High-Yield Savings Calculator
See how much interest your savings can earn in a high-yield account, with monthly deposits and compounding, and compare it with a standard savings rate.
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About the High-Yield Savings Calculator
A high-yield savings account pays much more interest than a typical bank savings account, usually through an online bank. This calculator compounds your balance monthly using the account's APY (annual percentage yield), adds your monthly deposits and shows how much more you earn than at a standard rate.
How to use it
- Enter your starting balance and monthly deposit.
- Enter the APY of the high-yield account and of a standard account, and the number of years.
- Press Calculate interest to compare the balances and the extra interest earned.
Why APY matters
APY includes compounding, so it shows the real yearly return. A 4.2% APY on $10,000 earns about $420 in the first year. At 0.4% the same balance earns about $40.
Things to check before opening an account
- The account is FDIC insured (or NCUA for credit unions) up to $250,000 per depositor per bank.
- Rates are variable and can change at any time.
- Look for no monthly fees or minimum balances.
- Interest is taxed as ordinary income.
Frequently asked questions
How much interest will I earn in a high-yield savings account?
Multiply your balance by the APY for a year of interest, or use the calculator above to include monthly deposits and compounding.
Are high-yield savings accounts safe?
Accounts at FDIC-insured banks are protected up to $250,000 per depositor, per bank, per ownership category.
Is APY the same as interest rate?
No. APY includes the effect of compounding. APR is used for loans.
Are savings account rates fixed?
Usually not. Banks change them with market rates, so the projection is an estimate.
Is the interest taxable?
Yes, interest is taxed as ordinary income at the federal level and in most states.
Last reviewed: November 2026. Estimates only, not financial, tax or legal advice.