Q. If I retire after 10 years of service, which would make my age 56.4, would I be able to start withdrawing from my Thrift Savings Plan without a penalty? If so, am I allowed to withdraw a larger amount per month and then lower it when I start getting my Social Security benefits at age 62? How often am I allowed to change the amount I withdraw per month?
A. If you retire during or after the year in which you reach age 55, your TSP withdrawals will be exempt from the early withdrawal penalty. You may change the amount of your monthly withdrawals once each year, effective in January.