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Should you put $10,000 in a 3-year CD this July? Here’s what experts think.

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A certificate of deposit may be a good way to earn more on your money. 

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Returns on certificates of deposit (CDs) are high at the moment. You can lock in APYs as high as 4.60% with leading financial institutions for three years. And, that’s important given the current economic climate and interest rate environment. 

As inflation cools, economists expect rates to start coming down. And, when they do, earnings on deposit accounts may fall. So, opening a 3-year CD right now could be advantageous. That’s especially true if you have $10,000 in savings you’d like to earn a meaningful return on. But if you put $10,000 in a 3-year CD, you’ll have to leave it there until the account matures. If not, you may pay an early withdrawal penalty, defeating the purpose of opening the CD in the first place. 

So, should you put $10,000 in a 3-year CD right now? We asked some experts their thoughts. 

See how much interest you could earn on a top 3-year CD here

Should you put $10,000 in a 3-year CD this July? 

There are multiple reasons to put $10,000 into a 3-year CD. Here’s why the experts we spoke with say you should do so now:

This may be your last chance to lock in such high CD rates for a while

The Federal Reserve’s federal funds rate is a popular benchmark for consumer interest rates. So, if the Fed cuts its federal funds rate, financial institutions may start paying lower APYs on deposit accounts like CDs. And, with inflation cooling, that’s a real possibility in the near term. So, you may be running out of time to lock in today’s high rates. 

“With the Fed’s recent comments, today may be the last chance for quite some time to lock in rates, as they begin to start coming down in the near future,” explains Nick Covyeau, CFP, owner and financial planner at the financial planning firm, Swell Financial. “This is a guarantee that high-yield savings accounts cannot offer as their rates are subject to change.”

Lock in today’s high returns with a 3-year CD before they’re gone

CDs are safe

It can be challenging to earn a strong return on your money while maintaining safety. But, CDs are currently the exception to that rule. 

“A CD is a safe and effective way to grow your money,” says Covyeau. 

Return rates on these accounts are currently high – though they may not last – and CDs typically come with FDIC or NCUA insurance on balances up to $250,000. So, as long as you maintain a balance below this insurance cap, your money is safe, even if the financial institution you open your account with isn’t. 

CDs offer a passive savings opportunity

You may have to take an active approach with other savings options. But, CDs give you a way to take a passive approach to earning money on your savings

“If you want to ‘set it and forget it,’ this is one of the rare occasions that allow you to,” explains Noah Damsky, principal at the financial planning firm, Marina Wealth Advisors. “Park it, come back in three years, and enjoy the growth.”  

He explains that this is a strong approach for certain savings goals. For example, “if you’re saving for a down payment and your strategy to save up says you’ll be ready in 3-5 years to buy, save it in a 3-year CD,” says Damsky. “This helps you to lock it away at favorable interest rates so it’s on autopilot.”

This may also be a strong option if you’re nearing retirement

“Perhaps you’ll retire, start drawing on Social Security or sign up for Medicare in a few years,” says Damsky. “With a CD, you can earn a competitive interest rate while maintaining flexibility for the upcoming milestone.”

Open a CD now to take advantage of passive income generation

The bottom line

If you’re looking for a safe way to earn a meaningful return on $10,000, consider depositing it into a 3-year CD. The experts we spoke with say the time to to earn today’s strong returns on these accounts may soon end given the current interest rate environment. And, CDs are safe, passive ways to make your money work for you. Deposit $10,000 into a CD today to earn more on your money



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Social Security Fairness Act passes U.S. Senate

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Legislation to expand Social Security benefits to millions of Americans passed the U.S. Senate early Saturday and is now headed to the desk of President Joe Biden, who is expected to sign the measure into law.

Senators voted 76-20 for the Social Security Fairness Act, which would eliminate two federal policies that prevent nearly 3 million people, including police officers, firefighters, postal workers, teachers and others with a public pension, from collecting their full Social Security benefits. The legislation has been decades in the making, as the Senate held its first hearings into the policies in 2003. 

“The Senate finally corrects a 50-year mistake,” proclaimed Senate Majority Leader Chuck Schumer, a Democrat from New York, after senators approved the legislation at 12:15 a.m. Saturday.

The bill’s passage is “a monumental victory for millions of public service workers who have been denied the full benefits they’ve rightfully earned,” said Shannon Benton, executive director for the Senior Citizens League, which advocates for retirees and which has long pushed for the expansion of Social Security benefits. “This legislation finally restores fairness to the system and ensures the hard work of teachers, first responders and countless public employees is truly recognized.”

The vote came down to the wire, as the Senate looked to wrap up its current session. Senators rejected four amendments and a budgetary point of order late Friday night that would have derailed the measure, given the small window of time left to pass it. 


Some seniors shut out of full Social Security benefits

02:20

Vice President-elect JD Vance of Ohio was among the 24 Republican senators to join 49 Democrats to advance the measure in an initial procedural vote that took place Wednesday.

