One of the least glamorous but most important lessons of running a business is this: the tax you owe isn’t your money, so don’t let it sit in your spending account looking spendable. I set aside a chunk of every sale for taxes and reserves, and I park that money in EQ Bank (my referral link) so it actually earns something while it waits.

What it does

EQ Bank is a Canadian online bank known for high-interest savings without the usual nonsense — no monthly account fees and no minimum balance to chase. You open an account online, move money in, and it earns a competitive interest rate compared to what the big banks typically pay on a plain savings account. It’s a digital-first bank, so everything happens in the app or on the web.

Who it’s best for

Anyone who has money sitting still that shouldn’t be earning nothing — an emergency fund, a tax reserve, savings goals. For small business owners specifically, it’s a great home for the money you’ve set aside but don’t need this week. If you want a full-service bank with branches and every product under one roof, EQ is more of a specialist — you’ll likely use it alongside your main account, the way I do.

What I use it for

This is where my tax and reserve money lives. Every time sales come in, a portion is “not mine” — it’s GST and income tax waiting to be paid — so I move it out of my spending account and into EQ. Keeping it separate means I’m never surprised at tax time, and I’m not tempted to treat it as available cash. The bonus is that while it sits there doing its job, it earns interest instead of quietly losing value to inflation in a chequing account.

What I like

• A meaningfully better interest rate than I was getting on savings at a big bank.
• No monthly fees and no minimum balance games to play.
• Keeping tax money physically separate makes me far more disciplined about it.
• The app is simple and moving money in and out is quick.

Limitations

• It’s online-only — no branches to walk into if that matters to you.
• Interest rates move, so the rate that looks great today can change; it’s not locked in.
• It’s not a full replacement for a primary chequing or business account — I use it as a savings companion, not my hub.
• Depending on the account type, confirm the current rules on transfers and any holds before you rely on instant access.

Canadian notes

EQ Bank is Canadian and its deposits are held by an institution that is a CDIC member — but coverage has limits and conditions, so confirm the current details yourself rather than assuming. Interest rates and account features change regularly, so please check the current rate and terms on EQ’s site instead of trusting a number from me. From my experience, the appeal isn’t chasing the single highest rate on the market — it’s a fair rate with no fees on money I want kept separate and safe.

Alternatives

If EQ isn’t your pick, Wealthsimple offers a cash account that competes on rate. Tangerine is another long-running Canadian online bank with savings options. And most credit unions offer high-interest savings if you’d rather keep things local. It’s worth comparing the current rates before you choose.

If your tax or reserve money is sitting in a chequing account earning nothing, I’d open an EQ Bank account and give that money a proper home. Separating it out changed how calmly I approach tax season.

This is my own experience — not financial, tax, or legal advice. Fees, features, and availability change, so confirm current details on the provider’s site before you decide.