Why Starting Small Works
You can start investing with $100. The habit matters more than the amount.
When you invest $100, you learn how platforms work, watch your money move with the market, and practice the discipline of leaving it alone. These lessons — learned with $100 — prepare you for when larger amounts are at stake.
Step 1: Choose a Platform
Look for a brokerage with no account minimums, no commissions on basic trades, and access to index funds and ETFs. Most major platforms now have no minimum to open an account.
Step 2: Buy a Simple Index Fund or ETF
With $100, do not pick individual stocks. Buy a broad market index fund or ETF.
An S&P 500 ETF gives you 500 companies in one purchase. Diversified by design. Annual fees of 0.03% to 0.2%. Historically reliable over long periods.
One fund is enough to start.
Step 3: Set Up Automatic Contributions
Set up automatic monthly contributions immediately — even $25 or $50 per month.
$50 per month at 8% annual return:
- 10 years: $9,147
- 20 years: $29,451
- 30 years: $74,518
The automatic contribution removes the monthly decision. Money moves before you can spend it.
Step 4: Do Not Touch It
When markets drop — and they will — leave the investment alone. Markets recover. Check it quarterly, not daily.
The Path Forward
Increase contributions as income grows. Add an international fund for diversification. Add a bond fund as the portfolio matures.
Every wealthy investor started somewhere. None of them regret starting.