I am in my early 20s and currently contribute ~18% of my income to my retirement accounts, 7% to company sponsored Roth 401(k) (Popular Investment Company) and 11% into my Roth IRA (A "Big 3" Company). My company also contributes an additional 4% to the Roth 401(k) automatically, no matter how much I contribute. Since they are both Roth accounts, I get the advantage of tax free returns, so that isn't a factor in this.
Here's the average rate of return for the investments (Split among Small & Large Cap Growth Mutual Funds). I've currently selected for each account:
- Roth IRA Investments 5 year Annual Return: 19.05%
- Roth 401k 5 Investments year Annual Return: 16.20%
I am aware that these rates of return can vary over time, so I don't want to contribute only on rates of return. They are the most aggressive funds with low expense ratios (<.08%) that I can get within those accounts.
Is there any general investing advice on how I should split these contributions between the two accounts? Are there any general strategies, such as splitting contributions 50/50, 70/30, or 90/10?