Q: I’ve been a federal firefighter for over 10 years. Our retirement is forced at age 57. According to my last TSP balance, I have just over $60,000. Not much considering 10 years worth of contributing. Doing the math and adjusting for economy, in another 10 years, I will have less than $120,000 for 20 years of service for retirement. How do I know I’m putting my funds in the right retirement fund? Right now, I have 100 percent going into the L2030 with 100 percent of future allocations going in the same. I just know I’m missing out on good investing, but don’t have a clue on what to do.
A: If you’re not sure what to do, I suggest you consider putting your money into the L Fund that corresponds to your life expectancy, rather than your retirement date. In the end, however, whoever is responsible for providing you with retirement income should be making the investment decisions.