couples’ savings by alerting them to the value of coordination.

As of 9/27/26, most Discover cards were transitioned to Capital One. Capital One cards work with Paze, so now you might have some new sources of $10 credits! My family just ordered another 3 x $10 of Domino’s last week. To add them, log into Paze at www.paze.com, look to add a new card, click on Capital One, and log into your Capital One account.

Paze is a new online checkout shortcut where you don’t have to type in your credit card number and billing address details repeatedly (think of how “Apple Pay” or “Google Pay” are so convenient), this time backed by a bunch of different banks and credit unions. In order to build a habit, Paze is running a Spend $10, Get $10 promo that works up to 10 times per linked card. That means it could be worth $100 per linked card, and so if you have 5 linked cards for example, that’s up to $500 in credits. Here is a list of current Paze merchants.

Between June 15, 2026 and September 10, 2026, each time you spend $10 or more using Paze® in a single transaction at a participating merchant, you’ll receive a $10 statement credit.

You can earn this credit up to 10 times, for up to $100 back per card in your Paze wallet. Paze is accepted at a growing list of online merchants – see the full list here.

Note: Chase Sapphire and Freedom cards are also offering a separate promo for 10X points per $1 spent on Paze purchases right now. You can verify this in your Chase App under the Benefits section for your Sapphire Preferred/Reserve and Freedom Flex/Unlimited cards. A nice stacking opportunity. You can also link them to Paze directly in your Chase App under “More” in the bottom right corner and then “Digital Wallets”.

Here are a few ideas on how to spend this credit efficiently. Remember, each purchase just has to total $10 to trigger the credit, so you want to get as close to that minimum as possible.

• $10 Dunkin gift cards. Dunkin App, Scan/Pay, Pay Another Way, Add A Dunkin Card, No, Next, $10, Paze. You now need to wait 24 hours per $10 load.
• $10+ Domino’s pizza for carry-out. You can’t buy a $10 gift card through their app, but you can make multiple takeout orders for just over $10 and just pick them up all at once.
• $10 Fanatics gift card (limited). I was able to buy one but not a second immediately after. According to a commenter on Reddit who contacted customer support, there is a cooldown period. But since this promo lasts until September, you could still accumulate a decent amount of gift cards over time.
• Meals just over $10 from Wendy’s. Order in the app or online.
• Items just over $10 from Sephora. Order in the app or online.
• Items just over $10 from Newegg.com Gift cards are no longer a good option.
• Any other ideas?