Q. My husband is a Defense Department term employee. If his term does not get renewed in May, he wants to roll his Thrift Savings Program into my TSP. Would this be allowed? A. This is not allowed, but he may continue and manage his TSP account for life.
Browsing: spouse benefits
Q. I am over 50, my wife (unemployed) is under 49. In 2013, if I contribute the maximum amount (including catch-up) of $23,000 to my Roth TSP and traditional Thrift Savings Plan, can I also contribute the maximum of $6,000 to a Roth IRA or traditional IRA for a total contribution of $29,000? Can I also contribute the maximum of $5,000 for my wife into a Roth IRA or traditional IRA for a total contribution of $34,000, assuming that I fall within the adjusted gross income limits as addressed by the Internal Revenue Service? If there are limitations on contributing to a…
Q. I retired from the federal service in 2012. I understand that I cannot make any further contributions to the Thrift Savings Plan since I am no longer a federal employee, and that I cannot undertake a traditional or Roth IRA in 2013 unless I have wages. What I am not clear about is the spousal IRA. It appears to me that because my spouse is still working, I could contribute to a traditional IRA in 2013 as a nonworking spouse if he and I met the income and joint filing qualifications. If this is true, could I then transfer that spousal IRA…
Q. I turned 62 in December. I am 100 percent disabled from combat wounds. I worked federally for a while and saved $102,000 in a G Fund under FERS. I’m about to start losing my home as my wife will have to retire this year. Without her income, we won’t be able to afford the mortgage (but no credit card or other debt on the house.) What percentage at age 62 does a 100 percent disabled vet have to pay when withdrawing savings in full? I think it’s stating 20 percent, but that doesn’t seem reasonable. Am I reading it wrong? I want…
Q. I plan to choose an annuity for my Thrift Savings Plan savings that will pay my spouse half if I die. What happens to the balance of my money in TSP if we both should die shortly after the annuity is activated? A. If you select and pay for the cash refund option, any unrecovered premium will be paid to your beneficiary(ies) as a death benefit. If you do not purchase the cash refund option, then annuity payments stop and no death benefit is paid.
Q. My wife recently retired from a state position. She was informed by her human resources/benefits office that she could roll over the balance of her 401(k) into my Thrift Savings Plan. Is this accurate? A. Wrong! One spouse can’t combine their retirement plan assets with those of the other.
Q. Can a wife roll over her 401(k) distribution into her husband’s Thrift Savings Plan account? A. No.
Q. My spouse has a 401(k) from a previous job. Can I add my name to this 401 and transfer it to the Thrift Savings Plan? A. No.
Q: I am retired and have not withdrawn money from my TSP as of yet. It is my understanding that if I should die tomorrow, my spouse would inherit the full amount of my TSP. But when I looked into beginning monthly withdrawals from my TSP, it seemed to say that I had to buy an annuity with my spouse being the beneficiary of 50 percent in the event of my death. Why would my spouse not inherit the full amount? A: You don’t have to buy an annuity to initiate monthly payments from your account. Use Form TSP-70 to request automatic…