You Don’t Need Much to Get Started
According to Investopedia, you can successfully start your investment portfolio with as little as $1,000. You will need to find a brokerage firm that will allow you to start an account with $1,000 (some will require more but they exist!). Most investors with only $1,000 to start will have to go with a discount broker, however, you will be able to start investing and help your money make money for you (everyone’s goal).
The Cookie Jar Approach
You can also try and invest your change. If you store away change for an entire year you would be surprised as to how much money you are able to save and start investing by year’s end. If you have trouble saving or setting money aside for your investments, have no fear! There’s an app for that.
Try the Digit.co budgeting app or the Acorns app to help you start investing your change. Digit will help you save if you’d like to save a more significant amount of money to invest. Acorns, on the other hand, will round up your credit and debit card purchases and invest your spare change. You don’t have to even think about it.
Another form of investing that you may be interested in is investing in your future: your retirement. If your employer has a retirement plan you can set aside a certain amount of money (or percentage) from every check. Oftentimes your employer will even match what you contribute into the plan, especially 401K retirement plans.
Research Mutual Funds
If you aren’t looking to retire but are truly looking to invest your money you may want to look into mutual funds or an IRA account. Most mutual funds only require an initial investment between $500 and $5,000 (relatively low initial investment prices). A great company to look into for this type of account is T. Rowe Price.
Investing Applications and Sites
In this day and age you don’t need to see a broker or go to the bank to invest your money. You can simply download an app or sign up for an investing account online. Robo advisors are another way you can start investing with only a small amount of money.
As mentioned above, Acorns is a great user-friendly app for investing. Not only can you invest your spare change but you can also set up a recurring withdrawal from your bank account to the Acorns account. Acorns also allows you to alter your investing goals and helps you reach them.
Another great investing website is Betterment. Betterment has no minimum deposit to start an account and you can contribute as little as $10 at a time. If you are short on cash but want to start planning ahead for your future, Betterment is a great option!
You don’t have to have a ton of money to start investing now. All you need is the desire for a secure financial future.
Photo: Pictures of Money