If you’ve been putting off investing because you think you need a huge pile of savings first, here’s some good news: that’s simply not true anymore. In 2026, you can open a real brokerage account and start investing with literally $1.
Let’s break down exactly why that’s possible, what the real minimums look like across different account types, and how to get started without waiting until you “have enough.”
The Short Answer: You Need As Little As $1
Thanks to a wave of changes over the past several years, most major brokerages now let you open an account with $0 and start investing with as little as $1 to $5, using something called fractional shares.
Here’s what changed: brokerages used to require a minimum deposit, often hundreds or thousands of dollars, just to open an account. A commission price war among major brokers eliminated most trading fees and account minimums for self-directed investing altogether. Combine that with fractional shares, which let you buy a small slice of an expensive stock instead of a full share, and the old “you need a lot of money to start” advice simply doesn’t hold up anymore.
Why People Still Think You Need a Lot of Money
This misconception sticks around for a few understandable reasons:
- Old advice hasn’t caught up. Many articles and even well-meaning friends are repeating outdated rules from before fractional shares existed.
- Some investment types genuinely do have higher minimums, like certain mutual funds or robo-advisor managed accounts, which can create confusion about the industry as a whole.
- Share prices look intimidating. Seeing a single share of a well-known company cost hundreds of dollars makes people assume they need that full amount, when fractional investing means that’s no longer true.
Minimums by Account and Investment Type
Not all investing minimums are the same. Here’s a realistic breakdown:
Self-Directed Brokerage Accounts
Most major brokers now require $0 to open an account, with fractional share investing starting around $1 to $5. This applies to buying individual stocks and most ETFs directly.
Robo-Advisors (Automated Investing)
These vary more, since you’re paying for automated portfolio management:
- Some robo-advisors have no minimum balance, requiring just a small amount (often $10) to actually start investing
- Others require a modest minimum, commonly in the $50–$500 range
- A smaller number of premium robo-advisor options require higher minimums, sometimes $5,000 or more, usually reserved for more advanced portfolio strategies
Retirement Accounts (IRAs)
Most brokers let you open a Roth IRA or Traditional IRA with $0, using the same fractional-share access as a regular brokerage account. The main limit to know about is the annual contribution cap, not a minimum to get started.
Employer-Sponsored Plans (401(k)s)
These typically have no minimum at all, since contributions come directly out of your paycheck. If your employer offers a matching contribution, that match is essentially free money added on top of whatever you contribute.
Mutual Funds
This is where older, higher minimums still show up, sometimes $1,000 to $3,000 for a single mutual fund. The workaround: the ETF version of the same index often has no minimum beyond the cost of one fractional share, making it a more accessible alternative for beginners.
How Fractional Shares Changed Everything
Fractional shares are the real reason the old “you need a lot of money” rule no longer applies. Instead of needing enough money to buy one full share of a stock, no matter how expensive, you can buy a small percentage of that share instead.
For example, instead of needing several hundred dollars to own one full share of an expensive company, you might be able to invest just $5 or $10 and own a small fraction of it. This single feature is what opened investing up to people starting with very small, consistent amounts.
Popular Platforms for Getting Started With Little Money
A few platforms are frequently mentioned specifically for their low or non-existent minimums:
- Fidelity: $0 account minimum, with fractional share investing and zero-expense-ratio index funds available starting at very small amounts.
- Charles Schwab: $0 to open a brokerage account or IRA, plus a “Stock Slices” feature that allows fractional investing in S&P 500 companies starting at $5.
- SoFi Invest: $0 minimum for both active and automated investing, with fractional shares available starting around $5.
- Betterment: No required account minimum to open, with automated investing starting around $10.
- M1 Finance: A modest $100 minimum to start, offering fractional shares to help build a diversified portfolio even with a smaller initial deposit.
Minimums and features can change, so it’s worth double-checking current details directly on each provider’s site before opening an account.
Okay, But How Much Should You Actually Invest?
Being able to start with $1 doesn’t mean $1 is a meaningful long-term strategy. The real question isn’t “what’s the minimum,” but “what amount can I invest consistently?”
A more useful way to think about it:
- Start with whatever you can comfortably set aside, even if that’s $20 or $50 a month.
- Prioritize consistency over amount. Investing a small, steady amount regularly tends to matter more long-term than trying to save up a large lump sum first.
- Increase gradually. As your income grows or expenses shift, you can raise your contribution amount over time.
- Don’t invest money you’ll need soon. Even small amounts should be money you’re comfortable leaving invested for the long term.
Common Mistakes Beginners Make When Starting Small
- Waiting to “save up enough” before starting, when starting immediately with a small amount is generally more effective than waiting
- Ignoring fees on very small accounts, since flat monthly fees can eat into small balances more than percentage-based fees would
- Chasing individual stocks with small amounts instead of considering a diversified ETF, which spreads risk across many companies at once
- Stopping after the first deposit instead of setting up recurring contributions to build the habit
Frequently Asked Questions About Minimum Investing Amounts
Can I really start investing with just $1? Yes. Most major brokerages now offer fractional shares and have no minimum deposit requirement, making it possible to start investing with as little as $1.
Is investing with a small amount even worth it? Yes, especially because it builds the habit and lets your money start growing sooner. Consistency over time tends to matter more than the size of your very first investment.
Do robo-advisors always require more money than self-directed investing? Not always, but some do have higher minimums than a basic brokerage account, especially premium tiers with human advisor access. It’s worth comparing specific minimums before choosing one.
What’s the best account to open first with a small amount of money? For many beginners, a Roth IRA or a standard taxable brokerage account with $0 minimum and fractional shares offers the most flexibility to start small and grow from there.
Final Thoughts
The idea that you need a large sum of money to start investing is outdated. In 2026, the real barrier isn’t the minimum deposit; it’s simply getting started. Whether you begin with $5, $50, or $500, the most important step is opening an account and building the habit of investing consistently over time.
This article is for educational purposes only and does not constitute financial advice. Account minimums and features are subject to change; confirm current details directly with each provider.