Fed Cuts Interest Rates: What It Means for You
What Just Happened?
On September 17, 2025, the U.S. Federal Reserve (Fed) lowered its benchmark interest rate by 0.25 percentage points, taking it to 4.00-4.25%.
This is the first rate cut this year, and Fed Chair Jerome Powell hinted that more cuts may be on the way in 2025, as the job market shows signs of cooling.
Why Does the Fed Adjusts Rates?
Think of the Fed as the air conditioning (AC) system for the economy:
If it’s too hot (cost of living rising too fast, economy overheating), the Fed turns up the AC (raises interest rates) so things cool down.
If it’s too cold (growth slowing, unemployment rising, risk of recession), the Fed turns down the AC (cuts interest rates) so things warm back up.
The Fed wants the room (the economy) to feel comfortable — not too hot, not too cold.
Here are the main ways rate cuts affect the economy and markets:
Cheaper Borrowing: Businesses and consumers like you pay less interest for loans (mortgages, car loans, business expansion).
Less Incentive to Save: Lower interest on savings accounts means people are nudged toward spending or investing instead.
Boost for Stocks & Real Estate: Lower rates can push up prices of stocks, bonds, and homes.
Confidence & Risk-Taking: Rate cuts can make people feel more confident about spending and investing, knowing the Fed is being supportive.
What the Fed Actually Said
The cut was a “risk-management” move in case the economy slows more than expected.
Inflation is still running around 2.8–3%, above the Fed’s 2% target.
Some Fed officials see more cuts ahead; others want to move more slowly. This shows uncertainty.
What History Shows
Looking at past Fed cutting cycles, the data shows that with few exceptions a rate cut was a positive signal for stock markets.
Bottom Line
The Fed’s rate cut is like turning down the AC, trying to make sure the economy stays “warm” and reducing the risk of chills. It may help warm things back up, but it’s not a magic switch. The effects usually take time to show, and inflation is still something to watch.
For investors, the key is to stay diversified, focus on the long-term, and pay attention as the Fed’s future moves line up with real economic data.
Don’t let rate cuts or hikes distract you, Beanstox helps you stay consistent, so your money can grow over time.
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You’ve heard the headlines, Bitcoin is one of the best-performing assets of the decade. But when you try to actually invest? You’re met with crypto wallets, private keys, exchanges, and complicated tax forms. Not exactly beginner friendly. That’s why we created Beanstox Bitcoin — a simpler way to gain exposure to Bitcoin without the hassle.
You’ve heard the headlines, Bitcoin is one of the best-performing assets of the decade. But when you try to actually invest? You’re met with crypto wallets, private keys, exchanges, and complicated tax forms. Not exactly beginner friendly. That’s why we created Beanstox Bitcoin — a simpler way to gain exposure to Bitcoin without the hassle.
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Unless indicated differently, data is as of 06/30/2025.
*Disclosures
Beanstox does not provide tax, legal, accounting, budgeting, credit score, or banking advice. The information provided is for informational purposes only and is not intended to constitute such advice. Readers are encouraged to consult with their personal tax, legal, and accounting professionals for specific guidance.
Beanstox has partnered with April Tax Solutions Inc. to offer helpful tax-related tools to Beanstox Clients. Beanstox does not provide tax advice. Please consult your tax advisor for additional information regarding tax matters. April Tax Solutions Inc. is a third-party service provider and is not affiliated with Beanstox.
* Open a Traditional IRA with Beanstox and boost your federal tax refund by up to $22 for every $100 you contribute by April 15, 2026 (or up to $1,540 assuming 22% on the maximum contribution of $7,000). Then file your taxes effortlessly with the easy-to-use tax tool powered by april and claim the IRA deduction.
