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- $25,000 at 4.00% APY earns about $1,000 in one year.
- The same $25,000 at the FDIC national average savings rate of 0.38% APY earns about $95.
- That is a gap of about $905 a year on your money is worth it only if the account's fees and transfer rules fit how you'd actually use the cash.
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At the national average savings rate of 0.38% (as of 06/15/26), $20,000 earns $76 a year. The same balance could earn up to nine times more with a SoFi Checking and Savings account. See SoFi®'s current rate.
If you've built up $25,000 in savings, that's real progress. The money is probably safe, easy to reach, and quietly sitting there while rent, groceries, insurance, and every other bill keep acting like they have personal ambition.
The question is whether that same $25,000 is working hard enough. A regular savings account often pays very little, while a high-yield savings account, or HYSA, could pay much more without turning your cash into an investment that's not easy to access.
Use the rates in this example, swap in the APY from your own account, and you can decide whether moving some or all of your $25,000 is worth the effort.
The one-year gap is big
Many high-yield savings accounts are paying around 4.00% APY (as of 08/13/26), while the FDIC's national average savings rate is 0.38% (as of 06/15/26). If you haven't chosen your account specifically for the rate, chances are you're earning on the low end of that spectrum.
Using simple one-year interest, here's what the same balance earns:
- High-yield savings account at 4.00% APY: about $1,000 of interest on $25,000 after one year.
- Regular savings benchmark at 0.38% APY: about $95 of interest on $25,000 after one year.
That leaves a one-year difference of about $905. Same $25,000 in the bank, but a very different result.
Run the math with your rate
When you're comparing annual percentage yield, or APY, the rough one-year shortcut is simple:
$25,000 x APY = approximate interest for one year
For the HYSA side, $25,000 x 4.00% for one year equals $1,000. You might also see the rate written as 0.0400, so the same formula is $25,000 x 0.0400 = $1,000.
But at the FDIC's average rate, $25,000 x 0.38% for one year equals only about $95.
Once you know your own account APY, replace the benchmark with your real number. You'll quickly (and potentially painfully) see that the difference can be meaningful.
Having your checking and savings accounts with the same financial institution can make money management a lot simpler. SoFi® was our 2026 award winner for Best Checking and Savings Combo because it delivers on interest and additional features.
For example, you could earn up to 3.80% APY on your savings balance with direct deposit. (3.10% APY2 <p>New and existing Checking and Savings members who have not previously enrolled in Direct Deposit with SoFi are eligible to earn a cash bonus of either $50 (with at least $1,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more) OR $400 (with at least $5,000 total Eligible Direct Deposits received within 25 calendar days of your first Eligible Direct Deposit of $1 or more). Cash bonus amount will be based on the total amount of Eligible Direct Deposit received within 25 calendar days of your first Eligible Direct Deposit of $1 or more. If you have satisfied the Eligible Direct Deposit requirements but have not received a cash bonus in your Checking account, please contact us at 855-456-7634 with the details of your Eligible Direct Deposit. Direct Deposit Promotion begins on 5/15/2026 and will be available through 12/31/26. See full bonus and annual percentage yield (APY) terms at <a href="https://www.sofi.com/banking/checking-offer/">sofi.com/banking/checking-offer/</a></p> with +0.70% APY Boost) for up to 6 Months on new accounts.1 <p>Earn up to 3.80% Annual Percentage Yield (APY) on SoFi Savings with a 0.70% APY Boost (added to the 3.10% APY) for up to 6 months. Open a new SoFi Checking & Savings account with Eligible Direct Deposit by 12/31/26. Rates variable, subject to change. Terms apply at <a href="https://www.sofi.com/banking/#2">sofi.com/banking#2</a>. SoFi Bank, N.A. Member FDIC.</p> SoFi also offers more special features than any other account combo we looked at:
