Here’s the Single Best Strategy for Investing in CDs in 2025
A buddy of mine has what I call a beast-mode emergency fund. It’s a full 12 months of living expenses (mine is more like three to four months).
But instead of holding all this cash in a big savings account, he does something smarter: He’s built a CD ladder.
His cash is split across twelve, 12-month certificates of deposit (CDs), with one maturing each month. This means cash hits his account monthly, like a self-funded paycheck. His theory is that if he ever lost his job, he wouldn’t need to access his entire cash pile all at once. He only needs one month of funds at a time.
It’s quite smart actually. CD ladders give you the best of both worlds — locking in 4.00% or higher APYs and cash flexibility.
Setting up a CD ladder
Instead of…