“Social Security is a bedrock of our middle class. You pay into it for 40 quarters, you earned it, it should be there when you retire,” Ohio Senator Sherrod Brown, a Democrat who lost his seat in the November election, told the chamber ahead of Wednesday’s vote. “All these workers are asking for is for what they earned.” 

What is the Social Security Fairness Act?

The Social Security Fairness Act would repeal two federal policies — the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO) — that reduce Social Security payments to nearly 3 million retirees. 

That includes those who also collect pensions from state and federal jobs that aren’t covered by Social Security, including teachers, police officers and U.S. postal workers. The bill would also end a second provision that reduces Social Security benefits for those workers’ surviving spouses and family members. The WEP impacts about 2 million Social Security beneficiaries and the GPO nearly 800,000 retirees.

The measure, which passed the House in November, had 62 cosponsors when it was introduced in the Senate last year. Yet the bill’s bipartisan support eroded in recent days, with some Republican lawmakers voicing doubts due to its cost. According to the Congressional Budget Office, the proposed legislation would add a projected $195 billion to federal deficits over a decade. 

Without Senate approval, the bill’s fate would have ended with the current session of Congress and would have needed to be re-introduced in the next Congress. 



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Saturday is the winter solstice and 2024’s shortest day. Here’s what to know about the official start of winter.

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The 2024 winter solstice, the shortest day of the year, happens on Saturday, Dec. 21, in the Northern Hemisphere. The celestial event signifies the first day of winter, astronomically. 

What is the winter solstice?

The winter solstice is the day each year that has the shortest period of daylight between sunrise and sunset, and therefore the longest night. It happens when the sun is directly above the Tropic of Capricorn, a line of latitude that circles the globe south of the equator, the National Weather Service explains. 

The farther north you are, the shorter the day will be, and in the Arctic Circle, the sun won’t rise at all. 

How is the day of the winter solstice determined?

The winter solstice occurs because of the Earth’s tilt as it rotates around the sun. 

When the Northern Hemisphere tilts away from the sun, the nights last longer. The longest night happens on the solstice because the hemisphere is in its furthest position from the sun. That occurs each year on Dec. 21 or 22. 

This year, it falls on Dec. 21 at 4:21 a.m ET, to be precise.

On the summer solstice, when the northern tilt is closest to the sun, we have the longest day, usually June 20 or 21.

Illustration of the Earth's tilt in different seasons
This illustration from the National Weather Service shows the tilt and rotation of the Earth on the winter and summer solstices, as well as the autumnal and vernal equinox marking the beginning of fall and spring.

National Weather Service


The solstices are not always exactly on the 21st every year because the earth’s rotation around the sun is 365.25 days, instead of 365 even. 

Will days start getting longer after the winter solstice?

Yes. Each day after the solstice, we get one minute more of sunlight. It doesn’t sound like much, but after just two months, or around 60 days, we’ll be seeing about an hour more of sunlight. 

When will winter officially be over in 2025?

The meteorological winter ends on March 20, 2025. Then, spring will last until June 20, when the summer solstice arrives. 

How is the winter solstice celebrated around the world?

Nations and cultures around the world have celebrated the solstice since ancient times with varying rituals and traditions. The influence of those solstice traditions can still be seen in our celebrations of holidays like Christmas and Hanukkah, Britannica notes.

The ancient Roman Saturnalia festival celebrated the end of the planting season and has close ties with modern-day Christmas. It honored Saturn, the god of harvest and farming. The multiple-day affair had lots of food, games and celebrations. Presents were given to children and the poor, and slaves were allowed to stop working. 

Gatherings are held every year at Stonehenge, a monumental circle of massive stones in England that dates back about 5,000 years. The origins of Stonehenge are shrouded in mystery, but it was built to align with the sun on solstice days

Winter Solstice at Stonehenge
People gather at sunrise for the winter solstice celebrations at the Stonehenge prehistoric monument on Salisbury Plain in Wiltshire, England, on Dec. 22, 2021.

Andrew Matthews/PA Images via Getty Images


The Hopi, a Native American tribe in the northern Arizona area, celebrate the winter solstice with dancing, purification and sometimes gift-giving. A sacred ritual known as the Soyal Ceremony marks the annual milestone.

In Peru, people honor the return of the sun god on the winter solstice. The ancient tradition would be to hold sacrificial ceremonies, but today, people hold mock sacrifices to celebrate. Because Peru is in the Southern Hemisphere, their winter solstice happens in June, when the Northern Hemisphere is marking its summer solstice.

Scandinavia celebrates St. Lucia’s Day, a festival of lights. 

The “arrival of winter,” or Dong Zhi, is a Chinese festival where family gathers to celebrate the year so far. Traditional foods include tang yuan, sweet rice balls with a black sesame filling. It’s believed to have its origins in post-harvest celebrations. 

Researchers stationed in in Antarctica even have their own traditions, which may include an icy plunge into the polar waters. They celebrate “midwinter” with festive meals, movies and sometimes homemade gifts.



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