Q. I’ve been reading your Q&A as well as information on tsp.gov and still do not have a full understanding of my dilemma. I have about $225,000 in TSP and would like to use it to supplement my CSRS pension when I retire at age 56. I’m confused about what happens to my balance once I start the monthly payments option. Would I continue to receive earnings on the the remaining balance at its current distribution? Can I change the distribution in the future? If not, would I be better off rolling TSP over to an IRA somewhere?
Browsing: TSP withdrawal
Q. I’m a federal employee aged 58 retiring with 30 years’ service, and I would like to take 109,000 from my non-Roth TSP to pay off mortgage. Besides federal tax, would I also have to pay a 10 percent penalty because I am not 59 1/2 years old? Would the federal government withhold 20 percent penalty or taxes or would it be more? A. There will be mandatory withholding of 20 percent, but the early withdrawal penalty will not be assessed. Details are available at https://www.tsp.gov/PDF/formspubs/tsp-536.pdf.
Q. I am considering a Roth Rollover from my TSP to my external Roth account…Due to my circumstance I will not incur a penalty nor will I have any tax liability. What, if any, other consequences should I consider in making this decision?
Q. I plan to retire soon and want to use the TSP annuity but I believe it will go up. Can I use monthly payments when I retire then purchase an annuity if the rate index goes up?
Q. I am 64 and have 4.5 years in FERS. I want to know when i can fully withdraw my TSP? I have asked the base. I have called BEST and I have called OPM. I was told DFAS submits a code in an internal software system. So does that happen six months down the road when my disability retirement is approved?
Q. TSP declares an unpaid loan at retirement as a taxable distribution. Participant is over 70 1/2. Does that taxable distribution satisfy the minimum distribution in the first year of retirement? Any research information is appreciated.
Q. I am thinking about taking a partial withdrawal of my TSP and moving it into an IRA account. My question is, the fees that are incurred when the IRA manager buys and sells positions within the IRA, how are they accounted for? For example, I move $100,000 to a simple IRA managed by my broker. He invests the $100,000 but in doing so his fee is, say $1,000, where does the $1,000 come from? For that matter, what about any future rebalancing within the IRA?
Normal 0 false false false EN-US X-NONE X-NONE /* Style Definitions */ table.MsoNormalTable {mso-style-name:”Table Normal”; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-parent:””; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin:0in; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:11.0pt; font-family:”Calibri”,”sans-serif”; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin;} Q. I have $115,000 in my TSP account. I’m retiring in August, and I plan on using the entire amount to get me through until age 60 when I draw my military retirement. Does it make sense to move my entire account into the G fund now? I’m going to draw the account down to nothing in 54 months, and I need to ensure I have the…
Q. When I first opened my TSP savings account back in the late 1990s, no one ever briefed me that there would be a specific retirement age attached to my account. I will be retiring in a year. I will have a total of 28 years of active federal military service. I will be 48 years of age at retirement. Will I have to pay a penalty to withdraw all of my money from the TSP? If I have to pay a penalty, what is it?
Normal 0 false false false EN-US X-NONE X-NONE /* Style Definitions */ table.MsoNormalTable {mso-style-name:”Table Normal”; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-parent:””; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin:0in; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:11.0pt; font-family:”Calibri”,”sans-serif”; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin;} Q. I have 36 years of federal service. Can I take out my TSP? A. Yes, if you are at least age 59 1/2 or have separated from federal service.