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Using Roth TSP to buy an annuity

By Mike Miles on July 31, 2019 annuity, retirement, Roth IRA, Roth TSP, Tax

Q. When I retire, if I use the funds from my Roth TSP to buy an annuity, are the monthly proceeds tax free?

A. If Roth funds are used to buy a life annuity, and the annuity is designated a Roth IRA annuity, the payments will be tax free.

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Mike Miles

Mike Miles is a Certified Financial Planner licensee and principal adviser for Variplan LLC, an independent fiduciary in Vienna, Virginia. Email your financial questions to fedexperts@federaltimes.com and view his blog at money.federaltimes.com.

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About the Author

Mike Miles is a Certified Financial Planner licensee and principal adviser for Variplan LLC, an independent fiduciary in Vienna, Virginia. Email your financial questions to fedexperts@federaltimes.com and view his blog at money.federaltimes.com.
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