Q. Can I transfer funds from Simplified Employee Pension Individual Retirement Arrangement (SEP-IRA) to the Thrift Savings Plan, or does the distribution have to be an “eligible rollover distribution”? I would not move the Salary Reduction Simplified Employee Pension (SAR-SEP) funds if it would be considered an “eligible rollover distribution” due to the withholding for income tax.
A. As long as the accounts do not contain any after-tax money, they can be transferred without withholding to the TSP.