The secret, he tells Fortune, relies on just following three simple steps: establishing an emergency fund, maxing out retirement accounts, and keeping investments simple.
“Make sure you have enough cash for a rainy day, so you’re not pulling from your 401(k) prematurely,” Williams tells Fortune.
Saving money using tax-advantaged accounts, like a 401(k) or Roth IRA, remains one of the most efficient ways to grow your wealth. Williams says Gen Z should try to put as much money within their budgets into retirement accounts.
“If you just do that from 25 to 50 years old, you’re going to retire a millionaire,” Williams says. “…Just by maxing out your 401(k), it grows tax deferred, and it goes in tax-free. There’s no better return than to get your returns without taxes.”
“You don’t have to get cute, you don’t need international, you don’t need bonds. You’re not 90 years old. Just do S&P,” Williams tells Fortune.
