The Perfect Savings Account

A penny saved is a penny earned

The virtues of saving are hard to deny. Savings protect you from the unexpected in life, such as a sudden layoff or family illness. Savings help you afford big purchases such as a down payment, paying off your student loans, or college tuition for your child. Savings also help you enjoy the moment, such as paying for a vacation abroad, or equipments for your hobbies.

So why is saving so hard?

Lots have been written about the psychology of savings, particularly how fallible we are when it comes to taking care of our future selves. But today, I’m going to focus on a different reason.

Saving is hard because you don’t get paid to save.

Exhibit One: Savings rate at the top 3 US banks

Exhibit One: Savings rate at the top 3 US banks

Despite interest rates rising across the board, the top US banks are stubbornly keeping their interest rates close to zero, and sometimes even charging a fee if your savings balance is not big enough. We work hard for our money, so our money needs to work hard too! No wonder many of us are choosing to invest our savings in the stock market for the promise of higher returns.

However, let us not forget that investing in the stock market contains risk, while having your money in cash only subjects it to inflation.

Wait, inflation?

Yes, that means your money sitting in a 0.06% Bank of America savings account is losing value by 2-3% a year (average inflation). Imagine you have a stack of 100 one dollar bills, every year, three one dollar bills disappear into thin air. That’s what inflation does to your money.

So what should you do?

  1. Aim for the highest interest rate you can get in a savings account that does not charge an account fee.

  2. If your savings account allows instant transfers to your checking account, put most of your cash reserve in your savings account to earn the most interest possible.

  3. Sit back and watch your money grow.

It’s quite simple, isn’t it?

Saving isn’t rocket science, and it shouldn’t be. Spend less than what you earn, put the extra cash in a high interest savings account, and enjoy the peace of mind that you are okay whatever happens.

Meet Empower Savings

We pay you to save.


Your balance in an Empower savings account earn a 1.85% APY interest rate, compounded daily, so as soon as you save more money, you are earning more interest. It also transfers in real-time to your Empower checking account, so you can access your fund without waiting 2-3 days as it is the case with other internet banks. And we never charge you any fees or requires a minimum balance because 1) it’s not right and 2) we can afford to not charge. We built Empower from scratch so we don’t have any of the legacy cost of banking such as branches, tellers, or clunky automated telephone systems. We give most of that savings back to you so you can reach your goals faster.

Let’s look at the comparison:

We pay 30x what the top US banks pay, and we constantly try to increase the rate.

We pay 30x what the top US banks pay, and we constantly try to increase the rate.

So what are you waiting for? Give it a shot. And you don’t have to take my word for it. Deposit $100 today and see how much it grows to at the end of the month 😊