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I have some savings ($35,000 USD) that I'll be living off of for the next 6-12 months. Is it possible to profit from some of this money in the short term before I need to access it?

RonJohn
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pixelearth
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2 Answers2

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Is it possible to profit from some of this money in the short term before I need to access it?

Sure, it's possible. But if the stock market decides to "correct" (or even crashes), you'll be in a world of hurt.

Thus, since it's so important that you not lose this money, just stick it in an online bank earning 1.2%, and withdraw "enough" twice a month.

EDIT: by "withdraw", I mean to transfer to your checking account.

RonJohn
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  • My "high interest" money market account is only earning 0.3%.... –  Jun 09 '21 at 22:31
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    @Michael of course, my answer is 3.5 years old. (Also, Ally Bank savings account is 67% higher than your MM account, and there are even some which are 83% or more higher. :D – RonJohn Jun 10 '21 at 01:24
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Yes, and there are several ways, the safest is a high-yield savings account which will return about 1% yearly, so $35 per month. That's not extremely much, but better than nothing (you probably get almost zero interest on a regular checking account).

brt
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    My how quickly answers such as this go out of date... my "high interest" money market account is now earning 0.3%... inflation is eating me alive –  Jun 09 '21 at 22:32