Q. The beneficiaries of my TSP account are nonspousal relatives. What are their options upon my death? Have the recently enacted changes to TSP withdrawals affected any options? I was told by a TSP telephone representative that they could establish TSP beneficiary accounts, which would allow a monthly payment plan that would provide them benefits until their TSP accounts were depleted. However, I thought I had read somewhere that withdrawals of nonspousal relatives had to be completed within five years, but maybe that applies to IRAs.
A. The rules governing beneficiary TSP accounts are complex and depend upon the circumstances that apply. You’ll find what you need in this TSP publication: https://www.tsp.gov/PDF/formspubs/tspbk33.pdf.