ᶿ Maximum refund guarantee is provided by April Tax Solutions Inc.. If you use april's service to prepare and file your return and you find an error in the tax preparation that entitles you to a larger refund (or smaller liability), you may use their service to amend that return at no additional charge. To qualify, the larger refund or smaller tax liability must not be due to differences or inaccuracies in data supplied by you, your choice not to claim a deduction or credit, positions taken on your return that are contrary to law, or changes in federal or state tax laws.
If April Tax Solutions Inc.'s tax preparation software makes a mathematical error that results in your payment of a penalty and/or interest to the Internal Revenue Service (“IRS”) that you would otherwise not have been required to pay, April Tax Solutions Inc. will reimburse you up to a maximum of $10,000.
1. Pricing: Learn About Pricing.
2. Power Savings: As of June 30, 2025: traditional US Savings Account Rate: 0.38% (YCharts); T-Bill yield: 4.24% (YCharts); 4.18% based on the 30-day SEC yield of the Beanstox short-duration bond portfolio ETF constituents; the 30-day SEC yield is a standard metric defined by the U.S. Securities and Exchange Commission (SEC) and reflects the dividends and interest earned during the period after the deduction of the ETF's expenses. There are no assurances that this yield will be sustainable in the future. This product invests in one or more ETFs. Results may vary due to expenses and other factors.
3. Stocks 500: Where applicable, as of June 30, 2025, S&P 500 return assumes an initial $1,000 investment, 40-year annualized return of 10% (Source: Bloomberg Finance LP). It is not possible to invest directly in an index. This product invests in an ETF aiming to track the S&P 500’s performance. Results may vary due to expenses and other factors. Returns before ETF fees. Diversification is not a guarantee of profit or protection against loss.
4. Wealth Builder: Saving $400/month over 40 years, but not investing and assuming no interest accrual, would accumulate $192,000; however, investing the same $400/month, could add up to over $1 million over the same period of time. This projection illustrates a hypothetical example of compounding over time, based on an investment of $400 per month for 40 years with an assumed annualized returns of 8% or more, compounded monthly, assuming the funds stay invested throughout the investment period.
5. All corporate logos are for illustrative purposes only and are not a recommendation, an offer to sell, or a solicitation of an offer to buy any security.
6. App store rating is as of 06/30/2025, and is based upon all ratings and reviews received by Apple App Store and Google Play Store (collectively, the “App Stores”) submitted since the Beanstox app was available on each App Store. Current rating can be found on Beanstox’s app preview in each App Store and is subject to change. App Store rating is generally calculated and generated by each App Stores based on the average of all total Beanstox app ratings. No compensation was exchanged for reviews or ratings. Rating may not be representative of the Beanstox client experience, advisory services, or investment performance. For more information, see more reviews at the App Store and Google Play Store.
7. Beanstox Bitcoin is a self-directed portfolio and should not be considered to be a recommendation. Investing in digital assets, such as Bitcoins, is highly speculative and volatile, and only suitable for investors who are able to bear the risk of potential loss and experience sharp drawdowns. Digital assets are not legal tender and are not backed by the U.S. government. Although exposure to Bitcoin can help further diversify your investment portfolios for the long-term, digital assets investments carry significant risk! Generally, you may want to consider limiting your digital assets allocation to no more than 5% of your investments. Even today, while Cryptocurrency is gaining a more prominent currency position, it’s still considered a highly volatile investment. Beanstox does not provide access to invest directly in Bitcoin. Bitcoin exposure is provided through the iShares Bitcoin Trust ETF. This is considered a high-risk investment given the speculative and volatile nature of digital assets. Investing involves risk including the loss of principal.
8.Beanstox Gold is a self-directed portfolio and should not be considered to be a recommendation. Investing in commodities, such as gold, is speculative and can be volatile, and may only suitable for investors who are able to bear the risk of potential loss and experience sharp drawdowns. Although exposure to gold can help further diversify your investment portfolios for the long-term, commodities carry significant risk. Generally, you may want to consider limiting your commodities allocation to no more than 10% of your investments. Beanstox does not provide access to invest directly in gold. Beanstox’s gold exposure is provided through the iShares Gold Trust. This is considered a high-risk investment given the speculative and volatile nature of commodities. Investing involves risk including the loss of principal.
