If you don't already have at lease 3 to 6 months' worth of living expenses set aside, maybe even more if you have a family and a mortgage, then the best way for you to start with that $100 per month is by putting it in a saving account as an EMERGENCY FUND. With an emergency fund, you can't expect much of a return on your savings. But having that safety net isn't about getting returns; it's about keeping you from going into debt or having to tap your long–term investment accounts if you have a financial emergency.
By having several month's worth of income available in cash can mean keeping life's unexpected events from damaging your financial plans. I know interest rates on savings accounts aren't very high, but this is about protecting your downside, not capturing high returns.
Once you have financial emergencies covered, you're in a much better position to start investing. If you have been going on only survival mode doing you're very best to make ends meet, it might be time for you to sit down and write out a financial plan that you can follow that will get you back on your feet.
According to a newly released study by Northwestern Mutual around 58% of Americans believe their financial planning efforts need improvement, but about 34% of us have done nothing to plan for our financial future. Which group are you in right now?
Let the contents of this book if nothing more then provide you...with some inspiration to get started. Too many people think you need wealth first and financial planning second, I feel that's completely the opposite of what it should be. Proper financial planning will lead people to wealth creation.