Q. I retired from the federal government in 2013 (before age 70½) and left my TSP account intact. I will be 70½ this year, but continue to work full time as a college professor. Will I still be required to make a mandatory withdrawal from my TSP account even though I continue to work full time, or is that option only available to those who continue to work for the federal government after age 70½?
Author Mike Miles
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.
Q. If I roll over funds outside of my employer-sponsored plan into my employer-sponsored plan, will these rolled-over monies come under the same required minimum distribution rules as the employer-sponsored plan?
Q. Will rolling over from a TSP account at the Department of Veterans Affairs to a Schwab 401(k) account impact my FERS?
Q. Do you recommend keeping one’s TSP balance in the TSP after retirement? Would it be more financially beneficial to work with a financial planner to withdraw and invest that money?
Q. I am a SCRS employee who has reached 70½ years of age. Must I take a required minimum distribution from TSP if I am still working and contributing?
Q. I was just reading about the 59½ rule. I have a TSP account, and my date of withdrawal is Aug. 21, 2017. I don’t know what form to use. Do you have advice on how and which form to use? Also, how long will it take to access the funds? Do I need to start requesting the funds now?
Q. I’m a Department of the Army civilian employee in FERS. I understand that I can defer taking my TSP required minimum distribution, or RMD, at 70½ if I’m still working, but what about a 401(k) I still have at a former, non-federal employer? Do I have to take my RMD from that at 70½?
Q. The L funds such as L2020 are structured toward retirement dates such as 2020. After that date, your funds are moved to the L Income Fund. I’ve seen you mention several times that if you can’t decide how to allocate your funds after retirement that we should consider the fund that matches our life expectancy. Can you explain the reasoning behind this a little more? If I am currently 57, retired and my life expectancy is 85 years of age, are you saying I should consider the L2040 or L2050 funds?
Q. Even though the federal reserve has been steadily raising interest rates lately, the TSP annuity rates have not been matching that pattern (they stay level at best). Shouldn’t the TSP annuity rates be rising, too?
Q. I have $600,000 in my TSP allocated as 41 percent in the C Fund, 6 percent in the S Fund, 22 percent in the I Fund, 23 percent in the G Fund and 7 percent in the F Fund. Is this an appropriate allocation for a 54-year-old retiring in two years? I need approximately $2,000-$3,000 a month for 25-30 years. If not, what allocation do you suggest?