New Products: We are excited about the development of new products, although there are no assurances that these products will be implemented or offered to Beanstox App users, or that final details on how the products will be offered will not differ from those currently contemplated.
Beanstox Inc. (“Beanstox”) is an SEC registered investment adviser and has arranged for brokerage services to be provided by DriveWealth LLC., a registered broker-dealer and member of FINRA/SIPC. DriveWealth is not affiliated with Beanstox.
Investing in securities involves risks, and there is always the potential of losing money when you invest in securities. Before investing, consider your investment objectives and risk tolerance levels and Beanstox’s charges and expenses. The information provided herein is for illustrative purposes only and does not constitute personalized investment advice, recommendations or solicitations to hold, buy or sell any investment or security of any kind. Beanstox’s internet-based advisory services are designed to assist clients in achieving investment goals. They are not intended to provide comprehensive tax advice or financial planning with respect to every aspect of a client’s financial situation and do not incorporate specific investments that clients hold elsewhere. For more details, see our Form ADV Part 2A and Part 3 CRS and other disclosures.
All images and return figures shown are for illustrative purposes only and are not actual customer or model returns. Actual returns will vary greatly and depend on personal and market conditions. Past performance does not guarantee future results. Google Play and the Google Play logo are trademarks of Google, Inc. Apple, the Apple logo, and iPhone are trademarks of Apple, Inc., registered in the U.S.
Our site uses cookies and other similar technologies so that we can remember you and understand how you and other visitors use our site. Please see Beanstox Privacy Policy for more information.
© 2025 Beanstox Inc.
Copyright © 2025 Beanstox. All Rights Reserved
Legal
Developers
Unless indicated differently, data is as of 06/30/2025.
*Disclosures
Beanstox does not provide tax, legal, accounting, budgeting, credit score, or banking advice. The information provided is for informational purposes only and is not intended to constitute such advice. Readers are encouraged to consult with their personal tax, legal, and accounting professionals for specific guidance.
Beanstox has partnered with April Tax Solutions Inc. to offer helpful tax-related tools to Beanstox Clients. Beanstox does not provide tax advice. Please consult your tax advisor for additional information regarding tax matters. April Tax Solutions Inc. is a third-party service provider and is not affiliated with Beanstox.
* Open a Traditional IRA with Beanstox and boost your federal tax refund by up to $22 for every $100 you contribute by April 15, 2026 (or up to $1,540 assuming 22% on the maximum contribution of $7,000). Then file your taxes effortlessly with the easy-to-use tax tool powered by april and claim the IRA deduction.
ᶿ Maximum refund guarantee is provided by April Tax Solutions Inc.. If you use april's service to prepare and file your return and you find an error in the tax preparation that entitles you to a larger refund (or smaller liability), you may use their service to amend that return at no additional charge. To qualify, the larger refund or smaller tax liability must not be due to differences or inaccuracies in data supplied by you, your choice not to claim a deduction or credit, positions taken on your return that are contrary to law, or changes in federal or state tax laws.
If April Tax Solutions Inc.'s tax preparation software makes a mathematical error that results in your payment of a penalty and/or interest to the Internal Revenue Service (“IRS”) that you would otherwise not have been required to pay, April Tax Solutions Inc. will reimburse you up to a maximum of $10,000.
1. Pricing: Learn About Pricing.
2. Power Savings: As of June 30, 2025: traditional US Savings Account Rate: 0.38% (YCharts); T-Bill yield: 4.24% (YCharts); 4.18% based on the 30-day SEC yield of the Beanstox short-duration bond portfolio ETF constituents; the 30-day SEC yield is a standard metric defined by the U.S. Securities and Exchange Commission (SEC) and reflects the dividends and interest earned during the period after the deduction of the ETF's expenses. There are no assurances that this yield will be sustainable in the future. This product invests in one or more ETFs. Results may vary due to expenses and other factors.
