Income, contributions and Roth TSP


Q. I am a single FERS employee. In 2012 and prior years, I have been able to contribute the maximum amount to my Thrift Savings Plan account to bring my adjustable gross income below the income phase-out limit to be able to contribute the maximum to a Roth IRA.  However, in 2013, I believe my AGI will exceed the limit and I would like to take advantage of the Roth TSP option. If I contribute the maximum $17,500 to the Roth TSP, can I still invest in a traditional IRA? If so, can I take the IRA deduction even though I make more than the $59,000-to-$69,000 Internal Revenue Service limit?

A. You would still be able to make a nondeductible IRA contribution, but your AGI and TSP eligibility may prohibit the deductibility of a traditional IRA contribution. Check with your tax preparer before you proceed.


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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 and view his blog at

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