Retirement planning: How millennials can become millionaires

Millennials have the opportunity to become millionaires in their 50s, financial expert Chris Hogan told FOXBusiness’ Maria Bartiromo on Tuesday during an interview on “Mornings with Maria.”

“Plugging in and utilizing a 401K or 403B now while they are in their early 20’s  will truly set them up to be on millionaire status later in life,” he said.

However, for millennials looking to save, it’s important to free up income, set up an emergency fund and take advantage of employee matches in order to “start enjoying their dreams”  Hogan pointed out.

“We have to help them understand the importance of taking control yourself, putting that money aside and not just investing up to the match but investing 15% of your income and let it sit there,” Hogan said.

Hogan, who travels the country discussing retirement and savings with Americans, also pointed out how workers near retirement are not saving enough.

This comes as a report from the Economic Policy Institute showed that for workers near retirement age the median amount of savings is just $17,000.

“They believe that Social Security is going to provide them enough to be able to live on with dignity,” he said.

Understanding your debt and establishing a budget are the best way to take control, Hogan advised.