TSP contributions


Q: Currently I’m a FERS employee at the U.S. Postal Service and I may be going on active duty for an extended period.  I currently contribute the maximum to TSP through the civilian side of TSP. On active duty, I could continue my contributions up to the IRS maximum of $16,500, but I don’t know if I should.

The Post Office matches 5 percent (providing I put in that much). I would lose that contribution for the year I’m away. I know I have 30 days when I come back from active duty to catch up to the full $16,500 minus what I will have put in from my military TSP from that year.


A: Continue your contributions during your military service and then resume on the civilian side when your return, staying on pace to maximize your contributions for the year.


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Mike Miles is a Certified Financial Planner licensee and principal adviser for Variplan LLC, an independent fiduciary in Vienna, Virginia. Email your financial questions to fedexperts@federaltimes.com and view his blog at money.federaltimes.com.

1 Comment

  1. The employee mentioned he would lose the matching contributions while he is away. That is not correct. If he contributes to his military TSP or makes up civilian TSP contribution following his return, he is eligible for the 5% agency contributions.

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