If you think $100 won’t be enough to invest, think again. With a little discipline and patience, you can double that small sum of money quickly. learn how to start investing with $100 or less. After all, the amount you invest at first is not really what matters when it comes down to it. It’s all about getting started.
So, without further ado, let’s take a look at ten unique ways to flip $100 into $1,000.
1. Buy fractional shares of stock.
Investing in fractional shares is a way to invest a little bit of money. In fractional shares, each share of a company’s stock is divided into a “piece” or a “slice.”
A company can issue fractional shares following a stock split through dividend reinvestment plans (DRIPs) or other means.
Some top online brokerage firms sell customers a percentage of their shares in addition to buying them. As a result, investors can buy stocks with high growth potential, like Tesla, that would otherwise be out of reach.
With Robinhood, for example, you can purchase as little as 1/1,000,000 shares. In addition, Robinhood allows the purchase of fractional shares for as little as $1.
With Acorns, you can invest fractional shares and build wealth through micro-investing. Linking your credit and debit cards to Acorns increases purchases and saves your spare change. Usually, fractional shares are included in your portfolio once you have $5 in your account.
Fractional shares can be bought or sold over time, just like other investments. To build wealth in the long term, you can continue to add fractional shares to your arsenal, or in the short term, you can sell fractional shares to lock in profits.
Fractional shares are a good option for investors who want to diversify their portfolios as much as possible with a small amount of money.
2. Invest in real estate with crowdfunding.
Since you need tens of thousands of dollars to start buying up properties, the real estate industry has traditionally had a high barrier to entry. Therefore, I usually recommend real estate investment trusts (REITs) instead.
REITs provide real-time exposure to real estate without requiring owners to own individual properties or deal with grueling landlord duties. Once you choose a fund and invest regularly, you can grow your investment balance based on real estate profits realized over time.
When it comes to REITs, Fundrise is my favorite platform. The company specializes in selling private equity REITs, known as eREITs, which are trademarked. My favorite part of Fundrise is that you can start with as little as $10. Moreover, the starter account comes with auto-investment and dividend reinvestment.
Fundrise is a great option for individuals who want to invest in real estate without the hassle of buying individual properties. Fidelity and Vanguard also offer REITs, so there are many choices.
3. Create an investment pie with M1 Finance.
As a robo-advisor, M1 Finance lets you create investment “Pies.” Each Pie is composed of slices. The slices represent stocks, ETFs, or even existing portfolios, referred to as Expert Pies.
A Pie can hold up to 100 slices per Pie, and each account can hold five Pies. With a $100 investment, you can get started right away.
Those new to investing may wish to sign up and choose an Expert Pie that suits their topic or theme. By categorizing portfolios, you can pick one that fits your needs, whether you’re looking for a Pie for general investing, retirement, income, or responsible investing.
A mix of Expert Pies and their own investment strategy, or a blend of more Expert Pies, is likely to make the most sense for more advanced investors. For example, you could build a pie of 30% stocks and 70% expert pie.
With these Pies, you can set your own risk appetite and investment goals at a low cost.
4. Open an IRA.
A Roth IRA can be opened alongside other retirement accounts like a 401(k) at work. You can invest after-tax money in this type of account, which will grow tax-free until you are ready to withdraw it. Roth IRA funds can be exempted from tax if you are at least 59 1/2 years old.
You must open your own Roth IRA. However, this can easily be done with any online brokerage firm. If you’re making a high income, you might not be eligible because income caps limit contributions.
There are also contribution limits. The maximum Roth IRA contribution in 2023 is $6,500. However, those 50 and older can contribute up to $7,500.
Where should you open a Roth IRA?
Betterment, M1 Finance, and Stash are all good choices. You should research online brokerage accounts to find the best one for your needs and goals.
A Roth IRA makes sense if you want to save money for retirement or other goals. Also, people looking to access tax-free money later in life can withdraw money from IRAs without paying income taxes.
5. Invest in books.
Books are a great investment in your personal and professional development. Buying a book for $10 or less can teach you something new, improve your skills, or help you become more financially literate.
If you’re looking for some recommendations, I’ve got you covered:
- Best Financial Books for Beginners
- The Top 16 Financial Books of All Time
- The 10 Best Books For Saving Money
- The 12 Best Books for Buying a Home
- 10 Money Mindset Books
6. Enroll in a course or certification.
For less than $100, you can take thousands of online courses, including ones that can expand your knowledge in any subject. It doesn’t matter if you want to learn how to write better, how to use Photoshop, or how to become a speaker for hire.
You can purchase online courses and certifications in virtually any industry on various online platforms. I suggest you take a moment to consider what skills can benefit you in your professional and personal lives. Maybe a new skill will help you get a promotion at your current job, or a certification will help you switch careers.
