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How to Start Investing With Only $100: A Simple Guide for Beginners

  • earngrowgo
  • Jun 15
  • 3 min read

Updated: Jun 18

Think you need thousands of dollars to start investing? Think again. You can start building wealth with as little as $100—yes, really!

Investing isn't just for the wealthy anymore. Thanks to modern tools and low-cost platforms, anyone (even busy parents and beginners) can start small and grow over time.

If you're ready to put your money to work—even if it's just a hundred bucks—here’s exactly how to get started.


Why Start With $100?

You might be thinking: What difference can $100 really make?

A lot, actually. Here's why:

  • It builds the habit of investing consistently

  • Compounding growth starts working, even with small amounts

  • It helps you learn by doing, not just reading

  • It removes the mental barrier of needing “a lot of money” to start


Step 1: Set a Clear Goal

Before you invest, ask yourself: What am I investing for?

  • Retirement

  • A down payment on a home

  • Kids' education

  • Long-term wealth building

This helps you choose the right account and strategy.


Step 2: Choose Where to Invest Your $100

Here are the best options for beginners with limited funds:

1. Open a Brokerage Account (Free + Easy)

Use beginner-friendly apps like:

  • Fidelity (no account minimums)

  • Charles Schwab

  • Robinhood or Public (for more app-based, user-friendly investing)

  • SoFi Invest (also beginner-focused with extra features)

You can start with fractional shares, meaning you can invest in big-name companies (like Amazon or Apple) with just a few dollars.


2. Buy an Index Fund or ETF

Instead of picking stocks (which can be risky for beginners), invest in:

  • Vanguard Total Stock Market ETF (VTI)

  • S&P 500 ETFs like VOO or SPY

These funds let you own hundreds of companies in one single investment. They're lower risk and great for long-term growth.

Think of it as a “starter bundle” of the stock market.


3. Use a Robo-Advisor

If you want a hands-off approach, apps like Acorns, Betterment, and Wealthfront can invest your $100 automatically into a diversified portfolio based on your goals. These are great if you don’t want to choose investments yourself.


4. Invest in a High-Interest Savings or CD (if you're not ready for risk)

Not technically investing in the stock market, but if you’re super cautious, a high-yield savings account or certificate of deposit (CD) can be a low-risk place to park your money while you learn more.


Step 3: Keep Adding More Over Time

That first $100 is just the beginning.

Make it a habit:

  • Set up automatic transfers (even just $10/week)

  • Invest your tax refund or side hustle money

  • Challenge yourself to skip one takeout meal a week and invest that amount

The real power is in consistency, not just how much you start with.


Step 4: Avoid These Common Beginner Mistakes

  • Don’t try to time the market

  • Don’t go “all in” on one hot stock

  • Don’t invest money you’ll need right away

Instead, think long-term and let your investments grow over years—not weeks.


Final Thoughts: Yes, $100 Is Enough to Begin

You don’t need a finance degree or a big bank account to start investing.

In fact, starting small is one of the smartest things you can do. The earlier you start, the more time your money has to grow—and the easier it becomes to stay consistent.

So grab your $100 and take that first step. Your future self will thank you.




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