![](https://www.cnet.com/personal-finance/assets/uploads/resize/a4744f923665c6f6b9ac89e2fb4aeda262d39fbf/m1/2024/07/GettyImages-1454867561.jpg?auto=webp)
What Is an Annual Percentage Yield and How Does It Impact Your Savings?
Key Takeaways APY reflects how much interest you’ll earn over a 12-month period based on an account’s current interest rate and compounding frequency. The higher the APY, the more money you can earn. Some accounts -- such as savings and money market …