3. Stocks 500: Where applicable, as of June 30, 2025, S&P 500 return assumes an initial $1,000 investment, 40-year annualized return of 10% (Source: Bloomberg Finance LP). It is not possible to invest directly in an index. This product invests in an ETF aiming to track the S&P 500’s performance. Results may vary due to expenses and other factors. Returns before ETF fees. Diversification is not a guarantee of profit or protection against loss.
4. Wealth Builder: Saving $400/month over 40 years, but not investing and assuming no interest accrual, would accumulate $192,000; however, investing the same $400/month, could add up to over $1 million over the same period of time. This projection illustrates a hypothetical example of compounding over time, based on an investment of $400 per month for 40 years with an assumed annualized returns of 8% or more, compounded monthly, assuming the funds stay invested throughout the investment period.
5. All corporate logos are for illustrative purposes only and are not a recommendation, an offer to sell, or a solicitation of an offer to buy any security.
6. App store rating is as of 06/30/2025, and is based upon all ratings and reviews received by Apple App Store and Google Play Store (collectively, the “App Stores”) submitted since the Beanstox app was available on each App Store. Current rating can be found on Beanstox’s app preview in each App Store and is subject to change. App Store rating is generally calculated and generated by each App Stores based on the average of all total Beanstox app ratings. No compensation was exchanged for reviews or ratings. Rating may not be representative of the Beanstox client experience, advisory services, or investment performance. For more information, see more reviews at the App Store and Google Play Store.
7. Beanstox Bitcoin is a self-directed portfolio and should not be considered to be a recommendation. Investing in digital assets, such as Bitcoins, is highly speculative and volatile, and only suitable for investors who are able to bear the risk of potential loss and experience sharp drawdowns. Digital assets are not legal tender and are not backed by the U.S. government. Although exposure to Bitcoin can help further diversify your investment portfolios for the long-term, digital assets investments carry significant risk! Generally, you may want to consider limiting your digital assets allocation to no more than 5% of your investments. Even today, while Cryptocurrency is gaining a more prominent currency position, it’s still considered a highly volatile investment. Beanstox does not provide access to invest directly in Bitcoin. Bitcoin exposure is provided through the iShares Bitcoin Trust ETF. This is considered a high-risk investment given the speculative and volatile nature of digital assets. Investing involves risk including the loss of principal.
8.Beanstox Gold is a self-directed portfolio and should not be considered to be a recommendation. Investing in commodities, such as gold, is speculative and can be volatile, and may only suitable for investors who are able to bear the risk of potential loss and experience sharp drawdowns. Although exposure to gold can help further diversify your investment portfolios for the long-term, commodities carry significant risk. Generally, you may want to consider limiting your commodities allocation to no more than 10% of your investments. Beanstox does not provide access to invest directly in gold. Beanstox’s gold exposure is provided through the iShares Gold Trust. This is considered a high-risk investment given the speculative and volatile nature of commodities. Investing involves risk including the loss of principal.
New Products: We are excited about the development of new products, although there are no assurances that these products will be implemented or offered to Beanstox App users, or that final details on how the products will be offered will not differ from those currently contemplated.
Beanstox Inc. (“Beanstox”) is an SEC registered investment adviser and has arranged for brokerage services to be provided by DriveWealth LLC., a registered broker-dealer and member of FINRA/SIPC. DriveWealth is not affiliated with Beanstox.
