Q. I retired from civil service in January 2012 with 25 years contributing to CSRS and FERS. I will be 59½ in April. I plan to make a partial withdrawal and have the balance as monthly payments when I turn 60. Will I incur an additional 10 percent early withdrawal penalty before age 59½ since I retired or do I need to wait until 59½? Do I need to wait until 60 to begin receiving monthly payments, or can that start any time?
A. Since you retired after the calendar year in which you reached age 55, your Thrift Savings Plan withdrawals will not be subject to the early withdrawal penalty. You may withdraw your money at any time.
