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APY

Annual Percentage Yield — the real rate of return on savings or investments in one year, accounting for compound interest. APY is always equal to or higher than the stated interest rate.

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Related finance terms

  • 401(k) match
  • APR
  • Adjusted gross income
  • Amortization
  • Capital gains tax
  • Compound interest
  • Debt avalanche
  • Debt snowball
  • Depreciation
  • Effective tax rate

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