Q. I am 59 years of age and will retire with 35 years of federal service (FERS) in five years. I have approx $250,000 in TSP. An advisor wants me to rollover $200,000 of my TSP funds into a fixed index annuity with ATHENE. He states if the market goes down it will not affect my monthly allotment. Why would I do this if TSP offers an annuity as well (single life) with lower overhead and surrender fees? In other words, is a fixed index annuity a better option than TSP’s single life annuity?
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Q. If I make more money than is allowed under the Special Retirement Supplement for a given year, and make $0 because of the SRS penalty $1 for every $2 earned, but lose my job the following year and don’t work again, would I then start getting my SRS back at the same rate that I was getting before I exceeded the maximum earned income, or would it be gone forever? Would this apply also for getting a partial reduced SRS and losing a job but not the whole SRS? Will it go back to the original amount, or be…
Q. I will be retiring in 2019 under FERS. I’m not a pick fan of annuities but I have read in the past that the MetLife annuity tied into the TSP plan is relatively a good annuity with low costs. I also understand that this MetLife annuity might get even better and easier with the changes now being put into place under the new TSP distribution changes. Can you comment on this specifically?
Q. I have been found disabled by the Social Security Administration (FERS claim is pending). Can I make a withdrawal from my TSP account without the 10 percent penalty? What documentation is needed? I am 52 with 26 years of service.
Q. My plan is to retire on Dec. 31, 2018, at age 58 (under FERS). My TSP balance is just over $1 million. I plan to leave my TSP account with the federal government at this time. My current distribution in the account is as follows: G 8.83 percent; F 17.5 percent; C 31.5 percent; S 32.05 percent; and I 10.06 percent. How would you recommend that I reallocate my funds before I retire?
Q. I am under the FERS system, age 57 with 30 years of service. I am eligible to retire but will probably work another two years and retire at 59. I know that you recommend leaving TSP untapped for as long as possible. If I do this, I would need to take Social Security at 62 to make ends meet. Is this a good strategy? Many financial planners recommend waiting as long as possible to draw Social Security, so I am not sure which strategy makes the most sense.
Q. Under the TSP partial withdrawal option, I can rollover a portion of my balance after I retire to an IRA. There is nothing that tells me when or how I can access the remaining balance. Under the full withdrawal option I can rollover a portion of my balance to an IRA and get the remainder in immediate monthly installments. I would like to rollover a portion but possibly delay distribution of the monthly installments for approximately one year. Can I do this under the partial withdrawal option? I am FERS, 57 years old with 30.5 years of service when…
Q. I currently am a GS employee and have a TSP residential loan; however, I may be transferring to an Overseas NAF job. Does anyone know if I can continue to pay on my TSP loan or do I have to pay it back to avoid penalties? I know NAF is federal but unsure about the TSP aspects.
Q. I’m a 71-year-old DAC who will be retiring in June 2019. Presently, I have $1,045,000 in the TSP. When I retire, I will have the following other sources of annual income: military retirement ~$37,000 annual (w/SBP option); Social Security ~$29,000; FERS annuity $29,000 (s/100% option, which is half); and my TSP (wife is beneficiary). My wife is 55 years old retired DAC with an annual annuity of ~$14,000. She also have $450,000 in her TSP account. She will be receiving at age 56 a Social Security supplement of ~$9,000 until the age of 62. With the differences in my wife…
Q. I have been employed in the federal government for approximately 23 years. I have been covered by FEHB the whole time. I may retire in the next two or three years, based on LEO retirement. My spouse worked for the federal government for 17 years under FERS, but resigned when we had children. She has been continuously covered by my FEHB plan. She intends to collect her pension when she turns 62. When I retire, will I need to elect the survivor benefit on my pension to ensure that she has FEHB coverage should something happen to me or can she get…