Investing in securities involves risks, and there is always the potential of losing money when you invest in securities. Before investing, consider your investment objectives and risk tolerance levels and Beanstox’s charges and expenses. The information provided herein is for illustrative purposes only and does not constitute personalized investment advice, recommendations or solicitations to hold, buy or sell any investment or security of any kind. Beanstox’s internet-based advisory services are designed to assist clients in achieving investment goals. They are not intended to provide comprehensive tax advice or financial planning with respect to every aspect of a client’s financial situation and do not incorporate specific investments that clients hold elsewhere. For more details, see our Form ADV Part 2A and Part 3 CRS and other disclosures.
All images and return figures shown are for illustrative purposes only and are not actual customer or model returns. Actual returns will vary greatly and depend on personal and market conditions. Past performance does not guarantee future results. Google Play and the Google Play logo are trademarks of Google, Inc. Apple, the Apple logo, and iPhone are trademarks of Apple, Inc., registered in the U.S.
Our site uses cookies and other similar technologies so that we can remember you and understand how you and other visitors use our site. Please see Beanstox Privacy Policy for more information.
© 2025 Beanstox Inc.
Copyright © 2025 Beanstox. All Rights Reserved
Legal
Developers
Unless indicated differently, data is as of 06/30/2025.
*Disclosures
Beanstox does not provide tax, legal, accounting, budgeting, credit score, or banking advice. The information provided is for informational purposes only and is not intended to constitute such advice. Readers are encouraged to consult with their personal tax, legal, and accounting professionals for specific guidance.
Beanstox has partnered with April Tax Solutions Inc. to offer helpful tax-related tools to Beanstox Clients. Beanstox does not provide tax advice. Please consult your tax advisor for additional information regarding tax matters. April Tax Solutions Inc. is a third-party service provider and is not affiliated with Beanstox.
* Open a Traditional IRA with Beanstox and boost your federal tax refund by up to $22 for every $100 you contribute by April 15, 2026 (or up to $1,540 assuming 22% on the maximum contribution of $7,000). Then file your taxes effortlessly with the easy-to-use tax tool powered by april and claim the IRA deduction.
ᶿ Maximum refund guarantee is provided by April Tax Solutions Inc.. If you use april's service to prepare and file your return and you find an error in the tax preparation that entitles you to a larger refund (or smaller liability), you may use their service to amend that return at no additional charge. To qualify, the larger refund or smaller tax liability must not be due to differences or inaccuracies in data supplied by you, your choice not to claim a deduction or credit, positions taken on your return that are contrary to law, or changes in federal or state tax laws.
If April Tax Solutions Inc.'s tax preparation software makes a mathematical error that results in your payment of a penalty and/or interest to the Internal Revenue Service (“IRS”) that you would otherwise not have been required to pay, April Tax Solutions Inc. will reimburse you up to a maximum of $10,000.
1. Pricing: Learn About Pricing.
2. Power Savings: As of June 30, 2025: traditional US Savings Account Rate: 0.38% (YCharts); T-Bill yield: 4.24% (YCharts); 4.18% based on the 30-day SEC yield of the Beanstox short-duration bond portfolio ETF constituents; the 30-day SEC yield is a standard metric defined by the U.S. Securities and Exchange Commission (SEC) and reflects the dividends and interest earned during the period after the deduction of the ETF's expenses. There are no assurances that this yield will be sustainable in the future. This product invests in one or more ETFs. Results may vary due to expenses and other factors.
3. Stocks 500: Where applicable, as of June 30, 2025, S&P 500 return assumes an initial $1,000 investment, 40-year annualized return of 10% (Source: Bloomberg Finance LP). It is not possible to invest directly in an index. This product invests in an ETF aiming to track the S&P 500’s performance. Results may vary due to expenses and other factors. Returns before ETF fees. Diversification is not a guarantee of profit or protection against loss.
4. Wealth Builder: Saving $400/month over 40 years, but not investing and assuming no interest accrual, would accumulate $192,000; however, investing the same $400/month, could add up to over $1 million over the same period of time. This projection illustrates a hypothetical example of compounding over time, based on an investment of $400 per month for 40 years with an assumed annualized returns of 8% or more, compounded monthly, assuming the funds stay invested throughout the investment period.
