Q. Is it possible to roll over just my Roth TSP account to a IRA and leave the non-Roth account in TSP? The big drawback that I see in the Roth TSP is not being able to direct it separately from the non-Roth account. What is your take on this issue, and is there any way to work around it?
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. I took a voluntary early out from the U.S. Postal Service in October 2012. I had 24 years with USPS and six years with the Navy. In May 2015, I was diagnosed with a low-grade brain tumor, which makes me unemployable because of seizures. Will this condition allow me to get early, monthly withdrawals from my TSP? I’m 57 years old. If there are any other government benefits for which I may qualify, please share them.
Q. I am 60 years old and was wondering whether I can open a TSP Roth IRA in addition to my TSP Traditional IRA that I started 22 years ago, and withdraw from it in approximately two years without any penalty when I plan to retire and start withdrawing my TSP. What are your thoughts?
Q. I plan on retiring Dec. 31, 2017. I will be 56 years old — my minimum retirement age — with 33½ years of service. I’m employed in a covered law enforcement position (DHS-CBP). My current TSP balance is approximately $465,000, and I only contribute to the basic TSP, not the TSP Roth. I would like to take a partial ($100,000) at retirement to pay off my house and also take a monthly set amount. Can I do both? Would I be subject to any early withdrawal penalty (under age 59½) on the partial $100,000 that I would use to pay off…
Q. I recently started a job as a civilian with the federal government. I’m 46 years old and I’m using the TSP retirement system. What fund should I use to maximize my money while adding 5 percent to the G fund. Should I change the allotment to another fund on the list?
Q. Where can I get information about the options to offset the huge increase from $267.73 to $605.07? What are the end results regarding coverage changes for the possible options?
Q. I plan on leaving the U.S. Postal Service at age 60 in six months after 30 years. Do I have to collect Social Security at 62?
Q. I am 46 years old with 12 years of federal service under my belt. I am in the FERS system. I plan on working another 19-20 years. I currently contribute 7 percent to TSP, split up between the life-cycle funds 2030 and 2040. I would like to be able to contribute 15 percent, but at this time it is not possible. Would I be better off stopping the TSP and contributing to Roth — or a combination of both?
Q. I agree with you that the TSP is hard to beat when it comes to maintenance costs, etc. However, the TSP’s limited options when it comes to withdrawing the money don’t fit into my retirement plans. I’m considering using the TSP partial withdrawal option to roll over about half my TSP into a Vanguard IRA when I retire. At a later date, I’d use the full withdrawal option to move the rest of my money into the Vanguard IRA. That way I’d have some money readily available to me and I’d be leaving some in the TSP for as long as possible. Is there anything that…
Q. Will the FERs supplement be reduced for earned income over $15,000 if the income is deposited in a deductible IRA or an employer 401(k)?