How to Start Investing with Just $100 in the U.S.
Many people believe investing is only for the wealthy. The truth is—you can begin investing with as little as $100. Thanks to new platforms and tools, getting started has never been easier or more affordable.
In this guide, we’ll walk you through how to invest $100 wisely and grow it over time.
1. Open a Brokerage Account
Start by choosing a low-cost U.S.-based brokerage platform. Some beginner-friendly options include:
- Fidelity
- Charles Schwab
- Robinhood
- SoFi Invest
- Webull
Most of these platforms offer no account minimums and zero-commission trades.
2. Invest in Fractional Shares
With just $100, you can still invest in big-name stocks like Apple, Amazon, or Tesla using fractional shares. This allows you to buy a portion of a stock for as little as $1.
Platforms that support fractional shares:
- Robinhood
- Fidelity
- Schwab
- Cash App
3. Choose a Diversified Investment
If you don’t want to pick individual stocks, consider:
- ETFs (Exchange-Traded Funds): Like SPY (S&P 500 ETF) or VTI (Total Market)
- Robo-advisors: Like Betterment or Wealthfront, which build a portfolio for you
These are safer for beginners and offer automatic diversification.
4. Use Dollar-Cost Averaging (DCA)
Once you start with $100, make it a habit to invest regularly—even $20 a week. This is called Dollar-Cost Averaging and helps reduce market timing risk.
5. Avoid High-Risk Options
Skip the following with a small budget:
- Day trading
- Penny stocks
- Crypto speculation
These carry high risk and low predictability, especially for beginners.
6. Reinvest Dividends
If you buy dividend-paying stocks or ETFs, opt for automatic dividend reinvestment (DRIP). This helps compound your investment over time.
7. Monitor, But Don’t Obsess
Check your portfolio monthly—not daily. Stay focused on the long-term goal of building wealth.
Final Thoughts
Starting with $100 may feel small, but it’s an important first step in your financial journey. What matters most is consistency and learning as you go. Over time, small investments grow into large gains through the power of compounding.
FAQs
Can I invest in stocks with just $100?
Yes, through fractional shares or low-cost ETFs.
Is $100 enough to use a robo-advisor?
Yes. Some robo-advisors like SoFi or Betterment have low or no minimums.
What’s the safest way to invest $100?
Diversified ETFs or a robo-advisor portfolio are low-risk options.
How often should I invest after the first $100?
As often as possible. Weekly or monthly is ideal—consistency matters.
Can I make money fast with $100?
Investing is not a get-rich-quick scheme. Focus on long-term growth, not short-term wins.
