Due to the differences in age and often income, millennials need to plan for retirement in a different way than older generations. Millennials are often early in their careers and may sometimes choose to focus on career growth and neglect retirement. Here are the top 5 millennial retirement strategies to build your path to financial freedom.

Top 5 Millennial Retirement Strategies

Retirement assets are paramount to financial freedom. Having an effective retirement strategy in place is a core piece to get there. Without getting involved in your retirement strategies early and often, your chances at achieving financial freedom diminish by the day. So get started now! What are you waiting for? Millennials are often criticized for their lack of savings. Data suggests that millennials and retirement savings are like oil and water. Check out this piece from Shannon Schuyler at PwC on millennials inadequate knowledge on financial literacy. So how can millennials save for retirement and bust the critics? Let’s change the public’s opinion. Follow these top 5 millennial retirement strategies and you will be in good shape.

What are the top 5 millennial retirement strategies?

Here are the top 5 millennial retirement strategies for you to follow. This is how millennials should save money for retirement.

First strategy to consider for millennial retirement: Understand how much to save and how to pay down debt

Millennials need to set an emergency savings account aside. In this account, funds should be put in place just in case they lose their jobs for a period of time. An emergency savings account makes sure that millennials do not have to take money out of their retirement savings account.

In addition to setting up an emergency savings account, millennials also need to lower their debt. The ideal way to lower debt is to start off by paying debts with the highest interest rates. However, some recommend paying off debts of lower value since it gives a feeling of satisfaction, psychologically, when some debts are completely eliminated.