Tax penalty


Q. FERS employee, 25 years service, retiring under MRA (56 years old) + 10. Will receive annuity at 70-percent rate. Plan to take monthly TSP payments of $3,000 (able to change amount once every year). Just want to confirm that there will be no early withdrawal tax penalties for taking TSP before 59-1/2.
A. Confirmed. Under these circumstances, your TSP withdrawals will be exempt from the penalty.


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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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