Q. I retired under CSRS in 2006 . I already took out my one-time withdrawal of TSP a couple years ago. I did not go to work after retiring and do not have enough credits to receive Social Security. I also do not have any other IRAs or a Roth IRA. My question is, if I want some of the money, is there anything I can roll it into where I can draw out partials when I want, or is the only other thing I can do is withdraw it all and pay the taxes on it? I don’t want to wait till I’m 70 1/2 and get partial payments.
A. Yes you can still roll your balance over to an IRA. You could also leave it where it is and begin a series of monthly payments, which you can change each year but which would have to end in a terminal full withdrawal. Be careful about rolling over the balance since you won’t find an IRA that will match TSP’s low costs and many IRA providers will charge you a small fortune to invest.