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Software solution

Square Savings

Automatically reserve Square sales for taxes, supplies, and the next business milestone

Square Savings gives a U.S. Square seller a separate business savings account that can turn card-sale revenue into a practical cash-reserve habit.

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Built for your day-to-day

How it fits your business

You can create folders for sales tax, inventory, repairs, a slow season, or a planned expansion, then move money automatically from eligible Square card sales or transfer it manually. The account currently pays 1.00% APY below a $10,000 total balance and may pay 4.25% APY at $10,000 or more, subject to a variable rate that Square can change. There is no minimum opening deposit or monthly account fee, but eligibility, identity verification, and business-only use apply.

Key capabilities

What you can do

  • Turn card sales into a reserve automatically

    Set a percentage of eligible Square card-sale revenue aside into a folder for sales tax, supplies, bills, or a rainy-day fund. Square says automated contributions can be set up to a combined 75% across folders; bitcoin payments are not included in automatic set-asides.

  • Organize money by business goal

    Folders and optional savings targets let an owner separate tax money from equipment, marketing, expansion, or emergency cash without opening multiple products. When a target is reached, automated contributions can stop.

  • Earn interest with a clear balance threshold

    The current U.S. rate chart lists 1.00% APY for total savings balances under $10,000 and 4.25% APY at $10,000 or more, counting all folders and accrued unpaid interest. Interest is calculated daily and credited monthly; the APY is variable.

  • Move funds without a savings transfer fee

    Transfers between Savings folders and transfers to Square Checking or Square balance are described as instant and free. A linked external-bank transfer generally takes one to two business days, while ACH money moving into Savings may take one to two business days plus up to three additional business days before funds are available.

  • Use FDIC sweep coverage for eligible deposits

    Square Financial Services, Inc., Member FDIC, provides the account. Square says its sweep program distributes eligible funds across multiple FDIC-insured partner banks for coverage of up to $2.5 million; pending balances are not FDIC-insured, and coverage depends on applicable limits and deposits held at participating banks.

Explore the details

Product details

What a Square seller needs before applying

Square Savings is only for eligible Square sellers and business purposes. The account terms require a U.S. resident who is at least 18, has a valid SSN or TIN, and has a U.S. physical or military address. Square may ask for the account owner's identity details, business name and EIN, beneficial-owner information, and supporting government or tax documents. Only the Square account owner can access Banking information, and an incomplete documentation request can be canceled after 16 days.

Fees, rates, and access

The official fee schedule lists $0 for account opening, monthly and annual service fees, excessive withdrawal, stop payment, and inactivity charges; overdraft and instant transfers to a linked bank account are listed as not applicable. There is no minimum balance to open or maintain the account. Square does reserve the right to impose dollar limits per transaction or period, even though it does not limit the number of transfers. ATM withdrawals are not enabled from Savings; use Square Checking for ATM access.

Where the automation does—and does not—reach

Automated Savings uses funds from Square card sales, with daily contributions marked pending until the applicable processing cutoff. Bitcoin payments are excluded from automatic set-asides. For an external bank, Square supports one linked account at a time; linking may require Plaid or micro-deposit verification. A business that needs cash instantly at an ATM or wants personal/household savings should not treat Square Savings as a replacement for those products.

Plan details

Pricing, fees & eligibility

Explore pricing

Free U.S. business savings account; no minimum opening deposit or monthly account fee. Current variable APY is 1.00% below a $10,000 total balance and 4.25% at $10,000 or more, effective as of 2026-09-24.

Monthly software (USD)$0

Fees & eligibility

  • Account opening

    Official Square Savings Deposit Account Terms fee schedule.

    $0
  • Monthly service fee

    No monthly service fee is charged under the current U.S. terms.

    $0
  • Annual service fee

    Official fee schedule.

    $0
  • Excessive withdrawal fee

    Official fee schedule; Square may still impose dollar transfer limits.

    $0
  • Stop-payment fee

    Official fee schedule.

    $0
  • Inactivity charge

    Official fee schedule.

    $0
  • External-bank transfer

    Square states transfers out have no Savings fee; timing and transaction/weekly dollar limits apply.

    $0

Requirements

  • Eligible Square seller; account is for business purposes only.
  • U.S. resident, age 18 or older, with a valid SSN or TIN and U.S. physical or military address.
  • Square account-owner access and identity/business verification; SSN and, when applicable, EIN are requested.
  • No minimum opening deposit or minimum balance requirement.
  • APY tier uses total balance across all folders, including accrued unpaid interest; APY is variable.

Square Savings is a business account, not a consumer savings account; the account terms say consumer protections under EFTA/Regulation E and Truth in Savings/Regulation DD do not apply.

APY is variable and subject to change. The official chart effective 2026-09-24 lists 1.00% below $10,000 and 4.25% at $10,000 or more; the higher tier requires the balance to be settled by 7:00 PM Mountain Time for that day.

FDIC sweep coverage is stated as up to $2.5 million for eligible deposits across partner banks. Pending balances are not insured, and customers must consider other deposits held at participating banks.

Square Savings has no ATM withdrawal capability. Transfers can have per-transaction and weekly dollar limits visible in the Savings dashboard.

Automated Savings applies to Square card sales and excludes bitcoin payments; manual transfers are needed for other sale types.

A 1099-INT may be issued when interest income reaches $10 or more for the calendar year, or when income tax is withheld.

Questions

Frequently asked questions

Is Square Savings free, and is there a minimum deposit?

Square's current U.S. materials state that account opening, monthly service, annual service, excessive-withdrawal, stop-payment, and inactivity fees are $0, with no minimum deposit to open or minimum balance to maintain. Square can still impose transaction or weekly dollar limits, and external transfers have processing times.

How much interest does Square Savings pay?

As of the official rate chart effective September 24, 2026, the account pays 1.00% APY when the total balance across folders is below $10,000 and 4.25% APY at $10,000 or more. Interest is calculated daily and credited monthly, and the APY can change.

Can a business use Square Savings for taxes and equipment planning?

Yes. A seller can create folders and set an automated percentage of eligible Square card sales aside for sales tax, supplies, repairs, equipment, or expansion. Square says automated contributions can total up to 75% across folders, but bitcoin payments are excluded and tax recommendations are informational rather than financial advice.

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