Q. I plan to retire at 63 or 64, but because I came into the government late (12 years ago) my pension will not be that big. Would it be better to drawn from my TSP and claim Social Security at my full retirement age (66 and 4 months) or claim it at 64 and only withdraw from TSP as needed?
Q. Under the TSP partial withdrawal option, I can rollover a portion of my balance after I retire to an IRA. There is nothing that tells me when or how I can access the remaining balance. Under the full withdrawal option I can rollover a portion of my balance to an IRA and get the remainder in immediate monthly installments. I would like to rollover a portion but possibly delay distribution of the monthly installments for approximately one year. Can I do this under the partial withdrawal option? I am FERS, 57 years old with 30.5 years of service when…
Q. I am planning on retiring sometime after September 2019, which is when I know the TSP withdrawal rules are changing. I want to know if, after September 2019, I would be permitted to do the following: withdraw 20 percent of my balance to pay off outstanding bills; use 40 to 60 percent to purchase a Met Life annuity; and/or leave the balance in my TSP account invested in the L Fund that most closely corresponds to my life expectancy. (My intent would be to take actions one and two at the same time.)
Q. For the past five years I have been making the maximum contributions ($18,500 plus $5,500 catch up). I am planning to retire on Sept. 30 this year. Can I make an equivalent contribution to TSP out of my final pay to make up the difference to achieve the maximum contribution for the full year? I have been making $713 regular and $240 monthly to date. If I can do this, I will plan to make contributions of $4,262 and $1,440 from my final pay check to meet the maximum limit for the year. Is this allowed?
Q. I plan to retire on December 31, 2018, with 33-plus years of service. I am 58 years old and will be eligible to receive the Social Security supplement until age 62. If I draw down a portion of my TSP upon my retirement as lump sum, will that be considered regular income for me for the year and will offset my supplement? Say I draw down $50,000 or more as a lump sum, will I lose my supplement for that year (2019)?
Q. I am planning to retire in Jan 31, 2020. At that time I will be 56 years old with 33 years of service. I am planning to take a lump-sum payment and monthly withdrawals from my TSP account. Will I be penalized for withdrawing my TSP? If so, how much? How much tax do I have to pay? How long do I have to wait to receive a lump-sum payment from the TSP?
Q. I currently am a GS employee and have a TSP residential loan; however, I may be transferring to an Overseas NAF job. Does anyone know if I can continue to pay on my TSP loan or do I have to pay it back to avoid penalties? I know NAF is federal but unsure about the TSP aspects.
Q. My husband has money in a retirement account that is not in the TSP. When we retire would we be able to just draw down his accounts and leave my TSP account alone? While his account is good, the TSP is, as you know, a great vehicle to save / invest money. His retirement accounts and mine our about the same: $450,000 in each. We are planning on retiring at 60 and delay collecting Social Security till 70 years of age. My husband is 58 and I am 57. While I know how to save, I’m not sure how…
Q. I’m a 71-year-old DAC who will be retiring in June 2019. Presently, I have $1,045,000 in the TSP. When I retire, I will have the following other sources of annual income: military retirement ~$37,000 annual (w/SBP option); Social Security ~$29,000; FERS annuity $29,000 (s/100% option, which is half); and my TSP (wife is beneficiary). My wife is 55 years old retired DAC with an annual annuity of ~$14,000. She also have $450,000 in her TSP account. She will be receiving at age 56 a Social Security supplement of ~$9,000 until the age of 62. With the differences in my wife…
Q. Why can’t I reasonably expect 5 percent average return over a 30- or 40-year period on a TSP portfolio consisting of 43 percent C, 21 percent I, 6 percent S, 23 percent G, 7 percent F? Let’s assume modest fixed payment withdrawals of 2-3 percent over that 30- to 40-year time frame. I’m 55 and retired.