TSP and Social Security
Federal employees that are a part of the Federal Employees Retirement System (FERS) are eligible for both Social Security and for Thrift Savings Plan (TSP) employer matching – therefor these employees have quite a number of things to think about as they prepare for retirement.
Weekly Newsletter -THE TSP
Weekly Newsletter: TSP Weekly Newsletter: Imagine you had the opportunity to accumulate a half million dollars or more towards your retirement future and you passed it up. Who doesn’t dream of winning a lottery and suddenly having all the money you will ever need and more to take care of yourself and your family. So […]
Thrift Savings Plan (TSP) and Taxes
Traditional excess deferrals to your TSP.gov account must be reported on the employee’s individual tax return as taxable income for the year in which excess deferrals were made.
What are the Contribution Limits for TSP
If an employee has made excess TSP contributions, those funds can be returned by completing Form TSP-44-Request for Return of Excess Employee Contributions. Eligible participants must complete the Form TSP-44 and send it to the TSP for processing. As soon as the TSP receives your TSP-44, your excess deferrals and earning will be returned to you.
Matching Contributions: TSP
The TSP matching is achieved dollar-for-dollar on the first 3% of basic pay and 50 cents on-the-dollar for the remaining 2% of the basic pay earnings.
Elective Deferrals and TSP
Tax deferred contribution payments to traditional TSP and Roth after-tax contributions to the TSP are classified as elective deferrals.
