Q: I am a postal clerk. I am 51 and I put 10 percent into TSP. I have  traditional IRA (American Funds Growth of America , Income Fund of America, High Income Trust and Capital Income Builder.)  Their reports claim the return is a better rate of interest than an unmanaged S&P 500 fund. Management fees are 0.6 percent. Am I better off rolling this IRA into my TSP account?

A: Yes. The TSP has lower expenses and a better expected risk/return profile than these managed funds. As their prospectus clearly states, their past performance claims are irrelevant to the decision.


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Mike Miles is a Certified Financial Planner licensee and principal adviser for Variplan LLC, an independent fiduciary in Vienna, Virginia. Email your financial questions to and view his blog at

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