How much money do I need to invest?

Contrary to popular belief, investing is not just for rich people.

So, how much money do you need to invest? If you’ve got $100, you have enough to get started (assuming you’ve paid off your high-interest debt and you’ve built up an emergency fund in case of, well, emergency).

In fact, if you’re able to invest just $50 a month and you’ve got a few years to let your money compound, you have plenty to build up a significant portfolio.

Back in the day, it wasn’t quite so affordable. Historically, full-service brokers charged crazy-high commissions, with even more fees added on for purchases that weren’t made in “round lots,” or multiples of 100. And sure, you need more than couch coins to come up with that kind of investment.

Today, you can buy the number of shares you want – even fractions of shares. Several online brokerages let you invest with no minimum cash requirement, and each trade can cost less than a Chipotle burrito with a side of chips and guacamole.

Even though times have changed, the myth persists. Financial writers too often talk about “if you invest just $10,000 in this stock…,” missing the point that most people don’t have piles of cash just sitting around.

You don’t need $10,000. You don’t need to be rich to get richer through the market. You just need to start, and if you haven’t already, you can get rolling with as little as $100.

Here’s a great article from our 13 Steps to Investing Foolishly that explains how even small investments can lead to big portfolios down the road.

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3 Comments

  1. I have already paid my dues to join and i would like to pay100.oo dollars and i need a broker please help me

    1. I have already paid my dues to join and i would like to pay100.oo dollars and i need a broker please help me

    2. bruce raby

      I,m late in the my age and I would like to leave something for my family. I need help on what to invest in.