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$10,000 in a competitive high-yield savings account (4% annual percentage yield) earns $400 a year.
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Big Bank Savings Accounts (0.01% APY) will earn just $1 on $10,000 a year.
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High-yield accounts are best for emergency funds and short-term savings purposes.
If you put $10,000 into a savings account that earns the national average rate of -0.60%, according to Bankrate’s weekly survey through March 3, 2026 – you’ll earn just $60 a year. Most major banks pay as little as 0.01% annual percentage yield (APY), which will net you a dollar in interest. But the same amount in one of today’s high-yield savings accounts, earning 4% APY, would generate $400 in interest.
High-yield savings accounts offer easy access to your money while providing competitive returns, making them ideal for emergency funds and short-term financial goals. But your APY makes a big difference to how much you earn—and whether you’ll stay ahead of inflation.
The amount your $10,000 will earn depends entirely on the annual percentage your account offers. Here’s a comparison of the different types of savings accounts when it comes to keeping $10,000 for a full year:
|
Type of savings account |
Normal APY |
Interest earned on $10,000 |
Total after one year |
|---|---|---|---|
|
High Yield Savings Account |
4.00% |
$400 |
$10,400 |
|
National Average Savings Account |
0.60% |
$60 |
$10,060 |
|
Big Bank Savings Account |
0.01% |
$1 |
$10,001 |
Variable rates affect how much you earn
Savings account yields are variable, meaning banks can raise or lower them at any time. So, you shouldn’t assume that the money you deposit will continue to earn you at the same rate for a full year – even though we’ve made that assumption for our calculations here. Banks that offer higher rates tend to increase yields when the Federal Reserve raises rates, and they often decrease yields when the Fed lowers rates.
High-yield savings accounts typically offer rates between 3.50% and 4% APY, which is significantly higher than traditional savings accounts. These competitive rates are often found at online banks, which can offer higher yields because they don’t have the overhead costs of maintaining physical branches.
A high yield protects your purchasing power against inflation
Your money loses purchasing power if it doesn’t earn more than the rate of inflation, which was 2.4% year-over-year in January 2026. This means you need $102.39 this January to buy the $100 you would have earned in January last year.
If your money was in a high-yield savings account earning 4%, the $100 you deposited a year ago would grow to $104 today, preserving your purchasing power.
