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Hi, I retired at age 58. I withdrew $60,000 and they gave me $42,000 That was 30 percent. I have spent it. I didn't roll it over. Of that $6,000 extra I believe I have lost $1,200 in earnings from that extra $6,000. I told tsp that I thought I could withdraw my money without the ira 10 percent penalty by taking it before 59 1/2. They said I was wrong. Can you explain what happened to me perhaps?

How does TSP determine the funds (e.g., Fund F, Fund S) from which the transfer will be drawn? Thank you!

With a mix of stocks reits, cef, etf. That can avarage 9% return on dividens with out loosing the Nav. You could basicaly make twice that if draw down your nav over time. Or prserve it to pass on to survivors. Annuity no way! I'm making $800 a month now in dividens 150,000 invested.

within the year I turn 55? I turn 55 in December, but wait four months into the next year to retire. Is this rule meant while I'm the age of 55 with 30 years? Or does it mean I only have a couple weeks to withdraw my tsp?

Wyman Mountain

Good points, Brad.

Good video. Thank you!

Great video. Thank you.

Legros Viaduct

Help! Im a fed set to retire FERS on 12/28/24. Selling back 440 hrs leave but need that check into next tax year. But congress kicked Govt funding CR to 12/20/24 and must act again or govt shutdown threat (could happen who knows). If govt shuts down, OPM stops processing retirements, is it possible my retirement gets pushed involuntary to 2025 and then i may lose my 208 use/lose leave hrs due to not being able to retire end of this year? If threat is real, should i move retirement date to end of Nov24 instead? Not an issue but messes with IRMAA rules because 2024 tax income year is the 2 year look back year they will look at for Medicare payments when i turn 65 (in 2 yrs). I dont want more income this year so maxing out TSP for remainder of 2024 with entire paychecks. OPM retire papwrk enter next week. ... will post election fiasco shut govt down and delay my retirement processing??

Also, what’s the benefit of keeping of the TSP account? Thanks

Thanks for the info, you didn't mention anything about withdrawing money from an IRA after age 59.5. Is it possible to withdraw money from an IRA when needed? ?

Trying to rollover to fidelity. I added the institution waited seven days and went through the distribution. After submitting, I get a message to contact tsp and the process could not be done on line.

Thanks Brad. The most frustrating thing about the TSP is that inability to withdrawal from specific funds. Does this interfere with retirees Rule of 55 because you move funds to an IRA having to wait until 59 1/2? Do you have to wait to 59 1/2 to withdrawal from the IRA you transferred funds? Thanks!

Where on the LES i can see my overtime that Ive earned?

Taxes are low right now, so I'm investing in Roth TSP (not maxing) Roth IRA (maxing) and funding a brokerage account (bridge account).

1. This video is talking about "Tax Diversification". These are NOT "instruments" (instruments are specific financial investment). 2. Generally the decision to "Roth" or not is mostly a factor of the present tax rate (including fees, IRMAA, etc.). 3. Generally, as people progress in careers their income (hence their tax bracket) goes up, making "Traditional" a more cost effective option. Roths are usually more effective when earlier in your career (i.e. earning less income). 4. Roth IRAs can also have beneficial estate planning aspects. Remember: "Money Doesn't Grow on Fees".

Instead of maxing out your TSP, you could open a Roth IRA and put $7k or $8k in a year. That way you can invest in whatever you want with using the expensive TSP "window". It would also give you more flexibility investing and withdrawals. Of course, do this after you've reached your 5% matching.

We elected to do the SBP when my husband retired from the military. He is now getting ready to retire from the government and must elect for SBP. Can you recieve both if you pay into both?

Guillermo Harbors

You said you can't do anything with your TSP until 30 days after you retire. I am planning to separate and postpone my FERS pension until I am 60 (3 yrs). Can I move funds out of my TSP after I separate or do I have to wait until I am drawing my FERS pension?

Sir , can I contact you for a specific question ? Thanks a lot

Can you retire at age 50 with 10 or 14 years in service (military buy back included)? And About how much would that be ??? 🙏

With all new career it's now 5%. They changed it about 10 years ago

I worked with a guy who was strictly G fund. I tried to educate him on how he was losing money due to inflation, but he said all the other funds were just gambling.

