Another TSP issue...

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SquawkIdent
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Another TSP issue...

Post by SquawkIdent » Fri Oct 18, 2019 12:47 am

Early last week I decided to change the beneficiaries I have on two accounts. The accounts are located at Vanguard and with the TSP.

Vanguard allows you to log onto your account online and change them instantly. The whole procedure probably took 30 seconds to complete.

The TSP requires you to fill out a paper form, get it witness signed (not one of the listed beneficiaries) and then mail it in. I did all of that early last week. Yesterday, I logged into my account and noticed the beneficiaries were still not changed (10 days after mailing the form to them). I called them and was told yes we did receive the form late last week. I asked why my beneficiaries were still listed as the old ones and was told it takes a minimum of 2-3 weeks from the date they receive the form to process it and show the change in my account.

I brought up the fact that I was able to accomplish this change on Vanguard’s online site in 30 seconds (and the change reflected immediately) and was told it was a security and processing feature of the TSP. The TSP customer service rep did reassure me that if using the new beneficiary form did come into play, they would consider it active from the day they received it but hadn’t yet posted it to my account.

So the choice is 30 seconds with Vanguard or a total minimum time of 3-4 weeks with the TSP to actually show the change in my account.

rkhusky
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Re: Another TSP issue...

Post by rkhusky » Fri Oct 18, 2019 9:55 am

Government in action! But to be fair, the TSP is bound by different rules than Vanguard and their funding is controlled by Congress.

02nz
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Re: Another TSP issue...

Post by 02nz » Fri Oct 18, 2019 9:57 am

rkhusky wrote:
Fri Oct 18, 2019 9:55 am
Government in action! But to be fair, the TSP is bound by different rules than Vanguard and their funding is controlled by Congress.
Bound by different rules, yes, but they're a self-funded agency (that's what the ERs pay for), not funded by congressional appropriations.

I agree the paperwork is a bit cumbersome, but when I've had to deal with them TSP has always been speedy and accurate. I've done two transfers now out of TSP - both times the receiving institution (Vanguard and Merrill Edge) had issues that I could trace to them and not TSP, while TSP was flawless and very quick.

marana
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Re: Another TSP issue...

Post by marana » Fri Oct 18, 2019 10:03 am

I think it may be the USPS that slowed down the process.

You can always fax the paper form to the TSP. When I changed beneficiaries last time, I faxed the form in and they got it changed within a week.

I think it is very o.k. for the TSP to be more cautious for my protection.

Yooper16
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Re: Another TSP issue...

Post by Yooper16 » Fri Oct 18, 2019 9:25 pm

Easy answer---switch everything to Vanguard.

Oh wait ------there are many multiple threads here about Vanguards website and outdated ways of doing transactions. :oops:

Hoping you were just having a bad day. If these are the type of things that cause us such grief-- we are indeed a country that has seen its better days.

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Jerry55
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Re: Another TSP issue...

Post by Jerry55 » Fri Oct 18, 2019 10:23 pm

Moving at the Speed of Government ! They'll get it done.

I change mine every few years, depending on what child torques me off enough to do it, and it's usually my son. (2 daughters are fine)
He's OK now, so, I changed it back to 33/33/34. As long as I mailed it in and they received it, I'm good to go. I've changed it maybe 3 times
in the last 10 years, but I think I'll leave it alone now.

If you're planning on dying within the next 30 days, give it a rest. You're causing yourself great consternation. No need for the anxiety.
Retired CSRS on 12/19/2012 @ age 57 w/39 years | Good Bye Tension, Hello Pension !!!

Yooper16
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Re: Another TSP issue...

Post by Yooper16 » Sat Oct 19, 2019 8:40 am

Jerry55 wrote:
Fri Oct 18, 2019 10:23 pm
Moving at the Speed of Government ! They'll get it done.

I change mine every few years, depending on what child torques me off enough to do it, and it's usually my son. (2 daughters are fine)
He's OK now, so, I changed it back to 33/33/34. As long as I mailed it in and they received it, I'm good to go. I've changed it maybe 3 times
in the last 10 years, but I think I'll leave it alone now.

If you're planning on dying within the next 30 days, give it a rest. You're causing yourself great consternation. No need for the anxiety.
Was thinking more about this as I responsed to a post by Luigi and his pension.

While there are people who have had issues with SS, OPM, TSP etc in arranging the financial aspects of pre and post retirement--- it seems that the fed agency does a decent job of what they do.

Most reasoned people would agree that SS has a modestly large client base-- yet the general consensus is that they do a decent and ultimately accurate job and when an error occurs they are competent in getting it corrected.

Maybe still using PEOPLE and PAPER is not such a bad idea.

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SquawkIdent
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Re: Another TSP issue...

Post by SquawkIdent » Sat Oct 19, 2019 9:01 am

Jerry55 wrote:
Fri Oct 18, 2019 10:23 pm
Moving at the Speed of Government ! They'll get it done.

I change mine every few years, depending on what child torques me off enough to do it, and it's usually my son. (2 daughters are fine)
He's OK now, so, I changed it back to 33/33/34. As long as I mailed it in and they received it, I'm good to go. I've changed it maybe 3 times
in the last 10 years, but I think I'll leave it alone now.

If you're planning on dying within the next 30 days, give it a rest. You're causing yourself great consternation. No need for the anxiety.
Sorry, but I laughed out loud at that middle paragraph. I guess there are other people who think like me... :oops:

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SquawkIdent
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Re: Another TSP issue...

Post by SquawkIdent » Sat Oct 19, 2019 9:03 am

Update...so after being told on Thursday it would take the 2-3 weeks from receiving the paperwork to get this put into my account, I go into my account today and it shows the change. :oops: :sharebeer

Yooper16
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Re: Another TSP issue...

Post by Yooper16 » Sat Oct 19, 2019 9:33 am

When I worked for a luxury retailer, in the Jewelry salon with designer products(Yurman, Lagos, south sea pearls, platinum pieces etc), when an item was sent for repair/restoration/resize etc we always added a few days onto what we could reasonably expect to be the time table for that service.
Or we would make certain that they knew the item was being sent certified/insured and could take a tad longer. Either way, the customer was always pleasantly surprised when the item came back earlier than expected.

In the public contact, service providing arena--- it is often better to "underpromise and overachieve".

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