Q: I am aware of the passage of H.R. 2146 (TSP bill) which allow those under the law enforcement retirement system to access their TSP at age 50 without incurring the IRS’ 10 percent penalty. I retired from the military and was hired under an age waiver as a law enforcement office at the age of 43 (which would mean that if I want to retire under the federal law enforcement retirement system, I would need to complete 20 years of federal service — I have 6 more year before I can retire as a LEO).
My question is: How often would I be able to access my TSP while still employed as a federal GS-1811 law enforcement officer? Do I have unlimited access to withdraw from my TSP as a LEO?
A: No. You are limited to a single in-service lump-sum withdrawal and the TSP bill you mention will not apply to you while you are still in service. It only offers an exemption to the early withdrawal penalty for qualified employees who separate from service during or after the calendar year in which they reach age 50.