Treasury Bills vs High Yield Savings: Which Pays More Now?

When savings rates and Treasury bill yields sit this close together, the deciding factors are taxes, access and effort, not the headline rate. Here is how they compare with current numbers.

What are Treasury bills paying now?

Bill term	Yield (coupon equivalent)
4 weeks	3.95%
8 weeks	4.06%
13 weeks	4.11%
17 weeks	4.19%
26 weeks	4.26%
52 weeks	4.32%

U.S. Treasury, Daily Treasury Bill Rates, Nov 6, 2026. The coupon equivalent puts a bill’s discount on the same annual basis as a bond yield, so it is the fairest number to compare with an APY. Yields change at every auction.

What are the best savings accounts paying?

Account	APY	As of
BMW Bank High Yield Savings (via Raisin)	4.15%	Nov 7, 2026, per Raisin
Western Alliance Bank High Yield Savings (via Raisin)	4.30% for 90 days, then 4.00%	Oct 27, 2026, per Raisin

Checked on Raisin Nov 7, 2026. Savings rates are variable. See every account we track in our best high yield savings accounts.

Which earns more on $25,000 for six months?

Your state income tax	26 week bill at 4.26%	BMW Bank at 4.15% APY	BMW Bank plus $100 STACK bonus
No state income tax	$531	$512	$612
5% state income tax	$531	$486	$581
9% state income tax	$531	$466	$557

Approximate interest over 182 days after state tax only; federal tax applies to all of it. Assumes the bill yield and the savings APY stay where they are, which a savings rate may not. The STACK bonus needs a new Raisin customer, code STACK, a first deposit started by Nov 30, 2026 and 90 days on deposit; it is taxable income.

The pattern: with no state income tax, the savings account plus a bonus comes out ahead; without the bonus, the bill edges it. The higher your state tax, the more the bill’s exemption is worth.

How are Treasury bills and savings taxed?

The IRS says interest on Treasury bills, notes and bonds “is subject to federal income tax but is exempt from all state and local income taxes.” Savings interest, including high yield savings, is taxed by both. More in are high yield savings accounts taxed?

Which is easier to get money out of?

• Savings: move money to your linked checking whenever you like, usually within a few business days. See how long transfers take.
• Treasury bills: you are paid when the bill matures. To sell earlier, you work through a bank, broker or dealer, and a bill bought in TreasuryDirect must stay there 45 days before it can be sold or moved, so a 4 week bill from TreasuryDirect cannot be sold early at all.

How do you buy Treasury bills?

Through TreasuryDirect, the Treasury’s own site, or a bank or brokerage account. TreasuryDirect sells bills from $100, in $100 steps, in terms of 4, 6, 8, 13, 17, 26 and 52 weeks. Most terms are auctioned weekly; 52 week bills every four weeks. You buy at a discount and get the full face value at maturity, so the “interest” is the difference. To keep the money working, you reinvest at each maturity at whatever the new yield is.

Which is safer?

Both are about as safe as it gets for cash. Treasury bills are backed by the U.S. government and have no dollar limit. Bank deposits are FDIC insured up to $250,000 per depositor, per bank, per ownership category; see how to insure more than $250,000. Treasury bills are not FDIC insured, because they are not deposits.

When does each make more sense?

Treasury bills may suit you if	A high yield savings account may suit you if
You pay state income tax	You live in a state with no income tax
You know you will not need the money until a set date	You may need the money at short notice
You want the yield locked for the term	You can use a cash bonus, such as STACK through Nov 30, 2026
You have more than the FDIC limit and do not want to split it across banks	You want to set it and forget it, with no reinvesting

Many people use both: an emergency fund in savings and money with a known date, such as a tax bill or a down payment, in bills or a CD. New Raisin customers can add a STACK cash bonus: $40 at $10,000, $100 at $25,000, $200 at $50,000, up to $900 at $200,000, plus $10 to $100 for opening a second product type. Code STACK at sign up, first deposit started by Nov 30, 2026, 11:59pm ET, money deposited within 14 days and kept on Raisin for 90 days. Details in our Raisin STACK bonus guide.

Frequently asked questions

Do Treasury bills pay more than high yield savings right now?

They are close. On Nov 6, 2026 a 26 week bill yielded 4.26% and a 13 week bill 4.11% (coupon equivalent), while BMW Bank savings paid 4.15% APY through Raisin on Nov 7, 2026. State tax and bonuses can decide which earns more.

Are Treasury bills taxed by my state?

No. Interest on Treasury bills is subject to federal income tax but exempt from state and local income taxes. Savings interest is taxed by both.

What is the minimum to buy a Treasury bill?

$100 in TreasuryDirect, in $100 increments.

Can I sell a Treasury bill before it matures?

Yes, through a bank, broker or dealer. A bill bought in TreasuryDirect must be held there 45 days before it can be sold or transferred, so a 4 week bill bought there cannot be sold early.

Are Treasury bills FDIC insured?

No. They are not deposits. They are backed by the U.S. government.