5. All corporate logos are for illustrative purposes only and are not a recommendation, an offer to sell, or a solicitation of an offer to buy any security.
6. App store rating is as of 06/30/2025, and is based upon all ratings and reviews received by Apple App Store and Google Play Store (collectively, the “App Stores”) submitted since the Beanstox app was available on each App Store. Current rating can be found on Beanstox’s app preview in each App Store and is subject to change. App Store rating is generally calculated and generated by each App Stores based on the average of all total Beanstox app ratings. No compensation was exchanged for reviews or ratings. Rating may not be representative of the Beanstox client experience, advisory services, or investment performance. For more information, see more reviews at the App Store and Google Play Store.
7. Beanstox Bitcoin is a self-directed portfolio and should not be considered to be a recommendation. Investing in digital assets, such as Bitcoins, is highly speculative and volatile, and only suitable for investors who are able to bear the risk of potential loss and experience sharp drawdowns. Digital assets are not legal tender and are not backed by the U.S. government. Although exposure to Bitcoin can help further diversify your investment portfolios for the long-term, digital assets investments carry significant risk! Generally, you may want to consider limiting your digital assets allocation to no more than 5% of your investments. Even today, while Cryptocurrency is gaining a more prominent currency position, it’s still considered a highly volatile investment. Beanstox does not provide access to invest directly in Bitcoin. Bitcoin exposure is provided through the iShares Bitcoin Trust ETF. This is considered a high-risk investment given the speculative and volatile nature of digital assets. Investing involves risk including the loss of principal.
8.Beanstox Gold is a self-directed portfolio and should not be considered to be a recommendation. Investing in commodities, such as gold, is speculative and can be volatile, and may only suitable for investors who are able to bear the risk of potential loss and experience sharp drawdowns. Although exposure to gold can help further diversify your investment portfolios for the long-term, commodities carry significant risk. Generally, you may want to consider limiting your commodities allocation to no more than 10% of your investments. Beanstox does not provide access to invest directly in gold. Beanstox’s gold exposure is provided through the iShares Gold Trust. This is considered a high-risk investment given the speculative and volatile nature of commodities. Investing involves risk including the loss of principal.
New Products: We are excited about the development of new products, although there are no assurances that these products will be implemented or offered to Beanstox App users, or that final details on how the products will be offered will not differ from those currently contemplated.
Beanstox Inc. (“Beanstox”) is an SEC registered investment adviser and has arranged for brokerage services to be provided by DriveWealth LLC., a registered broker-dealer and member of FINRA/SIPC. DriveWealth is not affiliated with Beanstox.
Investing in securities involves risks, and there is always the potential of losing money when you invest in securities. Before investing, consider your investment objectives and risk tolerance levels and Beanstox’s charges and expenses. The information provided herein is for illustrative purposes only and does not constitute personalized investment advice, recommendations or solicitations to hold, buy or sell any investment or security of any kind. Beanstox’s internet-based advisory services are designed to assist clients in achieving investment goals. They are not intended to provide comprehensive tax advice or financial planning with respect to every aspect of a client’s financial situation and do not incorporate specific investments that clients hold elsewhere. For more details, see our Form ADV Part 2A and Part 3 CRS and other disclosures.
All images and return figures shown are for illustrative purposes only and are not actual customer or model returns. Actual returns will vary greatly and depend on personal and market conditions. Past performance does not guarantee future results. Google Play and the Google Play logo are trademarks of Google, Inc. Apple, the Apple logo, and iPhone are trademarks of Apple, Inc., registered in the U.S.
Our site uses cookies and other similar technologies so that we can remember you and understand how you and other visitors use our site. Please see Beanstox Privacy Policy for more information.
© 2025 Beanstox Inc.
Copyright © 2025 Beanstox. All Rights Reserved