8.5% APY vs. Inflation: Why Beating the Cost of Living Starts with Smarter Investing

8.5% APY vs. Inflation: Why Beating the Cost of Living Starts with Smarter Investing

In today’s economy, one of the most underestimated threats to your wealth isn’t a market crash or a recession—it’s inflation. While it may not make headlines every day, inflation quietly eats away at your purchasing power year after year. The reality is simple: if your money isn’t growing faster than inflation, you’re effectively losing wealth.

But here’s the good news—there are smarter ways to invest that help you stay ahead. One of the most powerful options available today is a high-yield savings bond offering 8.5% Annual Percentage Yield (APY), like Compound Real Estate Bonds (CREB). In this blog, we’ll explore how this kind of return can help you beat inflation and secure your financial future.

Understanding APY and Why It Matters

Annual Percentage Yield, or APY, measures the real rate of return earned on your investment, taking into account the effect of compounding. Unlike simple interest, APY helps your money grow faster over time because you earn interest not only on your original investment but also on the interest accumulated.

For instance, if you invest $10,000 at an APY of 8.5%, compounded annually, you would have over $22,000 after 10 years—more than doubling your investment. Compare that to a traditional savings account with a 1% APY, which would barely grow to $11,000 in the same time.

That’s the power of compound interest. And when combined with a high return, it becomes a serious tool against inflation.

The Impact of Inflation on Your Wealth

Inflation refers to the rising prices of goods and services over time. In practical terms, it means your dollar buys less tomorrow than it does today. While moderate inflation is a normal part of a healthy economy, it poses a serious challenge to savers.

Let’s say inflation averages 3% per year. That means in 10 years, something that costs $100 today would cost roughly $134. If your money is sitting idle in a low-interest savings account or under your mattress, its value diminishes with every passing year.

Here’s a quick snapshot:

  • $10,000 saved with no growth after 10 years at 3% inflation = real value of just $7,441.

  • $10,000 earning 8.5% APY compounded annually for 10 years = over $22,000.

The takeaway? To grow your wealth in real terms, your returns must outpace inflation.

Why Traditional Savings Aren’t Enough

Traditional savings accounts and even many fixed deposits offer returns that are often well below the rate of inflation. While they may seem “safe,” the actual risk lies in the erosion of value over time.

Let’s look at average savings interest rates in the U.S.:

  • National average savings account APY: around 0.45%

  • High-yield online savings: typically between 3%–4%

  • CREB’s APY: 8.5%

This gap between earnings and inflation is the real risk that many people overlook. Saving is important—but if your savings aren’t growing, they’re losing value.

How 8.5% APY Beats Inflation

One of the biggest threats to your long-term wealth is inflation—the gradual increase in the cost of goods and services that reduces your purchasing power over time. Many traditional savings options, like bank accounts or certificates of deposit (CDs), fail to keep up with inflation, often yielding less than 1% annually. As a result, your money loses value every year it sits idle.

This is where Compound Real Estate Bonds (CREB) stand out as a game-changing investment option. Offering a fixed 8.5% Annual Percentage Yield (APY), CREB empowers investors to not only stay ahead of inflation but to grow their wealth meaningfully. Here's how it works:

1. Compounding Returns Multiply Your Gains

The power of compound interest lies in earning interest on both your initial investment and the accumulated interest over time. At an 8.5% APY, your earnings grow exponentially the longer you stay invested. Unlike traditional savings where interest is credited infrequently, CREB calculates interest daily and pays it out monthly, allowing you to reinvest your earnings and accelerate growth.

2. Investments Backed by Real Assets and U.S. Treasuries

Unlike high-yield products that come with high risk, CREB offers a unique blend of growth and security. Your investment is backed by real estate assets and U.S. Treasury instruments, creating a strong foundation for consistent performance. These real-world collateral structures are designed to safeguard your principal while delivering robust returns—making CREB a safe haven even in volatile economic conditions.

3. Consistent Monthly Income Creates Stability

With interest paid monthly, CREB delivers reliable cash flow, which is especially valuable during uncertain times or periods of rising inflation. Whether you're reinvesting those payments or using them for everyday expenses, monthly payouts ensure you're regularly seeing the benefit of your investment.

