Q. I know TSP funds can be rolled into an IRA, and IRA funds rolled into TSP. Is there any limit on how many times money can be moved back and forth? A. There is no limit that I am aware of.
Q. I currently make the maximum and catch-up contributions to my TSP account and plan on retiring after 20 years of service as a law enforcement officer. I have a traditional IRA and also make the maximum yearly contribution with the idea of rolling this into my TSP post-retirement. Can I continue contributing to the IRA after I separate from government service, if I continue to earn income, then roll it into my TSP anytime post-retirement? A. Yes, although transfers of post-tax IRA money (from non-deductible contributions, usually) into the TSP is not allowed.
Q. I already separated from federal service. I have $65,800 in my TSP account. I’m 49 years old. I want to receive substantially equal periodic payments (SEPP) until age 59 1/2 (to avoid the 10 percent penalty). I also want to be able to contribute to the TSP via IRA rollovers from time to time after age 59 1/2. I know I can do an IRA rollover into the TSP as a separated employee, but I don’t know if I can still do a rollover into the TSP after the substantially equal periodic payments have begun. The rationale for this…
Q. I’m retiring and I’m having a withdrawal from the TSP. I understand the consequences of taxes and I am planning to move the rest of the money to an IRA, but should I leave any money in the TSP?
Q. I only did four years in the Marines and got out back in ’08. I totally forgot I had a TSP until I got an annual update for it in the mail. All my money is in the G Fund and only has a little over $8,000 in it. Should I leave it alone? Roll it into an IRA? Try and work with it and spread the money in there to the other funds? If so, which ones? I’m 32 years old, and still have plenty of years of being a wage slave ahead of me. The only thing…
Q. I retired under the CSRS at age 55 and understand I can withdraw my TSP funds without penalty. If I roll my TSP into an IRA, will I still be able to withdraw prior to age 59 1/2 without penalties?
Q. If I take the VERA at age 55, can I roll my Fidelity IRA into my TSP and take monthly payments for all of it starting at 55 without the 10 percent penalty? Also, what is the time lag typically from retirement to get your first FERS annuity payment and TSP monthly payment? In other words, how long would I be out of pocket when I retire until those payments kick in?
Q. I am a federal employee with a TSP (Traditional). In addition, I currently own a Traditional IRA and a Roth IRA, while my wife owns a Roth IRA. This year, it looks like our combined income (MAGI) will likely exceed the threshold for the standard approach to contribute to our Roth IRAs. I have seen strategies to use the backdoor approach, but it will require smartly transferring my traditional IRA to TSP to avoid a large conversion taxes. My traditional IRA has a nondeductible basis of $12,000 and $78,000 of earnings. As I understand from research, I could transfer the $78,000…
Q. I retired from the U.S. Postal Service on March 31, 2018, at age 55 under FERS. I had approximately $18,000 in gross earned income up to that point. I contributed approximately $3,000 to my TSP up to that point also. Can I still contribute $6,500 to my IRA for the tax year 2018?