No account fees: No overdraft fees.3 <p>Overdraft Coverage is a feature automatically offered to SoFi Checking and Savings account holders who receive at least $1,000 or more in Eligible Direct Deposits within a rolling 31 calendar day period on a recurring basis. Eligible Direct Deposit is defined on the SoFi Bank Rate Sheet, available at <a href="https://www.sofi.com/legal/banking-rate-sheet">https://www.sofi.com/legal/banking-rate-sheet</a>. Members enrolled in Overdraft Coverage may be covered for up to $50 in negative balances on SoFi Bank debit card purchases only. Overdraft Coverage does not apply to P2P transfers, bill payments, checks, or other non-debit card transactions. Members with a prior history of unpaid negative balances are not eligible for Overdraft Coverage. Eligibility for Overdraft Coverage is determined by SoFi Bank in its sole discretion. Members can check their enrollment status, if eligible, at any time by logging into their account through the SoFi app or on the SoFi website.</p> No minimum balance fees. No monthly fees.4 <p>We do not charge any account, service, or maintenance fees for SoFi Checking and Savings. We do charge transaction fees for outgoing wire transfers, Instant Transfers, and global remittance transfers. Our fee policy is subject to change at any time. See the SoFi Bank Fee Sheet for details at <a href="http://sofi.com/legal/banking-fees/">sofi.com/legal/banking-fees/</a>.</p>
Get paid up to two days early: Feel the magic of payday up to two days earlier — automatically — when you set up direct deposit.5 <p>Early access to direct deposit funds is based on the timing in which we receive notice of impending payment from the Federal Reserve, which is typically up to two days before the scheduled payment date, but may vary.</p>
Access additional FDIC insurance up to $3M: Typically, single-member deposit accounts are federally insured up to $250,000. With SoFi, FDIC insurance up to $3 million on deposits is available through a seamless network of participating banks.6 <p><b style="font-family: Rubik, -apple-system, BlinkMacSystemFont, "Segoe UI", Roboto, "Helvetica Neue", Arial, sans-serif;">SoFi Bank is a member FDIC and does not provide more than $250,000 of FDIC insurance per depositor per legal category of account ownership, as described in the FDIC’s regulations. Any additional FDIC insurance is provided by the SoFi Insured Deposit Program. Deposits may be insured up to $3M through participation in the program. See full terms at <a href="http://sofi.com/banking/fdic/sidpterms">SoFi.com/banking/fdic/sidpterms</a>. See list of participating banks at <a href="http://sofi.com/banking/fdic/participatingbanks">SoFi.com/banking/fdic/participatingbanks</a>.</b></p>
Open an account with SoFi here.
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Your own rate may differ
The FDIC benchmark is useful because it gives you a national reference point, but your own savings account might pay more or less than 0.38%. Your real APY is usually listed on your monthly statement, inside account details in online banking, or on the account's rate information page.
If your regular savings account pays above the FDIC benchmark, the HYSA advantage narrows. If your account pays below the benchmark, which can happen with some low-rate savings accounts, the dollar gap widens. Either way, the decision starts with the APY attached to your actual $25,000.
| If you have | One year at 0.38% (national average) | One year at 3.80% APY (example) | You are leaving behind |
| $10,000 | about $38 | about $380 | about $342 |
| $25,000 | about $95 | about $950 | about $855 |
| $40,000 | about $152 | about $1,520 | about $1,368 |
| $50,000 | about $190 | about $1,900 | about $1,710 |
| $100,000 | about $380 | about $3,800 | about $3,420 |
Fast access can still matter
A HYSA can be a great solution for money you want available, especially if the account supports electronic transfers to a linked checking account. But accessible doesn't always mean instant access, which could matter if the $25,000 includes rent money, a vacation deposit, or a repair fund for the car that keeps making that noise.
Before moving your full balance, check how money can move in and out of your new account. Look at transfer options, linked-account rules, ATM or withdrawal access, and limits that would be annoying during a rushed week.
You might decide that most of the $25,000 belongs in a higher-yield account while a smaller slice stays closer to your everyday checking account. That split could cost a little interest, but it could buy breathing room when timing matters. Regardless, it's better than leaving your entire amount earning no meaningful interest.
