For the fifth week in a row, Southern Community bank has the best savings rate on the BestCashCow rate tables, paying 2% APY on savings deposits via its Ready Saver program. That's 60 basis points higher than the BestCashCow savings rate average which remained steady this week at 1.39% APY (BestCashCow tracks the 30 highest savings rates in the US). What's nice about Ready Saver is that it has a relatively low minimum balance of $1,500.

Everbank continues to offer their promo rate of 2.25% APY for the first three months on new money. After three months, the rate drops to 1.26% APY for a 1-year blended APY of 1.51%. Franklin Synergy rounds out the top with a 1.75% APY savings rate with a minimum balance of $25,000.

The savings rate average remained steady because there were not increases or decreases in rates on the BestCashCow savings and money market rate table. Banks seem to have taken a wait-and-see approach to what will happen to interest rates and the economy. In the most recent FOMC meeting two weeks ago, Bernanke made it clear that rates will stay low for a good deal longer. Despite that, many economists, inculding former Fed Chairman Alan Greenspan believe it is just a matter of time before massive deficit spending sends interest rates higher. Until the unemployment rate shows some decline though, it's hard to see rates moving up much. The Fed has a dual mandate of low inflation and maximum employment. Right now it has the low inflation but unemployment stands near 10%.

The worst of the declines in savings rates seem to be over althought it's not inconceivable we'll see average ratings hitting 1% APY in the next couple of months if the rate outlook doesn't change. That means the top rate will be somewhere near 1.5% APY. The slow drift down continues.

Most Americans have too much taken from their paychecks each year. Why let the IRS hold your money interest-free? If you received or will receive a refund this year, we'll discuss how to reduce your withholding to receive a fatter paycheck...starting next pay day!

Generally, people pay taxes as they earn income during the year. Many taxpayers think about their withholding amounts only once a year – when they file their annual tax return. However, there are other times when reviewing one's withholding and making an adjustment can be advantageous, especially after a marriage, divorce, addition or loss of a dependent, or other certain life and career changes. The amount that is withheld is determined by the way an employee completes a Form W-4 (Employee's Withholding Allowance Certificate). Because each exemption decreases the amount of your withholding, it also increases the amount of pay you take home.

At tax time, withholding functions in two ways: If you do not pay enough through withholding, you will owe money, but if you pay more than enough, you get a refund. Ideally, you should pay near what you owe so you keep more of your money in your pocket throughout the year.

When it comes time to complete your tax return, withholdings from all sources are combined. This amount, combined with refundable credits, is used to offset your tax liability. If your withholding and refundable credit amount is greater than your taxes, you get a tax refund; if it is less, you have a balance due.

One way to ensure your withholding is accurate is to change your withholding when certain life events occur. For example, when a child is no longer eligible to be claimed as a dependent and the parent forgets to reduce the number of exemptions on their Form W-4, their tax liability increases and they could have a balance due at tax time.

Taxpayers who continue to work while receiving their retirement distributions may also end up without enough withholding. In the case of taxpayers with multiple jobs, if they do not adjust their Form W-4 for each job (considering their total income and withholding), they may find that the combined withholding from all of their jobs is too low, ultimately creating a balance due situation.

Most importantly, keep in mind that you can complete a new Form W-4 as often as necessary through your payroll department. There are tools available to help you evaluate your withholding, such as the IRS Withholding Calculator (at www.irs.gov), but if you are unsure how to claim withholdings or have questions about changing your withholding, speaking with a tax preparer can help you avoid surprises when you file an annual tax return.

Savings rates continue their slow drift down with the average dropping from 1.40% APY to 1.39% APY. Tthe top savings rate remained at 2% (ReadySaver.com from Southern Community Bank). Everbank also continued to offer their promo rate of 2.25% APY for the first three months on new money. After three months, the rate drops to 1.26% APY for a 1-year blended APY of 1.51%.

Other notable rates include Franklin Synergy Bank at 1.75% APY and EBSB at 1.67% APY.

Rate decreases from the previous week were:

• Costco Capital One: 1.5% APR to 1.3% APY
• Colorado Federal Savings Bank: 1.4% APR to 1.35% APR
• Ally Bank: 1.30% APR to 1.29% APR

There were no rate increases on the BestCashCow savings rate table.

The table below shows the trend with savings rates as well as select rates. For savings, the trend is generally down.

Compare the top savings rates.