You don’t have to be rich to be able to invest, oddly enough. Anyone, and I mean anyone with a decent investment plan will get a good ROI.
Even if you only have less than $500 to your name, not to worry. If ever you will invest on a budget, here are 5 ways for you to do that.
Simple Savings Plan
- Knowing that investing and saving go hand in hand, have a simple savings plan instead. You need to remember that before you go ahead and invest right away, you need to have some sort of savings somewhere in your home or bank account. And hey, it doesn’t even have to be a really big one.
- A little tip on starting your savings: maybe start by doing it weekly by around $10 if you can. In a year, that could easily be transformed into over $500 if you keep it up without any skips. Easy and simple, isn’t it? It’s small but it can be your best practice at discipline in the long run.
- Put it in safe places that you think no one would even dare to look. Like a shoebox or an envelope. Maybe even a cookie jar or a safe if you have one at home. You COULD go with online savings but let’s play it safe here, okay? Especially for those who aren’t ready to do it online yet. (Always remember that the key here is to save as little as you can but consistently) over time, yoursaving habit would maybe get better and it would prompt you to put in even more amounts to it. And once you’ve reached your goal, you can move into an actual investment plan.
Maybe Invest in Dividend Reinvestment Plans (DRIP)
- A simple way for investors to buy stocks from these companies without having to go through brokers. It’s a good way of investing, since it actually allows you to trade for as long as you’ll be able to afford one share at least.
- Dividends that a company pays you will be reinvested in your holding.
- Go straight for them. For someone who wants to invest with little money, this next step is just another great way of acquiring a very affordable plan. They can be bought for around $5 to $10, so imagine investing your $500. You could get a large number of stocks from very impressive companies with this.
Buy A House Ticket
- Enter some lotteries with some little savings you have. You could win a car or a house with it, making it a rather smart investment.
- At least with this, you wouldn’t risk tearing into your own investment.
Start Your Small Business
- You will be investing in your very own ideas, another great way of investing in general. Start small, like walking dogs or maybe some lawn maintenance. Go for the ones that aren’t capital intensive to save you the trouble and then work your way up.