TL;DR
Open a no-fee brokerage, buy one broad-market ETF, automate $25–$100/month, and leave it alone.
Step-by-step
Step 1: Pick a platform
Choose a $0-commission brokerage with fractional shares.
US Options
- • Fidelity, Schwab, Vanguard
- • Robinhood, Webull (mobile-first)
- • M1 Finance (auto-investing)
Canada Options
- • Questrade, Interactive Brokers
- • Wealthsimple Trade
- • TD Direct, RBC Direct
Step 2: Open the right account
Tax-advantaged first, then taxable.
| Account Type | US | Canada | Best For |
|---|---|---|---|
| Tax-Free Growth | Roth IRA | TFSA | Young investors |
| Tax Deferred | Traditional IRA | RRSP | Higher earners |
| Taxable | Brokerage | Non-registered | After maxing above |
Step 3: Fund it
- • Deposit your $100 (bank transfer, check, wire)
- • Set up automatic transfers: $25-100 every payday
- • Most platforms allow weekly/bi-weekly/monthly schedules
- • Start small and increase as you get comfortable
Step 4: Buy one ETF
A total-market or S&P 500 ETF is enough to start.
US Beginner ETFs
- • VTI - Total US Stock Market
- • VOO - S&P 500 Index
- • VT - Total World Stock
Canada Beginner ETFs
- • VFV - S&P 500 (CAD)
- • TDB902 - Total Market
- • VEQT - Global Equity
Step 5: Automate & ignore
- • Enable dividend reinvestment (DRIP)
- • Set up recurring purchases of the same ETF
- • Add $25-100 each payday automatically
- • Don't check daily prices - check quarterly at most
- • Focus on increasing your income and savings rate
Example allocation (starter)
Broad-Market Equity ETF
Simple, diversified, low-cost
Common mistakes to avoid
- ❌ Chasing hot stocks/crypto on day 1
Start with broad market exposure, speculate later with "play money" - ❌ Over-diversifying with 10+ funds
One broad ETF gives you thousands of stocks already - ❌ Timing the market instead of automating
Time in market beats timing the market - ❌ Not having an emergency fund first
Keep 3-6 months expenses in savings before investing - ❌ Investing while carrying high-interest debt
Pay off credit cards (20%+ interest) before investing (7-10% expected)
The power of starting small
| Monthly Investment | After 10 Years | After 20 Years | After 30 Years |
|---|---|---|---|
| $50/month | $8,200 | $24,700 | $58,000 |
| $100/month | $16,400 | $49,400 | $116,000 |
| $200/month | $32,800 | $98,800 | $232,000 |
*Assumes 7% annual return. Past performance doesn't guarantee future results.
Frequently Asked Questions
Is $100 enough to start investing?
Yes—fractional shares make it workable. Many brokerages have no minimums and you can buy partial shares of expensive ETFs.
How often should I buy more?
Automate monthly or on payday. Weekly if you want to smooth out volatility more, but monthly is usually sufficient and reduces fees.
Should I wait for a market crash to invest?
No. Time in the market beats timing the market. Start now with small amounts and keep investing regularly regardless of market conditions.
What if I need the money soon?
Only invest money you won't need for 5+ years. Keep emergency funds and short-term goals in savings accounts.
Next Steps
Ready to level up? Learn about building a simple three-fund portfolio and understanding expense ratios.