Investing for Beginners: How to Start with Just 00

You do not need thousands of dollars to start investing. With just $100 and the right approach, you can begin building wealth for your future. Here is how to get started.

Why Start Investing Now?

Time is your greatest asset when investing. Thanks to compound interest, money invested early grows exponentially. $100 invested monthly starting at age 25 could grow to over $400,000 by retirement, while starting at 35 might yield only $200,000.

Before You Invest

Make sure you have:

• No high-interest debt (credit cards above 15%)
• A starter emergency fund ($500-1,000)
• A budget that allows regular contributions

Where to Invest Your First $100

1. Employer 401(k)

If your employer offers matching, contribute at least enough to get the full match. This is free money—an instant 50-100% return on investment.

2. Roth IRA

Open a Roth IRA with a brokerage like Fidelity, Schwab, or Vanguard. Contributions grow tax-free, and withdrawals in retirement are tax-free.

3. Index Funds

Start with a total stock market index fund. These provide instant diversification across thousands of companies with very low fees.

Getting Started

1. Choose a brokerage (Fidelity, Schwab, and Vanguard have no minimums)
2. Open an account (IRA or taxable brokerage)
3. Link your bank account
4. Set up automatic monthly investments
5. Choose a target-date fund or total market index fund

The most important step is simply starting. You can always adjust your strategy later as you learn more.