Situation: Someone (United States jurisdiction) has $10k cash currently sitting in a low interest savings account that is intended to deploy for a personal project later this year in December. (This is not a gamble stash, other funds are available elsewhere for that)
Goal: Rather than sit idly all year, recieve a better yield than where the cash currently is held but incur near zero additional risk of capital loss while maintaining high liquidity.
Plan: Transfer this money into a "high yield" savings vehicle (SWVXX or SNSXX) to take advantage of the steady-for-now 5% yield and move it back into bank when ready to spend the lump sum.
Question: What are the financial considerations of moving sizeable sums of cash around aside from capital gains taxes from the accrued yield over the duration?
Submitted February 06, 2024 at 11:43PM by karma-_-incarnate https://ift.tt/omqcbUB
