How much interest will 50000 earn in a year? A sum of $50,000 in cash can earn about $65 a year in an average bank savings account or as much as $2,250 if you put it into a high-quality corporate bond fund. Other options include money market accounts, money market funds, certificate of deposits and government and corporate bonds. The interest earning potential generally varies by the risk you’re willing to take on and how important it is to have quick, easy and reliable access to your funds. Get personal assistance deciding where to put your cash by talking to a financial advisor. Considerations to Maximize the Interest You Can Earn Before determining the best investment options to maximize how much you can earn off of $50,000 annually, let’s take a look at the most important considerations. These include what we mean by earning interest and the risk of your portfolio in order to maximize your results. Not everyone will have a risk appetite that can potentially maximize earnings. The things you should consider include: Interest Rates: Interest is money you can earn by lending your cash to another person or organization. Earning interest is the flip side of paying interest when you borrow money. Interest rates on loans vary widely, from the stinging 20% or so imposed by the average credit card issuer to the approximately 6% (at time of writing) assessed on a typical 30-year home mortgage loan. Investment Amount: Interest rates earned by the money you loan also vary widely, from a fraction of 1% per year to nearly 10% a year. The difference depends on the type of account or security and the depositary institution or debt security issuer. Risk: Generally speaking, the safer your money is and the easier it is to get to it when you need it, the less it earns. If you want to maximize earnings with $50,000 then you may want to diversify by investing more than that so that you feel better about putting this amount into high-risk, high-reward accounts. Now that you have a good idea of what factors to consider, it’s important to point out that each person will have an asset allocation that works best for them. The right interest-bearing investments will depend on not only these factors above but also what you’re trying to accomplish.