Search found 6 matches

by materielgrrl0608
Thu Feb 21, 2013 10:38 pm
Forum: Personal Investments
Topic: TSP expense ratio of .027% [Contribute to Traditional IRA?]
Replies: 19
Views: 3495

Re: TSP expense ratio of .027% [Contribute to Traditional IR

It has been quite a long time, but the TSP didn't even exist until April 1987. Were the CSRS people even allowed to contribute to the TSP at the very beginning? I'm just mentioning this because there was not a lot of time between April 1987 and August 1989.... According to this article, CSRS employees were allowed to contribute in 1987. http://www.govexec.com/pay-benefits/retirement-planning/2006/03/csrs-vs-fers/21480/. I distinctly remember it was shortly opened up to CSRS employees in one of the "open seasons" that OPM used to have for TSP enrollment. I recall some of us CSRS employees discussing the wisdom of making contributions into the G Fund back then. The first opportunity for FERS or CSRS employees to elect TSP started i...
by materielgrrl0608
Sun Feb 26, 2012 9:15 pm
Forum: Investing - Theory, News & General
Topic: withdrawing at age 55..whats penalty free?
Replies: 19
Views: 1821

Re: withdrawing at age 55..whats penalty free?

Could you separate in calendar year when you reach age 57 and still withdraw penalty-free? That is, is it age 55 only and no other ages? Only if you separate before your 57th birthday. After your birthday, it is too late and you have to wait for 59 1/2. :) You are joking, but I wonder how many people have understood the joke. For those who have not, here is the TSP rule: If you receive a TSP withdrawal payment before you reach age 59½, in addition to the regular income tax, you may have to pay an early withdrawal penalty tax equal to 10% of any portion of the payment not transferred or rolled over. However, if you are age 55 or older in the year you separate or retire, the 10% early withdrawal penalty tax does not apply . 401(k) rules are ...
by materielgrrl0608
Sun Feb 26, 2012 9:11 pm
Forum: Investing - Theory, News & General
Topic: Military Investing
Replies: 125
Views: 65465

Re: Military Investing

I don't get over here often ( "Hey, look, new forum software!" ) but thanks for putting the book in the wiki. The first semi-annual royalty checks are going to Wounded Warrior Program and Fisher House, roughly $568 to each. That's based on sales of 605 copies of "The Military Guide" and 2929(!) pocket guides between June and October. The publisher says the next check should be a lot bigger, especially as the drawdown begins. If you're in the military, or a veteran, or a military family member: I'm collecting stories and advice for the second edition and the blog. Please send me a PM or an e-mail. You and the other 50+ contributors will help choose which charities receive the royalties, so this is an opportunity to pay y...
by materielgrrl0608
Sun Feb 26, 2012 7:36 pm
Forum: Personal Finance (Not Investing)
Topic: TSP contributions
Replies: 6
Views: 1315

Re: TSP contributions

I'm not sure why your HR could not find the answer to this question.

Contributions to the TSP are made from statutory basic pay, which is what you earned (or continue to earn) as a Fed each pay date, each time you are paid. This is not like an IRA where IRC allows you to make a contribution out of your pocket with credit for the prior year up through April of the next year. If you want to maximize TSP, it needs to be done through your paycheck, from the pay dates, not pay periods you have each year. Once you receive your last paycheck for the year, normally that is you last opportunity to make a TSP contribution for the year.
by materielgrrl0608
Thu Feb 16, 2012 10:09 pm
Forum: Personal Finance (Not Investing)
Topic: Draft Roth TSP Guidelines
Replies: 32
Views: 2934

Re: Draft Roth TSP Guidelines

One thing I'm not sure of is whether it will be possible to have a different AA with the Roth money than with the regular money. Say, for instance, that when the Roth feature is first introduced I decide to put my entire account (tax-deferred) in the G Fund, then decide to make new contributions all Roth (my share) and put them in the C Fund. Will I then have my "Roth dollars" in C and (most of) my "deferred dollars" in G? Admittedly, that would be a little on the bizarre side, but just curious about the mechanics. This isn't a bizarre idea at all; the question of traditional versus Roth asset location comes up occasionally on this board. If you adjust your traditional account and Roth account for the different after-ta...
by materielgrrl0608
Thu Feb 16, 2012 9:32 pm
Forum: Personal Finance (Not Investing)
Topic: Draft Roth TSP Guidelines
Replies: 32
Views: 2934

Re: Draft Roth TSP Guidelines

So just checking that everyone else read the same thing I did. Contributions are not allowed to be withdrawn without penalty until retirement right? I like the Roth IRA's ability to have contributions pulled to buy a first time house, because that the plan right now after I get out (much further down the road). :sharebeer As long as you are age 55 or older in the year you separate or retire from your employer, you are not subject to the 10% penalty, and that would include amounts on the Roth portion of a 401(k) or TSP balance. Of course regardless of your age if you have a Roth balance in your 401(k) or TSP, any amount you receive of the Roth portion before age 59 1/2 will negate the tax-free benefit of the Roth earnings - unless you are p...