Before you move money out of TSP to IRA review you states tax rules. In my state once moved any gain thereafter becomes taxable. Then there are rules on the gain. Must keep proof of distributions and amend 1099R because it is not fully taxable! How many paid tax because 1099R is wrong? The source informed me my responsibility to amend 1099R.

This is a great idea. I'll just need 21 months of income until Soc Sec kicks in. Thanks!

First thing you should do is change of custodian from tsp to Schwab or fidelity. Leave some in tsp to keep it open. So now you can control how you access the money and not pro raga and Roth or regular. And maybe do some Roth conversions. None of which you can do in tsp.

I’ve heard it called the Window’s Tax Trap. Definitely a concern if you have a large amount of pretax money and get RMDs. Maybe Qualified Charitable Distributions if the person is inclined to help offset?

Man, Fidelity kicks butt with their low fees! I'm going to have to look at them closer.

2017 accord hybrid

Your videos are incredibly helpful Thanks so much! I am looking for the additional articles you mentioned...

So helpful. Thank you!!

So glad I found this. Thank you! Do you have any videos or recommendations on how to address Medicare decisions for retired federal employees? I am turning 65 later this year. Thank you!

What the -icky is yup tsp you suck

Moving from a saving mindset to a spending mindset is extremely difficult for some of us. Thanks for the commentary.

I have retired as a fed employee. I feel i should roll my tsp over into a new ira. Is there any advantage to keeping some money in TSP instead of closing it out?

Any suggestions on inter fund transfers with recent market tanking?

Brad, good info as always. Thanks!

Yes! 1) Switch to Roth IRA at least five years before retirement. 2) Pay off debt before the five year before retirement. 3) four years before retirement consider all investment strategies available to you and your situation (single or married) As for me, I am opting to take the minimum amount from my TSP because 1) I do not have longevity genes in my family and 2) I was going to file for SS at 62 but I decided to use my TSP as a offset until my Full Retirement Age of 67. I am still debating this as I would rather collect the SS and leave my TSP to my beneficiaries.

Hey Brad....if you keep making videos on TH-cam, you eventually will have 1 million subs and hundreds of thousands of views. I know this because you speak words of wisdom.... Period

Hi, you didn't talk about the IRA 5 year rule. It's a significant factor when converting TSP to an IRA account.

How do I change my tsp funds to Roth & keep the funds in tsp?

Over paid

Isn’t it the TSP Social Security and Federal Tetirement that’s the three part

I'm currently a contractor working for the government. I just got an intent to hire letter this week. I'm just trying to find out the difference in what my Net pay will be if I switch over. I always hear the complaints of government workers that they don't get paid enough. Watching this video, if their Net pay looks like that then I can see why smh. This persons LES says he makes $112K a year but his Net pay for 2 weeks is showing $1.3K for every 2 weeks (ouch!). Which sums up to roughly around $31.2K for the year that the person received. So a few questions: 1. What's todays current TSP matching rate? TSP is basically a 401K right? 2. How can you calculate how much you would get from the FERS retirement when it's time to retire? 3. What's allotment? 4. I see the GS pay scale everywhere, where can I find a NH pay scale?

First thing you do if 59.5 move your money out, rollover. Example Fidelity no fees on 4 funds the same as C, S, I TSP funds. Other fees lower. TSP not a good deal anymore

Hello sir. Thank you for your service. Question. I am a federal firefighter that qualifies for LEO retirement. I put in 21 years in the fire service and was reassigned due to medical condition, into a police dispatching job that does not qualify for LEO retirement. I was 46 years old when I was removed from the fire department and I am looking to retire at the end of this year at the age of 50. Do I still get all the benefits of the LEO retirement system. Just was looking for your insight thank you for any help.

I am about to retire at 62 from federal service. I have my TSP in 4 life stage funds. Would leave the in life stage fund or move to of the other funds?

The date in 2025 I have chosen to retire - Sept 26- is the first Friday in PP 21. If I wait until the next Friday, the end of the pay period, it is a new month ..Oct 3. Any thoughts or suggestions would be greatly appreciated !