4. Zero Fees Mean More Money Working for You

Many investment platforms and accounts charge management fees, transaction costs, or hidden service charges that eat into your earnings. CREB is different. With no fees whatsoever, every dollar you invest stays fully engaged—earning interest and working to build your wealth. This fee-free structure boosts your net return and helps preserve your long-term capital.

5. Real Returns That Outpace the Cost of Living

Even in years when inflation spikes to 5% or more, CREB’s 8.5% APY ensures you're earning well above the rising cost of living. This real return—your earnings after inflation—is what truly matters in growing your financial future. By consistently outperforming inflation, CREB allows you to protect your purchasing power, build wealth, and stay financially ahead.

Real-World Example: Inflation vs. 8.5% APY

Imagine you invest $100 per week for 10 years:

  • With an 8.5% APY, your total contributions of $52,000 could grow to over $81,000, thanks to compounding.

  • With 3% inflation, the buying power of $81,000 after 10 years would still equate to over $60,000 in today’s dollars—well above your original $52,000.

  • In contrast, a savings account with 1% APY would result in just over $57,000, which actually loses value when adjusted for inflation.

The math is clear: higher APY helps you stay ahead of the curve.

Who Should Consider High-Yield Bonds?

High-yield fixed-income products like Compound Real Estate Bonds (CREB) are not just for seasoned investors—they’re for anyone seeking financial stability, consistent returns, and a smarter approach to building wealth. Let’s explore the profiles of individuals who can particularly benefit from this investment strategy:

1. Individuals Looking to Preserve and Grow Wealth Over Time

If your financial goal is to grow your savings steadily without taking on the volatility of stocks or the unpredictability of crypto, high-yield bonds offer a balanced solution. With CREB offering a fixed 8.5% Annual Percentage Yield (APY), your investment has the potential to grow significantly over time while remaining protected by real assets and U.S. Treasuries. This makes it an ideal option for long-term savers who want capital preservation along with inflation-beating returns.

2. Retirees Seeking Reliable Monthly Income

Retirees often look for stability and predictability in their financial planning. A consistent monthly income from a low-risk investment like CREB helps cover living expenses, healthcare costs, and other essential needs without dipping into retirement principal. Since CREB interest is calculated daily and paid monthly, it creates a dependable cash flow that fits perfectly into a retirement income strategy. Plus, the ability to withdraw funds anytime ensures flexibility in managing unexpected expenses.

3. Busy Professionals Wanting Passive Investing with Minimal Risk

For professionals balancing careers, families, and personal commitments, time is a scarce resource. Managing complex investments or actively trading may not be realistic. That’s where CREB steps in—with features like auto-investing, round-ups, and no account management fees, it’s designed to grow your money in the background while you focus on your life. It’s truly a “set-it-and-forget-it” solution for those who want their money to work hard without the stress or time commitment of active investing.

4. Savvy Savers Frustrated by Low Bank Returns

If you’ve been parking your cash in a traditional savings account earning less than 1% interest, you’re probably disappointed with the growth—or lack thereof. Over time, inflation quietly erodes the value of your money when your earnings don’t keep pace. CREB provides a compelling alternative, with 8.5% APY, zero fees, and no hidden costs. It’s a smart way to stop losing value and start earning real, inflation-beating returns.

5. New Investors Building a Foundation

If you’re just starting your investment journey, making the right choices early on can have a powerful impact on your future financial health. CREB allows you to start small—with as little as $10—making it accessible to anyone regardless of income level. It also encourages financial discipline with features like round-ups from daily spending and recurring investments. As you build confidence and your portfolio grows, CREB serves as a stable foundation on which you can layer other types of investments.

Final Thoughts: Secure Your Future by Outpacing Inflation

In a world where inflation is constant, the only way to protect and grow your wealth is by earning more than the cost of living. An 8.5% APY gives you that edge.

By investing smarter—not harder—you ensure that your savings work for you, not against you.

Don’t let inflation eat away your future. Start investing with Compound Real Estate Bonds today and take control of your financial destiny.

