Q. I’ll be eligible to retire in September 2021 when i reach age 56 years and 2 months, and have 34 years of service. I’ve been investing money in my TSP since I started working for the federal government, and I switched all of my TSP funds into the L2020 as suggested when the life cycle funds began. I never really thought about it until this year, so I probably won’t retire when i’m eligible since I’ll only be 56. At least that’s what I’m thinking now because I’ll have two kids in college. I know that in 2020, they’re going to introduce five-year funds and will most likely move funds into a 2025 fund at that time. But I’m wondering between now and then if it will make sense for me to move some or all of my investment into the 2030 funds. I would most likely retire before 2030 though. I just haven’t decided yet.
A. I can’t vouch for your idea, but I can offer an alternative. I recommend that you consider investing your account balance in the L Fund that most closely corresponds to your life expectancy.