You might be wondering, how can I make money with very little capital? Is $100 even a feasible amount to invest? Will I make any returns? How long will it take to see outcomes?

Well, whereas many people think to start a business you should have at least millions of dollars in startup money, it’s possible to make it even with your hundreds of dollars. You only need to be determined and focused. 


Never let your lack of funds hinder you from pursuing your dream; here is how to invest even when you are on a budget.

Ways to Invest When on a Budget

Make Use of Your Workplace Retirement Plan

Retirement plans such as the 401k plan are a great starting point that you should consider when deciding how to invest your money on a budget. It’s pretty straightforward; all you have to do is choose a specific, consistent amount to be deducted from your account towards the plan. From the options offered, you can also decide how you want to invest your money.


In most cases, you will find mutual funds, which are collections of bonds and stocks under this plan. The beauty with this arrangement is that you can spread to different securities instead of just one stock. Note, however, that with mutual funds, you will be not charged any fees. Choose funds that come with lower costs for obvious reasons. 

As part of your retirement benefits, you will get help in case you are unsure of which investment to go for. Most employers provide financial advice for employees from online assessments or one-on-one advice with financial experts. 

Individual Retirement Account

If you are self-employed, you can invest in personal retirement accounts such as Roth or IRA. The accounts come with tax advantages that you will never find elsewhere with other traditional investment accounts. However, note that you can’t deduct Roth contributions, although you can withdraw this money tax-free during your retirement.


The other advantage of these accounts is that you do not need much money to get started. This is because most of these investment firms, such as Merrill Edge and TD Ameritrade, do not require you to have a minimum investment to get started. Furthermore, they offer guidance for account holders.

Using Investment Apps

If you do not want to invest in your retirement account, there are several apps available for beginners that you can take advantage of. And, the good news is that you do not need lots of money to get started. A case in point is the Acorn app, which allows you to invest whatever little penny you have to spare.

For just $1 per month, your purchases will be rounded up, and in return, will be invested in portfolios. There is the Betterment app plus website, which helps beginners set their foot in investing. The good news is that you do not need any minimum to get started. However, they charge an annual fee of only 0.25% of your account balance.

Although Betterment is also known as an automated web-based portfolio manager, it gives its users access to a team of financial experts who will help you in your investment journey.


Having no or little money should never limit you from investing and enjoying a healthy financial life. Do your research and use available options that are suitable for beginners like you. Like they say, where there is a will, there is a way.