8 Best Places To Keep Your Cash In 2026
8 Best Places To Keep Your Cash In 2026
These options are not only safe, but also allow you to earn interest.
Emily Batdorf Wed, January 7, 2026
Now that the new year is underway, you may be reflecting on both your financial situation and the greater financial landscape in the U.S. Though prices for everything — from groceries to housing to utilities — remain high, inflation has slowed over the last year. This prompted the Fed to cut rates three times during 2025. At the same time, the job market has cooled, and unemployment has risen.
If nothing else, the current economic situation may be reinforcing how important it is to keep cash on hand. Whether you lose your job or you’re simply facing a higher cost of living, cash can provide you with a critical safety net. That’s why choosing the right place to protect and grow it is crucial.
8 best places to keep your cash
The best place for your cash depends on your financial situation and priorities. Where one account may offer higher returns, another may have higher liquidity. Consider the following options for your cash in 2026, keeping your unique needs in mind:
High-yield savings account
High-yield savings accounts (HYSAs) offer two major perks: competitive interest earnings and high liquidity. The biggest difference between HYSAs and traditional savings accounts is that HYSAs pay higher rates, often because they’re offered by banks with lower overhead costs (namely, online banks).
With the best high-yield savings accounts earning as much as 4% APY, these accounts could be a great place to store cash and help your balance grow faster. However, keep in mind that some banks may limit the number of withdrawals you can make from your HYSA each month.
Money market account
A money market account (MMA) combines features of a savings account and a checking account, making it a versatile option for managing your cash. MMAs tend to earn higher interest rates compared to traditional savings accounts, but they also typically come with a debit card and/or checks to make accessing and spending your money easier.
Even though MMAs are more accessible than regular savings accounts, they can still have withdrawal limits. MMAs also tend to have higher minimum balance requirements, so they may not be the best choice if your savings balance is small.
Short-term CD
A certificate of deposit (CD) is a type of account that allows you to lock in an interest rate for an agreed-upon period of time, known as the term. You generally can’t touch your money until the account reaches maturity without paying a penalty. But in exchange for keeping your money on deposit, CDs offer guaranteed interest.
CDs come in a range of terms, from one month to five or more years. Short-term CDs, or those with terms of one year or less, let you benefit from competitive, fixed interest rates without locking up your money for too long. Plus, with current economic conditions, some shorter-term CDs are offering the most competitive rates.
Treasury bill
Treasury bills are short-term debt securities issued by the U.S. government with terms ranging from four weeks to one year. When you purchase a Treasury bill, you pay a discounted price. When the bill matures, you receive its face value.
TO READ MORE: https://www.yahoo.com/finance/personal-finance/banking/article/best-places-to-keep-cash-230620039.html