Q. When a TSP holder dies, does the balance of the TSP account transfer to the next of kin? For example, if I had $500,000 when I died and was receiving monthly payments in retirement, would the remainder of unpaid money in the account go to my widow (or children)?
A. The remainder will pass to your named beneficiary (or beneficiaries), or according to the legal order of precedence if no valid beneficiary designation is in place. Spend some time learning about your retirement plan and the basics of financial assets at www.tsp.gov.