Liquidity Schedule
How much becomes available, penalty-free, at each maturity
Maturity Schedule
Opens in Excel, Google Sheets, or Numbers — your rungs, rates, maturity dates and the comparison, ready to edit or print.
| Rung | Deposit | APY | Matures | Est. Interest | Value at Maturity |
|---|
Ladder vs. the Alternatives
| Strategy | Projected Value | Projected Interest | Access Before Then |
|---|
Assumes today's APYs hold when rungs are reinvested and the savings rate stays flat — real rates will move. A single long-term CD often projects slightly more interest than a ladder; the ladder's job is giving you scheduled access and spreading reinvestment risk, not maximizing yield.
Current CD Rates — July 2026
The single biggest factor in what your CD ladder earns is not the ladder design — it is where you open the CDs. As of mid-July 2026, the gap between the national average rate and the best nationally available online banks is more than 2.5 percentage points on most terms:
| CD Term | FDIC National Average¹ | Top Nationally Available APY² |
|---|---|---|
| 3 months | 1.15% | ~4.0% |
| 6 months | 1.38% | ~4.1% |
| 1 year | 1.65% | up to 4.30% |
| 2 years | 1.53% | ~4.0% |
| 3 years | 1.33% | up to 4.20% |
| 4 years | 1.25% | ~4.0% |
| 5 years | 1.35% | up to 4.20% |
¹ FDIC National Rates and Rate Caps, data as of June 15, 2026. ² Highest advertised APYs among nationally available online banks tracked by Bankrate and NerdWallet as of July 16, 2026; "~" figures are typical of the top tier for that term. Rates change frequently — always confirm with the bank before opening an account.
Two things stand out in the July 2026 numbers. First, the rate curve is nearly flat: 1-year and 5-year CDs pay almost the same at the top tier. That makes ladders unusually cheap to build right now — you give up almost no yield for the shorter rungs. Second, average branch rates remain stuck below 2%, so a laddered deposit at an average bank still earns less than a lump sum in a single CD at a top online bank. Shop the rate first, then ladder.
How This CD Ladder Calculator Works
The calculator splits your total deposit evenly across the rungs you choose. Each rung compounds at its own APY until it matures — that is why every rung has its own rate field, unlike calculators that assume one average rate for the whole ladder. APY already includes compounding, so a $5,000 rung at 4.20% APY is worth $5,000 × 1.042t after t years.
If you would rather work in a spreadsheet, the Download as spreadsheet (CSV) button above exports your whole plan — every rung with its rate, maturity date and interest, plus the comparison table — as a CSV that opens directly in Excel, Google Sheets or Numbers. Nothing is uploaded anywhere: the file is generated in your browser, so you can edit, print or share it however you like.
For the comparison table, the calculator projects everything to the same horizon (the longest rung's term). Matured rungs are assumed to be reinvested at your longest rung's APY — the standard "roll into a new long CD" move. The alternatives are modeled the same way: a single long-term CD compounds untouched, a rolled short-term CD renews at the same rate, and the savings account compounds at the APY you enter. All three assumptions hold today's rates constant, which no one can guarantee — treat the results as an estimate, not a promise.
Worked example: $25,000 classic ladder
Suppose you split $25,000 into five $5,000 CDs using the July 2026 top-tier rates pre-filled above (4.05–4.20% APY). The first cycle looks like this: the 1-year rung earns about $210, the 3-year rung about $640, and the 5-year rung about $1,140 — roughly $3,290 of interest across all five rungs, with $5,000-plus becoming available every single year. Keep rolling matured rungs forward and the ladder is worth about $30,660 after five years, roughly $5,660 of interest. The same $25,000 left in a branch CD at the 1.65% national average would earn about $2,130 over those five years — the ladder at online-bank rates earns more than two and a half times as much. Run your own numbers in the tool; every figure updates as you type.
Three Ways to Structure Your Ladder
Classic 5-year ladder
Five equal rungs maturing in 1 through 5 years. After year five, every rung is a 5-year CD and one still matures annually — you permanently earn long-term rates with short-term access. The default choice for money you will not need on short notice, like a house down-payment fund on a flexible timeline. See the full walk-through in How to Build a CD Ladder.
Short-term mini ladder
Four rungs at 3, 6, 9, and 12 months. Nothing is locked up longer than a year, and something matures every quarter. Suited to cash you may need soon — an emergency-fund overflow or money parked before a planned purchase. With the flat July 2026 curve, mini ladders give up very little yield versus longer terms. Details in Short-Term CD Ladder Strategy.
Barbell
Skip the middle rungs: put half in short CDs (or savings) and half in 4–5-year CDs. You keep quick access to part of the money and lock the top long-term rate on the rest. A barbell beats a ladder when middle-term rates sag below both ends — check the 2–3-year column in the rate table above before choosing it.
