[WSSix]

So I'm looking at my savings account and how much I have in it. This is money I am saving to buy a house with eventually among other things. It is not money I need right now or use regularly. I figure it will be easily more than one year and a day before I would buy a house or really do anything with a substantial portion of the funds. I'm only earning 1% on the money right now but it's guaranteed unless the US decides to pull a Cyprus. At the very least, I won't lose any money though. What can I do though to earn more than 1% though? Considering I am risk adverse I'd be happy with 3%. What I don't want, is to lose money obviously.

What I'm considering is to take a large chunk of the money and put it into another brokerage account with Fidelity. My current brokerage account is with Vanguard under my Roth IRA. I mention this because I'm going to have to pay capital gains taxes on the earnings throughout the year with the money at Fidelity but I'm going to be doing that anyway with the money left in the savings account. I figure if I stick with dividend paying stocks, diversify, and stay with solid companies, I should be ok even though this is short term at this point instead of long term like my other stuff. Really, I just want to safely earn more than 1%. Besides, by the time I actually buy a house, I may have replenished my savings and not have to even touch this money I'm considering moving around now.

So how does that sound? Think it's fairly safe? Obviously, we can't know the future but I'm just trying to earn a little bit more than I am now with the money. Are there other options I should consider? From what I've seen, CD rates are crap but I don't know what else is out there. Greg and others, I know you guys have you cash with JNK and other type stocks. Considering this is short term, should I consider those options or is the risk and the vigilance on checking the stock too high? I wouldn't be interested in anything that requires me to watch it by the hour daily.

Thanks everyone