Q. An apparent clerical error caused an unauthorized distribution of TSP funds paid directly into my bank account (direct deposit via DFAS payroll). The only option I’ve been given is catch-up contributions to return the funds. I was told I would need to make up the income tax withholding to get all the funds back in. Are there any other options I could pursue?
A. This is a legal question. I recommend you start by engaging a good CPA or tax attorney to work the problem.