Q. Can CSRS annuitants take Social Security at 62, or do I have to wait until I reach full retirement age? And will my Social Security benefit be impacted by my federal annuity? A. You may claim your benefit at age 62. Your retirement annuity is not counted as earned income. You might be subject to the Windfall Elimination Provision (https://www.ssa.gov/pubs/EN-05-10045.pdf), however.

Q. I started working for the federal government in 2003 and I plan to retire in 2035 or so. Until last year I had all of my TSP invested in the G Fund; however, last year I started investing 100 percent into the L 2040 fund. As of right now I have 5,292.1883 shares in the G Fund and the share price is at $16.2848. My balance is at $86,182.23 and the distribution of account is at 77.94 percent and its contribution allocation is now at 0 percent. I also have 684.1896 shares in the L 2040 Fund and the share price is at…

Q. I have designated my two daughters as beneficiaries with 50/50 split to my TSP account. One of them works for the federal government and has her own TSP account. The other daughter works in private industry. If I pass away, would they be able to inherit my TSP savings right away and roll over to their own 401(k) or IRA accounts? Would my other daughter be able to roll the payment into her own TSP account ? Do they have to pay any upfront tax when they roll over the payments to their 401(k) or IRA account? A. Your…

Q. I am enrolled in CSRS Offset. I am 68 years old and still working. My plan was to work until I am 70 and then collect my social security. The reason is to maximize the amount of money I get from Social Security. I have been told that I should start collecting my Social Security now while I am still working because the amount of money I receive from Social Security toward my retirement will not change from the age of 62. Is that correct? Will I get more money if I continue to work and not collect Social…

Q. What is the annual withdrawal strategy that would allow me to avoid selling stock shares (C,S,I) during years that the market is down? I’m sure I read in “Money Matters” a strategy where a person could avoid a sequence of withdrawals disaster early in retirement by moving to the F and G Funds just prior to the annual withdrawal then back to stock shares immediately after the withdrawal. If there is such a strategy, could you explain it more specifically? A. Here’s the article I wrote for the Federal Times in 2016: How to Take a Selective Withdrawal Your…

Q. My wife and I are both long-time feds with 35-plus years and significant TSP accounts (more than $1 million). We both are inclined not to elect a survivor benefit because it seems we will have ample funds in retirement if either of us passes. Are we being short-sighted or is this a practical approach? A. Each of you, as the potential survivor, should carefully consider the worst-case scenario you might face in the various factors you can’t control, like how long each of you will live, how your investments will perform, inflation rates, spending needs, etc., before you decide…

Q. I will be retiring in approximately three years. I want to have some TSP funds, say 3-5 years worth of expenses (less FERS pension and Annuity Supplement) in a safe investment. Given today’s interest and bond climates, is it better to use the G or F fund (or a split between the two) for that allocation? A. The G Fund is the only TSP fund that is guaranteed against loss of principal.

Q. Can a deceased spouse’s TSP account be rolled into the survivors existing TSP account? A. From the brochure “Your TSP Account”: If you have an existing TSP account from your own employment with the federal government or the uniformed services, you can move your beneficiary participant account into your existing TSP account. The money that you move will be treated as an employee contribution, but it will not be subject to the Internal Revenue Code (IRC) annual elective deferral limit, which limits the amount of regular tax-deferred and Roth contributions you can make to the TSP in a calendar…

Q. I am a CSRS Offset retiree who is now 62 and eligible for Social Security. I am currently employed as a contractor working in a government agency. The Office of Personnel Management is reducing my annuity by the amount SS reported to them that I am eligible to receive. I don’t dispute the amount and understand that this would happen. However, SS told me that I earn too much money and they will not make up the difference. I was told during the retirement seminar that regardless of the amount I earned, I would get the SS portion because…

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