Get Started with Square Savings
With Square Savings, you can set aside money from your daily Square sales, allowing you to focus on operating your business. Grow your business savings with our competitive annual percentage yield, set aside money for quarterly taxes, or save up for a rainy day or business needs—all with your Square Savings account.
When you open a Square Savings account, you have the option of making one-time deposits into your account, as well as setting up automatic deposits. This way, you can choose to set aside a percentage of your sales to be deposited into your account, making it easier than ever for you to save money.
You can locate your savings account information across all locations in the Balance section of your online Square Dashboard.
Sign Up for Square Savings
You can sign up for a Square Savings account from your online Square Dashboard. We’ll start by gathering some information about you to create your account—if you’re already a Square seller, some of it will automatically be prefilled. Then, we’ll help you customize it to meet your goals. You’ll also have the option to link an external bank account.
Link an External Bank Account
You are able to link one external bank account to your Square Savings account to use for transferring funds in and out of Square Savings.
To link an external bank account:
Go to your Savings Dashboard > Settings, and select Add account under the External bank account section.
Fill in the Routing number and Account number, and select the Account type.
Some bank accounts can be instantly verified. If the account can’t be instantly verified, it may take up to four days to verify.
Note: Bank account information can only be updated once per day.
Update Your Bank Account
You can update your bank account directly from your online Square Dashboard. To do so:
Go to your Savings dashboard, and select Settings.
Under External Bank Accounts, select the option to Add a new bank account.
Choose to add a new bank account or replace your existing account.
Currently, Square only supports one external bank account to be linked at a time.
Keep in mind: Updating your bank account on file with Square, such as for your sales deposits, will not update the bank account on file for your Savings account.
A savings folder is similar to a subcategory. Our savings account helps you organize your savings into different sub categories or folders. Savings folders allow you to get as detailed as you’d like (for example, you can name them whatever you want) and help you set aside money for business needs. There’s no limit to how many folders you can create. But, your account will only have one account and routing number associated with it.
There are a few different options you can choose from when you set up your folders:
General Savings: This is your main savings folder. This folder will be used for transferring funds into or out of your Square Savings account when making transfers using an external (non-Square) bank account. Transfers from Square Checking to Savings that don't have a specified destination folder will go into General Savings.
Sales Tax: You can set aside a percentage of your sales to automatically go into your Sales Tax folder to prepare for any end-of-year taxes.
Rainy Day Fund: This folder is meant for any unexpected expenses. Set up automated savings, such as 2% of your sales, to go into this folder automatically for things like long term goals or unforeseen costs.
Custom Folder: You can create custom folders to help you meet your savings goals. You can give them custom names to stay organized, toggle Automated Savings on or off , and set goals to keep track of your progress.
Set up folders
From the Square Savings Dashboard, select Add new folder.
Select the type of folder you want to create,
Set your Automated Savings. This is the percentage of sales you want automatically transferred to this folder. Choose to contribute up to 70% of your sales, or select Not now if you want to set this amount later.
Select Confirm to save your selected options.
When you are setting up a custom or rainy day fund folder, you have the option to set a savings target. Savings targets are specific dollar amounts and help streamline your savings goals for something you know the cost of, such as a new piece of equipment. Once that target is reached, new automated contributions will stop. You can select Contribute indefinitely if you want to keep automatically contributing beyond that target amount. If you’re not sure how much money you’ll need to set aside, such as for taxes, you can choose to save as you go without setting a savings target.
Annual Percentage Yield
We’re currently offering an annual percentage yield (APY) of 0.5%, and we guarantee a rate of 0.5% or higher through at least the end of 2021. This rate is at least 8 times the national average for savings accounts, according to the FDIC as of April 1, 2021. If we change the APY, we’ll let you know as soon as it happens. After December 31, 2021, your APY will change to the APY in effect for your type of savings account at that time.
Here’s an example: Let’s say you open a Square Savings account and make an initial transfer into your account of $10,000. Our APY is 0.5% and compounds daily. This means at the end of the month after your initial transfer, you will have gained $50 of interest, making your new principal $10,050. This new principal is then used to calculate next month’s earnings, and so on.
View interest earned
You can view the interest you’ve earned by reviewing your monthly statements, which you'll receive electronically. It’ll also appear in your transaction history and annual tax forms (if applicable).
Transfer funds into your Savings account
Make deposits into your savings account directly from your online Square Dashboard.
Go to your Savings dashboard and select Add money.
Enter the transfer amount, and select which folder the funds will be transferred to, as well as where to transfer the funds from.
Select Looks good to proceed with the transfer.
Note: We don’t currently accept transfers from external (non-Square linked) bank accounts, but you can send money directly to your account from an external account using your account and routing numbers.
Transfer funds out of your Savings account
To transfer money out of your account, you can either send the funds to your linked bank account, or you can instantly send it to your Square Checking account and spend it how you want. To do so:
Go to your Savings dashboard and select Transfer out.
From the dropdown menu, select the folder where the funds will come from.
If there aren’t enough funds in the folder to cover the transfer, you will see an error telling you to move funds from other folders to this folder before attempting the transfer again.
Enter the dollar amount you want to transfer, and select the destination for the transfer in the dropdown.
Click Looks good to confirm your transfer.
Transfers to your Square Checking account happen instantly. Transfers to a linked external account generally take 1-2 business days to arrive at that bank. It takes one business day if the transfer is initiated before 3 p.m. Central Time or two business days if it is initiated after 3 p.m. Central Time. Check with your external bank if there are any bank policies or other factors that may affect the timing of these transfers.
View Your Account Activity
You can view your account activity by logging in to your online Square Dashboard and viewing your recent transactions. You’ll be able to see any pending transactions, as well as past deposits, withdrawals, and interest earned.