To work online, create Google Doc file and the changes you will make to the file will automatically be saved. Google Docs allows you to store, edit, share, create, print and publish documents. It is a free service which provides its users with 10 GB of storage capacity. People can collaborate with other users and that too in real time. You can create word documents, excel sheets, power point presentations, etc in Google Docs.
Follow this step by step Google Docs tutorial to learn how to create new documents in Google docs.