Setup a call with bond specialist

For more information or to begin your investment journey with Compound High Yield Savings Bond, please contact us at

Reach us by phone
Call our compound care team by phone at +1-800-560-5215
  • Monday-Friday: 8am - 9pm (ET)
  • Saturday: 9am - 8pm (ET)

8.5% APY vs. Inflation: Why Beating the Cost of Living Starts with Smarter Investing

8.5% APY vs. Inflation: Why Beating the Cost of Living Starts with Smarter Investing

In today’s economy, one of the most underestimated threats to your wealth isn’t a market crash or a recession—it’s inflation. While it may not make headlines every day, inflation quietly eats away at your purchasing power year after year. The reality is simple: if your money isn’t growing faster than inflation, you’re effectively losing wealth.

But here’s the good news—there are smarter ways to invest that help you stay ahead. One of the most powerful options available today is a high-yield savings bond offering 8.5% Annual Percentage Yield (APY), like Compound Real Estate Bonds (CREB). In this blog, we’ll explore how this kind of return can help you beat inflation and secure your financial future.

Understanding APY and Why It Matters

Annual Percentage Yield, or APY, measures the real rate of return earned on your investment, taking into account the effect of compounding. Unlike simple interest, APY helps your money grow faster over time because you earn interest not only on your original investment but also on the interest accumulated.

For instance, if you invest $10,000 at an APY of 8.5%, compounded annually, you would have over $22,000 after 10 years—more than doubling your investment. Compare that to a traditional savings account with a 1% APY, which would barely grow to $11,000 in the same time.

That’s the power of compound interest. And when combined with a high return, it becomes a serious tool against inflation.

The Impact of Inflation on Your Wealth

Inflation refers to the rising prices of goods and services over time. In practical terms, it means your dollar buys less tomorrow than it does today. While moderate inflation is a normal part of a healthy economy, it poses a serious challenge to savers.

Let’s say inflation averages 3% per year. That means in 10 years, something that costs $100 today would cost roughly $134. If your money is sitting idle in a low-interest savings account or under your mattress, its value diminishes with every passing year.

Here’s a quick snapshot:

  • $10,000 saved with no growth after 10 years at 3% inflation = real value of just $7,441.

  • $10,000 earning 8.5% APY compounded annually for 10 years = over $22,000.

The takeaway? To grow your wealth in real terms, your returns must outpace inflation.

Why Traditional Savings Aren’t Enough

Traditional savings accounts and even many fixed deposits offer returns that are often well below the rate of inflation. While they may seem “safe,” the actual risk lies in the erosion of value over time.

Let’s look at average savings interest rates in the U.S.:

  • National average savings account APY: around 0.45%

  • High-yield online savings: typically between 3%–4%

  • CREB’s APY: 8.5%

This gap between earnings and inflation is the real risk that many people overlook. Saving is important—but if your savings aren’t growing, they’re losing value.

How 8.5% APY Beats Inflation

One of the biggest threats to your long-term wealth is inflation—the gradual increase in the cost of goods and services that reduces your purchasing power over time. Many traditional savings options, like bank accounts or certificates of deposit (CDs), fail to keep up with inflation, often yielding less than 1% annually. As a result, your money loses value every year it sits idle.

This is where Compound Real Estate Bonds (CREB) stand out as a game-changing investment option. Offering a fixed 8.5% Annual Percentage Yield (APY), CREB empowers investors to not only stay ahead of inflation but to grow their wealth meaningfully. Here's how it works:

1. Compounding Returns Multiply Your Gains

The power of compound interest lies in earning interest on both your initial investment and the accumulated interest over time. At an 8.5% APY, your earnings grow exponentially the longer you stay invested. Unlike traditional savings where interest is credited infrequently, CREB calculates interest daily and pays it out monthly, allowing you to reinvest your earnings and accelerate growth.

2. Investments Backed by Real Assets and U.S. Treasuries

Unlike high-yield products that come with high risk, CREB offers a unique blend of growth and security. Your investment is backed by real estate assets and U.S. Treasury instruments, creating a strong foundation for consistent performance. These real-world collateral structures are designed to safeguard your principal while delivering robust returns—making CREB a safe haven even in volatile economic conditions.

3. Consistent Monthly Income Creates Stability

With interest paid monthly, CREB delivers reliable cash flow, which is especially valuable during uncertain times or periods of rising inflation. Whether you're reinvesting those payments or using them for everyday expenses, monthly payouts ensure you're regularly seeing the benefit of your investment.

