Ways To Invest Small Amount
Investment is a good way of saving money. But there is a big misconception that you need to be a millionaire to invest. The truth is there are many ways for you to invest even if you have a couple of hundred dollars. Here are some of the best ways to invest a small amount of money.
- Bank Investments
Although the bank does not give a huge return rate, if you are planning to start with a small amount then the bank is a good option. You can invest in banks through money market accounts or money deposits. The risk of having any loss is little to none.
- Mutual Funds
Through mutual funds, you can invest in different portfolios of bonds or stocks. The initial minimum investments range from several hundred to a thousand dollars. For a first-time investor, it is a bit high. But there are many companies out there that allow you to pay in parts.
- Employers Sponsored Retirement Plan
This is a good investment option that requires almost little to no money at all. You can get the retirement plan, and a small amount will be deducted from your payroll. You can choose the percentage of deduction. It can range from 1% to up to a maximum of 20%. There will be no tax deduction until you retire.
- Spare Change
Spare change or also known as Acorns is a popular investment technique. As the name suggests, it is the saving of your spare change. When you go to the market to get grocery and your total bill $29.4, invest the spare change. It is an excellent way to invest with very little money.
It is an online financial advisor. It has a very large community. It gives you all the assistance to use and invest money in an efficient way. You can open a free account there. There is no minimum balance. There is no requirement to deposit a fixed amount every month. You can add as much money you have. They further invest your money in the form of exchange-traded funds.
- Learn A Skill
Lastly, learn a skill. Take some time out of your busy life and learn a profitable skill. It gives many benefits in the long run. Skills like graphic designing, content writing, and data mining are in high demand. Above are some of the ways you can invest with little to no money. Look into getting a 2020 medicare advantage plan by visiting http://www.medicareadvantageplans2020.org