Why You Should Start Investing

Investing can sound scary when you first hear about it.

Stocks? Portfolios? Mutual funds? Index 

It’s easy to write it off and think, “That’s for people who already have money.”
But here’s the truth: you don’t need to be rich to start investing — you need to start investing to get rich.

So if you’re sitting there with a savings account and a little extra cash each month, wondering if it’s time… it probably is. And here’s why:

1. Your savings account isn’t doing much. 

It's definitely important to keep a rainy day fund. But if all your money is sitting in a regular savings account, earning like 0.01% interest... it’s basically just sitting there being lazy.

Meanwhile, inflation is eating away at its value. That $1,000 in your bank account today? It won’t buy the same amount of groceries or gas in five years.

Investing helps your money grow faster than inflation can shrink it. That’s the goal.

2. Compound interest is the closest thing to free money.

When you invest, your money earns returns. Then those returns earn returns. And it keeps going. Over time, it snowballs into something way bigger than you’d expect.

Example:

  • You invest $100 a month starting at age 25.
  • Let’s say you average a 7% return (which is pretty normal for index funds).
  • By the time you're 55, you’ll have over $115,000 — and you only put in $36k of your own money.
  • Start later, like at 35? You’d only have about $56,000.

Moral of the story: time > amount. Start now, even if it's small.

3. You don’t need to be an expert. 

There’s a huge misconception that investing means you have to watch CNBC all day and analyze stock charts.

Thanks to apps like Fidelity, Vanguard, Robinhood, or Betterment, you can start investing with:

  • $5 to $100
  • Zero stock-picking experience
  • A few taps on your phone

Even just buying into something simple like a low-cost index fund (basically a bundle of the top companies) can get you steady, long-term growth without the drama.

4. Your future self is gonna thank you. 

I get it — retirement sounds like a “future me” problem. But you know what future-you doesn’t want? To be 65 and realizing your social security check barely covers rent.

Starting now — even just a little — gives you options later:

  • Retire earlier.
  • Travel.
  • Start your own business.
  • Help out your family.
  • Just breathe easier knowing you don’t have to work forever.

5. Waiting only makes it harder.

Here’s the thing: there will always be a reason to wait.

Maybe you're paying off debt. Maybe the stock market seems scary. Maybe you just don’t feel “ready.”

But time is literally the most powerful investing tool there is. Every year you wait is another year compound growth can’t do its thing.

You can invest while paying off debt. You can invest during market dips. You can invest $20 a month to start.

The important thing is to just start.

Summary

  • Your money isn’t growing in a savings account.
  • Investing builds wealth through compound interest.
  • You don’t need to be rich or an expert to get started.
  • Even small amounts add up if you give it time.
  • Future-you will be so glad you started now.

Final Thought

You don’t need a finance degree or thousands of dollars. You just need to start. Pick a basic investing app, throw in what you can afford (even $20), and watch it grow over time. Sign up now with Wealthsimple using this link and get $25. 


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