4. Zero Fees Mean More Money Working for You

Many investment platforms and accounts charge management fees, transaction costs, or hidden service charges that eat into your earnings. CREB is different. With no fees whatsoever, every dollar you invest stays fully engaged—earning interest and working to build your wealth. This fee-free structure boosts your net return and helps preserve your long-term capital.

5. Real Returns That Outpace the Cost of Living

Even in years when inflation spikes to 5% or more, CREB’s 8.5% APY ensures you're earning well above the rising cost of living. This real return—your earnings after inflation—is what truly matters in growing your financial future. By consistently outperforming inflation, CREB allows you to protect your purchasing power, build wealth, and stay financially ahead.

Real-World Example: Inflation vs. 8.5% APY

Imagine you invest $100 per week for 10 years:

  • With an 8.5% APY, your total contributions of $52,000 could grow to over $81,000, thanks to compounding.

  • With 3% inflation, the buying power of $81,000 after 10 years would still equate to over $60,000 in today’s dollars—well above your original $52,000.

  • In contrast, a savings account with 1% APY would result in just over $57,000, which actually loses value when adjusted for inflation.

The math is clear: higher APY helps you stay ahead of the curve.

Who Should Consider High-Yield Bonds?

High-yield fixed-income products like Compound Real Estate Bonds (CREB) are not just for seasoned investors—they’re for anyone seeking financial stability, consistent returns, and a smarter approach to building wealth. Let’s explore the profiles of individuals who can particularly benefit from this investment strategy:

1. Individuals Looking to Preserve and Grow Wealth Over Time

If your financial goal is to grow your savings steadily without taking on the volatility of stocks or the unpredictability of crypto, high-yield bonds offer a balanced solution. With CREB offering a fixed 8.5% Annual Percentage Yield (APY), your investment has the potential to grow significantly over time while remaining protected by real assets and U.S. Treasuries. This makes it an ideal option for long-term savers who want capital preservation along with inflation-beating returns.

2. Retirees Seeking Reliable Monthly Income

Retirees often look for stability and predictability in their financial planning. A consistent monthly income from a low-risk investment like CREB helps cover living expenses, healthcare costs, and other essential needs without dipping into retirement principal. Since CREB interest is calculated daily and paid monthly, it creates a dependable cash flow that fits perfectly into a retirement income strategy. Plus, the ability to withdraw funds anytime ensures flexibility in managing unexpected expenses.

3. Busy Professionals Wanting Passive Investing with Minimal Risk

For professionals balancing careers, families, and personal commitments, time is a scarce resource. Managing complex investments or actively trading may not be realistic. That’s where CREB steps in—with features like auto-investing, round-ups, and no account management fees, it’s designed to grow your money in the background while you focus on your life. It’s truly a “set-it-and-forget-it” solution for those who want their money to work hard without the stress or time commitment of active investing.

4. Savvy Savers Frustrated by Low Bank Returns

If you’ve been parking your cash in a traditional savings account earning less than 1% interest, you’re probably disappointed with the growth—or lack thereof. Over time, inflation quietly erodes the value of your money when your earnings don’t keep pace. CREB provides a compelling alternative, with 8.5% APY, zero fees, and no hidden costs. It’s a smart way to stop losing value and start earning real, inflation-beating returns.

5. New Investors Building a Foundation

If you’re just starting your investment journey, making the right choices early on can have a powerful impact on your future financial health. CREB allows you to start small—with as little as $10—making it accessible to anyone regardless of income level. It also encourages financial discipline with features like round-ups from daily spending and recurring investments. As you build confidence and your portfolio grows, CREB serves as a stable foundation on which you can layer other types of investments.

Final Thoughts: Secure Your Future by Outpacing Inflation

In a world where inflation is constant, the only way to protect and grow your wealth is by earning more than the cost of living. An 8.5% APY gives you that edge.

By investing smarter—not harder—you ensure that your savings work for you, not against you.

Don’t let inflation eat away your future. Start investing with Compound Real Estate Bonds today and take control of your financial destiny.

Subscribe to our newsletter to receive the latest updates, news, and investment tips directly to your inbox.

Setup a call with bond specialist

For more information or to begin your investment journey with Compound High Yield Savings Bond, please contact us at

Reach us by phone
Call our compound care team by phone at +1-800-560-5215
  • Monday-Friday: 8am - 9pm (ET)
  • Saturday: 9am - 8pm (ET)