Roths are very flexible depending on which company you choose to put your money into. You may be able to start with as little as $100 with some companies! Here are some of my favorite low-cost investment options. I've broken it down by the dollar amount you need to get started.

 


$100 and Up 


Schwab Total Stock Market Index Fund
schwab.com
Invests in 4,000 companies
Expense: 0.09%
Minimum investment: $100

Schwab International Index Fund
schwab.com
Invests in 350 publicly traded companies from selected countries outside the U.S.
Expense: 0.19%
Minimum investment: $100
 

Schwab Small-Cap Index Fund
schwab.com
Invests in the second-largest 1,000 publicly traded U.S. companies
Expense: 0.19%
Minimum investment: $100

 


$1,000 and Up


Vanguard Star
vanguard.com
Invests 35% in bonds and 65% in stocks using a basket of Vanguard funds
Expense: 0.37%
Minimum investment: $1,000 minimum to open an IRA; $1,000 minimum to open an investment account

Vanguard Target Retirement Funds
vanguard.com
Invests in a combination of stocks, bonds and cash equivalents
Years available: 2015, 2020, 2025, 2030, 2035, 2040, 2045, 2050, 2055, plus the Target Retirement Income Fund for those already in retirement
Expense: 0.21% or 0.22%
Minimum investment: $1,000 minimum to open an IRA or general account

TIAA Equity Index
tiaacref.org
Invests in approximately 3,000 companies
Expense: 0.09%
Mininum investment: $2,000 to open IRA; $ 2,500 for general account (or $50 if you start an Automatic Inv. Plan). If your balance is below $1,500, you will be charged $25, unless you invest at least $100/month in an automatic investment plan.

T. Rowe Price Automatic Asset Builder
troweprice.com
Expense: This is simply an automatic investement program, so expenses vary depending upon which fund(s) you actually select.
Minimum investment: $1,000 minimum to open an IRA or general account

T. Rowe Price Target Retirement Funds
troweprice.com
Invests in a combination of stocks, bonds and cash equivalents
Years available: 2010, 2015, 2020, 2025, 2030, 2035, 2040, 2045, 2050, 2055
Expense: between 0.67% and 0.84%
Minimum investment: $1,000 minimum to open an IRA; $2,500 minimum to open an investment account (Editor's note: This option also available via the Automatic Asset Builder program as noted above)

 


$2,500 and Up


Fidelity Four-in-One Index Fund
fidelity.com
Invests 48% in 500 largest stocks, 12% in rest of U.S. stock market, 25% in international stock index, 15% in bond index
Expense: 0.23%
Minimum investment: $2,500 minimum to open an IRA; $10,000 minimum to open an investment account
 

Fidelity Freedom Target Retirement Funds
fidelity.com
Invests in a combination of stocks, bonds and cash equivalents
Years available: 2015, 2020, 2025, 2030, 2035, 2040, 2045, 2050, 2055, plus the Fidelity Freedom Income Fund for those already in retirement
Expense: between 0.71% and 0.91%
Minimum investment: $2,500 minimum to open an IRA; $2,500 minimum to open an investment account
 

Vanguard Total Stock Market Index
vanguard.com
Invests in approximately 3,400 companies
Expense: 0.18% (other fees may apply)
Minimum investment: $3,000 minimum to open an IRA; $3,000 minimum to open an investment account
 

 

 

 

 

 

Image of Clark Howard About the author: Clark Howard

Clark Howard is a consumer expert whose goal is to help you keep more of the money you make. His national radio show and website show you ways to put more money in your pocket, with advice you can trust. View More Articles

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