Whenever I need to enroll in courses or certifications, MasterClass is my first choice. You can enroll in hundreds of courses on this online platform for a small monthly fee ($15 to $23). This platform can provide unlimited learning for more than six months with a $100 investment.
Everyone can benefit from online courses and certifications, but if you’re unsure which courses you’d like to take, MasterClass is a good option. Until you find the right fit, you can take dozens of classes for a low monthly fee.
7. Work together as a team.
Many credit cards, banks, and brokerages offer generous bonuses to new customers. The catch? You’re only allowed to cash in on these bonuses once.
But there is a way around this. Consider a membership transfer pool that rolls over over time.
The concept is relatively simple. You and your friends pool your money and open bank accounts with promotional returns like $300 if you open an account and do these five things within the first month. There is no law against working together to extract the greatest value from the greatest number of promotional bank accounts.”
One could pool their money among six friends, open six accounts, two at each branch, and earn money in promotions. In the 1970s, people used to do this with bank accounts to get free toasters and other giveaways because banks were limited in what they could give away.
8. Hire a mentor or coach.
Mentors or coaches can be invaluable resources as you pursue your goals. Depending on the coach or mentor’s services and experience, their costs will vary. In some cases, mentors charge by the hour, while others may charge a flat fee.
However, many mentors and coaches will meet with you for free for coffee or lunch. In addition, you can connect with a mentor or coach for free in these ways:
- Contact friends, family, and colleagues to see if they know anyone who could be a good mentor or coach.
- Make use of your professional network to find mentors.
- You can find a mentor on SCORE. A SCORE mentor is an experienced business professional who helps others start and grow their own businesses.
- See what local entrepreneurial groups and events are taking place in your area.
- Connect with potential mentors through LinkedIn or at your local Small Business Development Center (SBDC).
9. Make therapy a priority.
As important as investing in your physical health, it is equally important to invest in your mental health. When you are suffering from stress, anxiety, or any other mental health problem, therapy can be beneficial.
Financial issues can also be addressed through therapy. Several types of treatment can help with money, including:
- Cognitive-behavioral therapy (CBT) allows people to identify and change negative thought patterns and behaviors.
- Financial therapy is a unique type of therapy that combines financial and therapeutic aspects.
An hourly therapy session can range from $65 to $250, although it can vary.
10. Invest in fun experiences.
The key to happiness is investing in yourself. Don’t be afraid to spend money on fun experiences with your loved ones and companions. In fact, a 20-year Cornell University study found that happiness is yielded by investing in experiences, not things.
When it comes to growing your wealth, start investing early and consistently. It doesn’t matter how small the amount is; it can add up over time. So, whatever the amount, start investing today.
Can I really grow $100 to $1000?
Yes. The possibility of growing $100 to $1000 exists, but it requires patience, time, and a little risk. Even though there is no guaranteed way to make money, there are some strategies you can use to increase the likelihood of success.
If I have $100, how should I invest it?
Depending on your personal situation and risk tolerance, the best way to invest $100 will vary. There are, however, some general tips to keep in mind:
- Start small and invest consistently. When you consistently invest, even a tiny amount of money can grow over time.
- Diversifying your investments means investing in stocks, bonds, and real estate. By doing so, you will reduce your risk.
- Invest for the long term. Although the stock market can be unstable in the short term, it has trended upwards over the long run.
What are some low-risk ways to invest $100?
A $100 investment can be made in several low-risk ways, such as
- Compared to traditional accounts, high-yield savings accounts offer higher interest rates, significantly helping your money grow faster.
- Certificates of deposit (CDs) are interest-bearing savings accounts that offer a fixed rate of return for a specific period.
- Treasury bonds. U.S. Treasury bonds are government debt securities. In terms of investment safety, they are regarded as very safe.
What are some high-risk ways to invest $100?
You can invest $100 in several high-risk ways, including:
- In addition to their volatility and risk, individual stocks can also provide high returns.
- A great deal of risk is involved in options trading as an investment strategy — you can compare that to the risks and rewards of investing in cryptocurrency.
- The real purpose of venture capital is to fund early-stage businesses. Although it is a risky investment, it can also be gratifying.
How long will it take to grow from $100 to $1000?
Several attributes, including market conditions, investment choices, and risk tolerance, can determine the time it takes to grow your investment. Over time, however, you can expect positive returns if you invest in a diversified portfolio of low-cost assets.
Final Thoughts
Turning $100 into $1,000 may seem like a challenge, but as you’ve seen, plenty of creative and strategic ways exist to make it happen. Whether you invest in stocks, real estate, education, or personal growth, the key is to take action and stay consistent. When managed wisely, small investments can lead to significant financial gains over time.
The most important step is simply getting started—because even the smallest amount can set you on the path to economic success. So, pick a strategy that resonates with you and start flipping your $100 today!
