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Jake joins us up next in Raleigh, North Carolina. Jake, what's going on?

Hey, how are you guys? Thank you so much for taking my call. Absolutely. How can we help?

So I had a question. My employer currently right now offers me the ability to, I guess, make my own selection of percentage

between a traditional and a Roth.

And I guess I didn't know if I should split up a percentage between the both of them,

maybe do all 15% and one or the other.

But I guess just curious on your guys' opinion on it.

I'll tell you what I do.

And if that's any consolation, I go full Roth. Me too. I love the idea of looking up at 60, and I've got $2 million in a Roth account, which means Uncle Sam already took his share, and I have $2 million tax-free dollars to use. And so the question is, do you want to pay taxes an hour later, and we can get into the argument of will taxes be more later versus less and what will your tax bracket be? I just don't want to

worry about that i know that's right yeah okay and so what do you what do you think i should what do you think i should do now i guess with what i have been i have been using a traditional okay uh should i roll that all over no just just pause leave the traditional where at, because if you roll it, you're going to have a tax burden to pay, and you only want to do that once you're in baby step seven, and you have no debt, including a mortgage, and you can stomach that. So I would just pause what you're doing in traditional and start in Roth. Okay. Are you out of debt? I'll do that. Yes, I am fully out of that. Awesome. And you got the emergency fund.

You're investing 15%. Roth. Are you out of debt? I'll do that. Yes, I am fully out of debt. Awesome. And you got the

emergency fund. You're investing 15%. Oh, yeah. Currently, I'm investing 10. I can't afford to do the 15,

so I'm going to make that election now. What's keeping you from the other five? Are you saving up

for a home? I guess it's just a personal thing, just not liking more money coming out of my paycheck.

I do save a lot of money.

I have about $80,000 in a high-yield account currently, and I just kind of like just not

seeing the money go down, I guess.

But in the stock market, you mean?

Like if it's in an investment account? Yeah, I don't really have anything in investments besides my 401K. I just, I only make that that's the only, I guess, investment that I do have. And then I just kind of keep everything in cash until I eventually do buy home. So I'm kind of looking at that, maybe in the next year or two. Is your 10% enough to max out your 401K? Currently, no. No, it is not. I make around 95,000. Look, if I were you, I would jump that thing up to 15%. I would get used to working that muscle and... Get used to living off 85 and you're going to be real happy later on in life. You sure are. Because if Because if you go do a calculation on our investment calculator, what that extra 5% will do, because you sound like a young guy. How old are you? I'm 25. From 25 to 65, 40 years of that extra 5% and by the way, your income's going to go up. You're already making great money at 25. Imagine you're making 150 and you're maxing

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