Q. I began federal civil service 10/22/1983 and retired from the U.S. Department of Agriculture 5/13/2013 on an “early out” offer. For my nearly 30 years of service, I never left CSRS, paid Social Security, and qualified fully for CSRS Benefits at my retirement. I did, however, participate in the employee-only [no match from my agency] paid deduction that was an “option” for CSRS to build a THRIFT Saving Program that currently has an approximate current value of $235,000. I retired early and have been receiving monthly retirement benefits since 5/13/2013 [and thus a substantially reduced monthly benefit, but at my…
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Q. Currently I have the L Funds (2020) and I’m in FERS. I plan to retire in three years at age 62. What do you recommend for allocations choices?
Q. I am a CSRS retiree. Is a lump sum withdrawal from my TSP considered as earned income? Will it effect my Medicare premium amount for the next year?
Q. Is TSP considered income for factoring the Special Retirement Supplement?
Q. I am going to retire after 32 years of service under FERS. Do you have any knowledge about which company will be managing the annuity monies? I was told that it could be MetLife and wanted to look over their financials to see if I should put my TSP annuity with the same company or diversify with someone else.
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. The beneficiaries of my TSP account are nonspousal relatives. What are their options upon my death? Have the recently enacted changes to TSP withdrawals affected any options? I was told by a TSP telephone representative that they could establish TSP beneficiary accounts, which would allow a monthly payment plan that would provide them benefits until their TSP accounts were depleted. However, I thought I had read somewhere that withdrawals of nonspousal relatives had to be completed within five years, but maybe that applies to IRAs.
Q. My wife passed away in August and I Inherited her 401(k). Do I have to put the account in my name first or can I roll it over directly into my TSP?
Q. The TSP web site says that for 2018 the “maximum elective deferral” is $18,500. Does this refer only to the employee’s own pre-tax contributions from his/her paycheck? Or does it also include agency automatic or matching contributions? I thought agency contributions plus the “maximum elective deferral” are subject to a much higher “annual addition limit” – $55,000 for 2018. However, someone recently said that agency contributions are, indeed, included in the $18,500 limit. Can you please clarify?
Q. I have 21 years of service in a covered law enforcement position. I have been offered a job with a large government contractor. I am 53 years old. I also have purchased back eight years of military service. By reading thru your FAQs I see I can get the Social Security Supplement until I reach the age of 57. When I retire is it better to roll my TSP over into the new job’s 401(k), or leave it alone and simply start a new one with my new employer? A. It’s hard to find a 401(k) plan that compares favorably…