Speaking of CD's is thier anything that pay higher interest rates??

[Momof3grls]

Than cds I keep hearing about how much you should put away at 8% or if you earn 12% & so on I am just wondering what one can invest in that pays 8-12% cause the highest I have seen cds is 5% does anyone know?

[terry1156]

Those numbers come from the S & P 500 stock index. Over the history of the stock market, the Standard and Poor 500 stocks have returned about 10% That is why you always see the 8% - 12% earnings when people talk about investing your money.

The fact is that if you want something safe where your money has no or low risk of losing money, then you won't be able to earn those rates. If you will be saving the money for more than 10 years, however, an index fund of the 500 would make sense I believe.