Q. I am a law enforcement officer planning to retire next year at age 50. I have a pretty good sum in my TSP and would like to take life expectancy (72t) payments. Two financial advisors have told me I shouldn’t need this money (after reviewing my expected income and expenses) and advised against taking the distributions. What is the downside of sticking with life expectancy payments for 10 years if I am invested correctly? It seems to me, assuming a greater than 5% return over this period, I should never touch the principal. Currently my TSP is fully invested…
Browsing: TSP withdrawal
Q. Let’s say that I’m not eligible for a partial withdrawal because I’ve already taken one, and that I’ve retired and settled on a certain amount of money per month from TSP. After ten years, I decide that this system is no longer working for me. Can I close out my TSP account and get a refund of any remaining savings?
Q. Recently I separated from federal service, but I was rehired before 31 days of separation had passed. While I was separated, I decided to withdraw all of my TSP. I didn’t realize at the time that I would be “ineligible” until I had been separated for 31 days and TSP approved my withdrawal request and gave me my money (after taking out the appropriate amount for federal taxes). Can TSP force me to put all my money back into my TSP account since I was rehired before I had a complete 31 days of separation even though they had…
Q. I’m a Postal employee with 37 years (CSRS), and I’m 56 years old. I’m looking to retire this year, and I want to know if I get the money in my TSP account when I retire or do I have to wait until I turn 62?
Q. I am a FERS retiree and following your advice, I have not touched my TSP. This year I must start Required Minimum Distributions and am thinking of having TSP buy an annuity. The news says “the Fed” may raise rates soon. Will that raise the TSP Annuity Interest Rate?
Q. I am a current Law Enforcement Officer considering retirement in one year at age 50. I am planning on taking 72 life expectancy payments from my TSP. What is your general advice with regard to life expectancy payments? Or do you recommend leaving the TSP alone for a longer period of time and taking distributions later in life?
Q. I am aware that I do NOT have to take a RMD from my TSP if I am still working full time as a Fed beyond age 70. My Fed colleague and I would like to “Job Share”, with each of us working twenty hours per week after age 70. Will the IRS let me take only half what my RMD would have been had I retired full time? I don’t need the distribution money and prefer to leave as much as possible in the TSP.
Q. I am a FERS retiree and following your advice, I have not touched my TSP. This year I must start Required Minimum Distributions and am thinking of having TSP to buy an annuity. The news says “the Fed” may raise rates soon. Will that raise the TSP Annuity Interest Rate?
Q. Will TSP allow me to purchase one annuity from MetLife and a second annuity from a different provider? The state I live in only insures annuities up to $250,000 and I’d like the remainder of my TSP balance to be insured by purchasing a second annuity from a different provider. Are there any strategies I could employ to accomplish my goal of insuring the entire TSP balance that I’d like to use to purchase these annuities?
The House Budget Committee’s recent proposal to cut the interest rate paid to TSP investors by the G Fund is misguided and destructive. Not only is it a blatant attack on your interests as a TSP participant, but it is based on faulty logic, and will undermine the value and stability of the largest employer-sponsored defined contribution retirement plan in the United States. As a fiduciary advisor responsible for the financial well-being of a large number of federal employees, annuitants and their families, I am gravely concerned about the inevitable effects of this ill-conceived proposal. In fact, this idea…