The Automatic Enrollment Percentage in the TSP is Increasing

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daheld
Posts: 527
Joined: Wed Sep 13, 2017 8:14 am

The Automatic Enrollment Percentage in the TSP is Increasing

Post by daheld » Thu Jun 13, 2019 8:26 am

https://www.fedsmith.com/2019/06/06/aut ... ncreasing/

From the article:

The Federal Retirement Thrift Investment Board (FRTIB), the agency that administers the Thrift Savings Plan (TSP), will increase the automatic enrollment percentage from 3% to 5% of pay for all participants who are automatically enrolled in the TSP on or after October 1, 2020. The Thrift Savings Plan Enhancement Act of 2009 grants us the authority for this change. This change will not affect the contribution rates in place for those participants who were enrolled in the TSP prior to October 1, 2020.

MnD
Posts: 4287
Joined: Mon Jan 14, 2008 12:41 pm

Re: The Automatic Enrollment Percentage in the TSP is Increasing

Post by MnD » Thu Jun 13, 2019 8:36 am

daheld wrote:
Thu Jun 13, 2019 8:26 am
https://www.fedsmith.com/2019/06/06/aut ... ncreasing/

From the article:

The Federal Retirement Thrift Investment Board (FRTIB), the agency that administers the Thrift Savings Plan (TSP), will increase the automatic enrollment percentage from 3% to 5% of pay for all participants who are automatically enrolled in the TSP on or after October 1, 2020. The Thrift Savings Plan Enhancement Act of 2009 grants us the authority for this change. This change will not affect the contribution rates in place for those participants who were enrolled in the TSP prior to October 1, 2020.
Great news and too bad they also won't/can't bump up people previously auto-enrolled at 3% that haven't designated any other choice.
Now auto-enrollees will not miss any matching and will be at overall 10%, which with a "1% times years" DB pension and social security ain't bad.

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