Q: I plan on retiring at 62 from the Federal Employees Retirement System. Will I be penalized for withdrawing money from my Thrift Savings Plan account at that age? A: No.
Browsing: FERS
Q: Are FERS 6c retirees considered retired public safety officers by the IRS for the purposes of tax reporting? I am a retiree with 20 years of service, but under age 59 ½. Most of my career was a GS-2181 customs officer/pilot, but they changed us to 1877 air-interdiction-agent pilots just prior to my retirement. I would like to take the one-time disbursement from TSP and avoid the 10 percent penalty, but I am unsure if federal law enforcement is considered public safety officers under IRS rules. A: If you retired during or after the calendar year in which you…
Q. I retired at the end of 2011 as a Federal Employees Retirement System employee. To get most of my retirement, I needed to redeposit for several years of military service, and also for a period of prior federal service. Because I did not have the money to pay it at the time, nor did I want to remain working until I could amass that amount, I withdrew my Thrift Savings Plan at age 59½ and paid most of the money to the Office of Personnel Management. The amount it withheld for taxes was in excess of the amount I…
Q. I’m an Air National Guard military technician, and I’ll be retiring this July at my minimum retirement age of 56. I plan on making monthly withdrawals from my Federal Employees Retirement System Thrift Savings Plan at that time. I know I won’t have to pay a penalty on these FERS TSP withdrawals, but do I have to wait until the age of 59½ to start withdrawals without paying the penalty? Can I roll my military TSP into my FERS TSP when I retire? A. You may combine your military and civilian TSP accounts. Visit www.tsp.gov and search for form…
Q. Can I roll my Thrift Savings Plan over to an Individual Retirement Account when I retire? I have at least four more years to go. I will be 57 with 30 years in. I am under the Federal Employees Retirement System. I can’t believe I can’t touch my money unless I am 59.5. Why is it taking so long to get our retirement annuity? I will retire as a GS-6 Step 9. A. Yes, you may roll your TSP money into an IRA after you retire.
Q. I have 26 years of Defense Department service with a target of six years to go before retiring. The Federal Employees Retirement System isn’t doing very well with the Thrift Savings Plan Offset. Because of a failing market, I have missed my TSP target by a large sum. Does the government have any plans to assist the FERS employees looking to retire with a failed TSP? Most FERS employees are having to work past their target because they can’t afford to retire. The Civil Service Retirement System is much better. Combining FERS, TSP and Social Security, we still fall short compared…
Q. I am currently employed with 10 years service accrued in the Federal Employee Retirement System. If I were separated/left federal employment for the private sector, would I be allowed to roll over the entire contents of my 401(k) account (acquired via my new employment) into my Thrift Savings Plan? Similarly, if I were to retire from federal employment, would I be allowed to roll over the entire contents of any 401(k) account(s) (acquired as a result of any previous private-sector employment) into my TSP? A. As long as you maintain your TSP account, whether employed, separated or retired from federal…
Q. I am a retired federal worker. I am in the Federal Employees Retirement System, a Thrift Savings Program participant, and, because I am over 70½ years old, I have been taking my Required Minimum Distribution in the form of monthly payments based on my life expectancy. I also have a traditional Individual Retirement Account with my local bank. I also have a Roth IRA at this bank. I want to consolidate some of my funds and increase my monthly payments by transferring my traditional IRA to my TSP account. I was told by the bank that the time for…
Q. I will be retiring from the the Postal Service with 31 years of FERS at the age of 56. I know I will be eligible for the Social Security supplement until I reach the age of 62. My question is about earning limits with the supplement. If at age 56, I withdraw all or a portion of my TSP account, will this affect my Social Security supplement from the Postal Service? A. TSP withdrawals are not counted as earned income.
Q. I am a Federal Employees Retirement System employee and a reservist. I have a uniformed service Thrift Savings Plan account and would like to use some of the money to buy in to my FERS annuity. Does the FERS annuity qualify as a tax-deferred retirement plan, or will I have to pay taxes on the money? A. You’ll have to pay taxes on the money.