Convenience can be worth paying for
There's nothing irrational about keeping a regular savings account. Maybe you use local branches, deposit cash, like in-person help, or want your savings next to your checking account so you don't have one more login to supervise.
The useful question is what that convenience costs over one year. In this example, choosing regular savings instead of a HYSA at 4.00% APY on $25,000 leaves about $905 on the table. If you use the branch often, that tradeoff could feel reasonable. If you rarely touch the account, the price of familiarity might look too high.
Fees and taxes change what you keep
Interest only helps if account costs don't eat too much of it. Before you compare two savings accounts, look for monthly maintenance charges, minimum balance conditions, excess transfer charges, wire fees, paper statement fees, or other costs listed in the account terms.
Say an account charges $5 per month. Over one year, that's $60, so $1,000 of interest from $25,000 at 4.00% APY becomes $940 after that one fee example. A $60 fee can look small, but it's your money and if all you have to do is choose a no-fee account, then it's an easy solution to keep that money.
Taxes are the other piece. Interest from savings accounts is generally taxable income, so the interest you earn could affect your tax return depending on your broader situation. That doesn't erase the value of a higher APY, but it does mean the amount you keep after taxes may be lower than the headline interest number.
Check insurance before moving money
A higher savings APY isn't the same thing as taking stock-market risk. A deposit account pays interest on cash, while investments can rise or fall in market value. The safety question is whether the place holding your money has deposit insurance and how that coverage applies to your ownership category.
The general federal deposit insurance limit is $250,000 per depositor, per insured institution, per ownership category through the FDIC for banks and through the NCUA for credit unions. A $25,000 balance sits below that general limit, but verifying insurance status and ownership category is still part of choosing where the money goes.
Once deposit insurance fits your situation, the rest of the choice is practical: rate, access, costs, and convenience.
When the move makes sense
On $25,000 for one year, a HYSA at 4.00% APY earns $1,000. The same $25,000 at the FDIC's current regular savings benchmark of 0.38% (as of 06/15/26) earns about $95, leaving a gap of about $905.
Check your current APY first, then compare that number with available high-yield savings rates. If the gap still looks meaningful after access needs, account costs, taxes, and deposit insurance, moving your $25,000 to a high-yield savings account could mean more interest without changing the savings-account role of the cash.
Would You Spend Ten Minutes for $1,465?
That's roughly the year's difference on $40,000 between the national average and the up-to-4.00% rates available now. And ten minutes isn't a figure of speech. You just provide some information, like your name, address, Social Security number, and the account your deposit money's coming from. But rates are variable and follow the market, which is why the only number worth acting on is today's. Compare the current top accounts here.
| Bank/Institution | APY
|
Minimum Balance for APY | Bonus Offer | Continue | |
|---|---|---|---|---|---|
2026 AWARD WINNER
Best Checking and Savings Combo
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5.0
|
3.80%
|
$0
|
Up to $400
|
APY
3.80%
Min Balance for APY
$0
Bonus Offer
Up to $400
|
|
/images/2026/06/04/happen_bank_logo_060426.png){kind=logo}
4.8
|
4.00%
|
$250+ monthly deposits
|
—
|
APY
4.00%
Min Balance for APY
$250+ monthly deposits
Bonus Offer
—
|
|
/images/2026/07/16/0e961b0c-9cb2-42c5-8b74-e02acc0b68ee.png)
4.3
|
4.10%
|
$5,000
|
6-Month APY Boost
|
APY
4.10%
Min Balance for APY
$5,000
Bonus Offer
6-Month APY Boost
|
|
/images/2025/05/09/f5d62c4e-9db2-463b-8722-2e3261464e4d.png)
4.9
|
4.15%
|
$1
|
Up to $1,200
|
APY
4.15%
Min Balance for APY
$1
Bonus Offer
Up to $1,200
|
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