Q. My wife and I are both 36-year-old federal employees. We both contribute the max contribution to our TSP accounts — $18,000. Additionally, we each invest $5,500 in separate Roth IRA life cycle mutual funds through USAA. Combined, we have about $600,000 in our TSP accounts and about $100,000 in our IRA accounts. We live a rather frugal life, and started investing later in life due to grad school, so we are looking for ideas on additional avenues of investment when all other tax advantaged investment vehicles are maxed out. Do you have any advice for our situation?
Browsing: TSP contribution
Q. I am retiring in 15 months with 34 years of service at age 56. I am downsizing my house for a lower house note. I have enough in my TSP to purchase a home. Is this a good idea? The note on the house would be equal to what I would receive from my TSP. I will still have my FERS supplement and my FERS.
Q. Retirees who remain in the TSP cannot make contributions into the various funds, but they can make interfund transfers (IFT) and redistribute their money into different funds. Are retirees subject to the same TSP rule that no more than two IFTs can be done per month, or are retirees subject to a different rule regarding the number of times they can make such transfers?
Q. I want to make my overall TSP more conservative. I am 56, and my TSP is very substantial (20 years’ worth of maxed-out contributions) and so are my other retirement assets. I am not feeling very risk tolerant. Currently I have 85 percent of my TSP in L2030. The other 15 percent is my last 3½ years of contributions (with catch-up) that I put in a 70/15/15 mix of C/S/I. I was thinking of moving the last 15 percent to L2030, or even moving that 15 percent into G or F/G. There was a period in the past 3½ years when I was…
Q. I’m retiring at the end of May 2017 with 25 years of civil service under FERS. I’m considering maximizing my TSP contribution (15 percent equaling $18,000) and TSP-C contribution ($6,000) in 11 pay periods before retirement. What will be the amount of government matching?
Q. I am a special agent with Homeland Security Investigations in New York. If I were to retire at the end of March (due to reaching my maximum retirement age of 57 years old), would I receive a full agency match to my TSP if I were to maximize my contributions in the three short months? In other words, if I maximized my TSP contributions from January to March and put in the full $24,000 (with catch-up contributions), would my agency match be fully funded (which usually amounts to about $7,500 or so per year)?
The election has demonstrated how difficult it can be to predict the effect of world events on the investment markets. If there was a consensus on the effect the outcome would have on the markets, it was that a Trump victory would be bad for stocks. While the stock market did drop significantly immediately following the news that Trump had won, by the end of the following day, it was in positive territory and continuing to climb. During the following weeks, several major stock market indices went on to reach new record highs. Ahead of the election, I did not…
Q. Can a federal employee put the maximum contribution into TSP and still receive the complete 5 percent government match on top of that? What if the federal employee is 50 years old? Also, if the employee puts the maximum catch-up amount along with the maximum TSP amount, will the employee still receive the complete 5 percent government match?
Q. I will have 41 years and 11 months government service in October of 2016. I am in the CSRS. I plan on retiring Jan. 3, 2017. It is my understanding that the time period between October and January that retirement will be taken from my pay, but no more contribution from the government. It is also my understanding that this deduction will be placed into an account that pays 3 percent interest. My questions are, can I leave this money in the account and continue to earn 3 percent after retirement? Can I add to this account before retirement?…
Q. I have a TSP loan which I anticipate will not be repaid by the time I retire sometime past age 70. Will the unpaid amount of the loan that is declared a distribution after I retire be counted for the purposes of the Required Minimum Distribution for that year?