If you’re just starting out, chances are you don’t have much money to put aside for investing. You may be wondering how to invest 100 dollars.
Fortunately, there are plenty of ways you can grow your money, even if you’re starting out with as little as $100. Once you know how to invest 100 dollars, you can repeat the process with the next $100.
Eventually, you’ll be in the habit of putting your money to work, which will help lead to your financial success.
Buy Low and Sell High
If you love to shop, consider hunting down good deals and then re-selling the items for their true value.
You have $100 to shop with and you could easily double or triple that money in a short amount of time.
For example, I once found children’s bathing suits on clearance for $1 a piece in a store that was going out of business.
I was able to sell them for $3 a piece at a yard sale, netting me $2 in profit per bathing suit.
You can use sites like eBay to sell the items you find. Before you spend your $100, however, you need to first search eBay to check that the item is selling and that it is selling for a profit.
So, if you’re at your local thrift store and you spot a Justice outfit in excellent condition for $5, you’d do a quick search on eBay to see if those items were selling and for how much.
I happen to know you can get good money for Justice clothing on eBay, so this would be a great buy.
Not every deal is a good deal, so always do your homework before spending that $100. Otherwise, you’ll end up with a product you can’t resell for a profit.
How to Invest 100 Dollars With Acorns
Should you not have the $100 to invest upfront, consider signing up with Acorns. This company allows you to easily invest and save for retirement a little bit at a time.
Once you link your accounts, Acorns will round up your purchases and then place the difference in a diversified ETF, where it will continue to grow.
Accounts with Acorns start at just $1 a month, so they work for every budget.
You can even go with a Family Account for as little as $5 a month (and that’s their most expensive plan, so you’ll never pay more than that).
You also have the option of earning rewards that will go toward your investments by shopping at one of the 350 participating stores, including big name stores, like Old Navy, Chewy and Walmart.
Lend Money to Peers on Prosper
At the time of writing this article, you can’t even get 1% interest on money placed in a regular savings account.
Peer-to-peer lending through Prosper is an excellent way to invest 100 dollars as you can earn as much as 5.5% in interest on your money.
The best part is that Prosper allows anyone to invest with as little as $25!
Once you sign up with Prosper, you can easily choose projects to invest in.
You have full control over your account and can check on your investment anytime. You’ll love helping others reach their goals, while growing your money at the same time.
Invest in Your Education
The best thing I ever did was spend the money to become a certified financial planner, as it landed me some very lucrative jobs.
Consider taking your $100 and signing up for a course that will boost your resume. There are plenty of sites that offer affordable courses, such as Udemy and Skill Share.
The courses are done online, so you can easily work them around your current schedule.
Once you finish the course, update your resume and begin applying for higher paying jobs. Better pay means you’ll have more money to invest in other ways.
Purchase Fractional Shares on the Stock Market
You may think that $100 isn’t enough to invest when it comes to buying stocks, but you’d be wrong.
I actually purchased $100 worth of Bitcoin after it dropped drastically, as I was fairly certain it would go back up over time.
Now Bitcoin is over $38,000 for just 1 share, so what I actually did was buy a fraction of a share.
I prefer using Robinhood to buy and sell stocks because it’s very user-friendly and easy for beginners.
I do research on other sites, as Robinhood doesn’t offer good research tools; however, once I locate a stock that I believe is a good buy, I head over to Robinhood to purchase it.
The important thing is that you don’t just pick any old stock. You really need to do your homework before you begin investing in the stock market.
We have many great training videos over on our YouTube channel (Five Bags Of Gold), so make sure you check them out!
The point is that fractional shares make it possible to grow your money without having to spend a fortune for just 1 share.
I started my account with just $1,100 and doubled it in 9 months, while I was still learning. You can do it too!
In Conclusion: How to Invest 100 Dollars
When it comes to how to invest 100 dollars, it doesn’t matter that you only have a small amount of money to start with. What matters is that you start and that you make investing a habit.
Also, don’t forget to diversify. Implement more than one investment strategy, as it’s best to never have all of your eggs in one basket.