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Why you need a high-yield savings account today

High-yield savings account interest rates are significantly higher than traditional savings accounts. /Getty Images

Savings are an essential part of any smart financial plan. Whether you're building an emergency fund or setting aside money for a big purchase, a healthy savings account can help you reach your financial goals and cover unexpected costs without going into debt. And every little bit you can set aside counts.

The easiest way to boost your savings is with a high-yield savings account. High-yield savings accounts are a popular financial tool for many reasons, including the ability to earn much more interest than you can with a regular savings account. If you don't already have one, now is the perfect time to consider opening one.

See today's high-yield savings account rates here to find out how much you could be earning.

Why you need a high-yield savings account today

Benefits of high-yield savings accounts include:

Your savings will grow faster

High-yield savings account interest rates are significantly higher than traditional savings accounts. For instance, today's top savings accounts offer APYs up to 11 times higher than the national average (if not more).

Over time, that extra interest compounds to make a big difference in your balance, helping you reach your savings goals faster without any action on your part beyond opening the account. If you have a regular savings account, you're essentially missing out on free money.

Compare top high-yield savings accounts online now.

You can access your money easily

Unlike certificates of deposit (CDs), another popular savings vehicle, high-yield savings accounts allow you to withdraw your money at any time without penalty.

You can easily transfer funds from your savings to your checking account to use them as needed. Some high-yield savings accounts even offer ATM cards, making it simple to access your money whenever you need it. This is especially important in case of an emergency expense, but it can be convenient at any time.

You'll enjoy low (or no) fees

Many high-yield savings accounts are provided by online banks, which have fewer costs than traditional banks that maintain brick-and-mortar branches. These banks are able to pass these savings on to you by offering low fees — or no fees at all.

Monthly maintenance, minimum balance and ATM fees can erode the interest you get from a savings account. By avoiding these fees, you can keep more of the money you earn.

Your money will be safe

High-yield savings accounts are FDIC-insured (if held at a bank) or NCUA-insured (if held at a credit union). That means your money is protected by federal deposit insurance if the institution fails — valuable peace of mind given this year's much-publicized failures of Silicon Valley Bank and Signature Bank.

This insurance protects up to $250,000 per account per institution. If you have more to put into savings, you can open multiple accounts and divide your money among them.

View current high-yield savings account options here.

The bottom line

In today's economy, savings are more important than ever. And by putting your money in a high-yield savings account, you can accumulate more interest and achieve your goals faster. If you're not sure where to start, check out these high-earning savings accounts and look for these things to find the one that's best for you.

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