When a CD Ladder Is the Wrong Tool
A ladder is not automatically the right answer for every pile of cash. Skip it when:
- The money is your emergency fund. Emergencies do not wait for maturity dates. Keep 3–6 months of expenses in a high-yield savings account first; ladder only what is left. Our CD vs. high-yield savings comparison covers this trade-off in depth.
- You would earn more after tax elsewhere. CD interest is fully taxable as ordinary income at federal and state level. In high-tax states, a Treasury ladder at the same rate (state-tax-exempt) or a municipal fund can net more — check with the tax-equivalent yield calculator.
- The horizon is 10+ years. Money you will not touch for a decade has historically done far better in a diversified portfolio than at ~4% in CDs. Ladders are for capital preservation and known timelines, not long-term growth.
- You would need to break rungs regularly. Early-withdrawal penalties routinely erase months of interest — typical penalties run about 3–6 months of interest on 1-year CDs and 6–12 months on 5-year CDs, and a rung cashed out in its first months can even return less than you deposited at some banks.
If any of those describe your situation, fix that first — the ladder can wait. For a balanced look at the strategy's pros and cons this year, see Are CD Ladders Worth It in 2026?
Frequently Asked Questions
What is a CD ladder?
A CD ladder is a strategy where you divide your investment into equal parts and invest them in CDs with different maturity dates (e.g., 1, 2, 3, 4, and 5 years). One CD matures every year, giving you regular penalty-free access to part of your money.
What is a good CD rate in 2026?
As of July 2026, top nationally available online banks pay around 4.2%–4.3% APY on 1-year CDs and about 4.2% on 5-year CDs. The FDIC national averages are far lower — 1.65% for 12-month CDs and 1.35% for 60-month CDs — so shopping beyond your local branch matters more than the ladder design itself.
Why use a CD ladder?
A ladder captures higher long-term CD rates while still freeing up a portion of your money at regular intervals. It also spreads reinvestment across several dates, so you are not betting your entire balance on where rates happen to be on a single day.
How do I build a CD ladder?
Decide your total deposit and how many rungs you want (five is common). Split the money evenly and open CDs maturing in 1, 2, 3, 4, and 5 years. As each CD matures, roll it into a new longest-term CD. The calculator above shows your blended yield and annual liquidity instantly.
How many rungs should a CD ladder have?
Most savers use a 5-year ladder with five rungs, giving one maturity per year. A short mini-ladder (3, 6, 9, 12 months) suits near-term cash, while a 7-10 rung ladder locks in rates for longer. More rungs mean smoother liquidity but can lower your average yield.
Is a CD ladder better than a high-yield savings account?
A CD ladder locks in today's rates, which protects you if rates fall, but your money is tied up until each rung matures. A high-yield savings account stays fully liquid — top accounts pay up to about 4.5% APY as of July 2026 — but that rate can drop at any time. Many savers keep an emergency fund in savings and ladder the rest.
Why does a single long-term CD project more interest than my ladder?
If the longest CD has the highest APY, putting everything into it will always project the most interest. A ladder deliberately gives up a little yield to buy two things: penalty-free access to part of your money every year, and protection against locking your entire balance at a bad moment. The comparison table shows that trade-off in dollars.
Are CD ladders safe?
Yes. CDs at FDIC-insured banks or NCUA-insured credit unions are protected up to $250,000 per depositor, per institution. A CD ladder carries no market risk — the main trade-off is an early-withdrawal penalty if you cash out before maturity.
What happens when a CD matures?
When a rung matures you receive the principal plus interest. To keep the ladder going, reinvest it into a new longest-term CD. If you need the cash, simply take that year's payout — the built-in annual access is the whole point of laddering.
Is CD ladder interest taxable?
Yes. CD interest is taxed as ordinary income in the year it is credited, even if you do not withdraw it. Your bank issues Form 1099-INT for any year you earn $10 or more. Holding CDs inside an IRA can defer or shelter that tax.
Should I ladder CDs or Treasury bills?
Both can be laddered the same way. Treasuries are exempt from state and local income tax and can be sold before maturity without a fixed penalty, while CDs are simpler to hold at your own bank and sometimes pay slightly more. In high-tax states, compare after-tax yields before choosing — see our CD ladder vs. bond ladder guide.
Can I hold a CD ladder in an IRA?
Yes. Many banks and brokerages offer IRA CDs, and retirees often ladder them so one rung matures each year to fund withdrawals or required minimum distributions. Our CD ladder for retirement income guide walks through that setup.
This tool provides estimates for educational purposes only and is not financial advice. Rates shown were verified on July 16, 2026 against FDIC and major rate trackers, and change frequently — always confirm current APYs and early-withdrawal terms with the bank before opening a CD.