27 paychecks? 27 TSP contributions? 2014, 2015, or 2016?

[valleymd]

I am currently contributing $673 per paycheck for 2014. My 26th payday is 19 December. Generally, the TSP contribution is on Thursday, so that should be contributed on 18 December. This will bring my annual contribution to $17498.

Here's what I don't know though, and I'm wondering if I'm going to miss out on employee matching because I contributed too much in 2014. There is a payday on January 2, 2015, but TSP contribution is scheduled to be contributed on January 1st, 2015 (a holiday). However, in the past, contributions schedulded to be deposited on holidays are deposited a day early. In this case, will it be deposited on 31 December 2014? Will this be my 27th contribution in 2014, and will it cause me to accidentally contribute $18171 (well over the limit of $17500) in the 2014 pay year?

And what about 2015 or 2016, maybe one of those are the 27 TSP contributions year? Either way, I need to know. And I don't know where to find out.

HELP!

 

[Cactus]

First off, they won't let you contribute more than $17,500 for 2014. Your contributions stop at that amount as soon as you get there. As for when we get the 27 paycheck year, I just posted a notice on that on this thread: http://www.tsptalk.com/mb/retirement-ira-talk/21346-2015-contribution-limits.html#post480796

It looks like our paydays line up so that would indicate 2015 is also the 27 payday year for you. The one caveat is the TSP contribution being a day early. I haven't run into that. Do they actually pay the money a day before you get payed? I didn't think that happened.

 

[valleymd]

Contributions to my TSP are almost always made at the close of business on the Thursday before I get paid. I can view my account Friday morning, and the transaction has already occurred 99% of the time.

 

[Cactus]

You can check with the agency that handles your allocation payment, but I think that what counts is the date that is on your Leave & Earning Statement. That is what is going to be reported to the IRS for the tax year. Mine are listed as the Friday date. I think the last holiday on a payday Friday was July 4. Let me check on that one.

 

[Cactus]

Yeah, I got paid on July 3 instead of the 4th. Now, I have no idea when the TSP allocation was actually made and I doubt the IRS does either. I think everyone goes by your payday and the calendar year. That is why BEST, my agency, made the correction for 27 paydays in 2015. You can send off a quick email or phone call to your agency to be sure.

 

[uscfanhawaii]

Cactus....Nice that your pay agency sent you an email letting you know about the 27 PP in 2015! (see your referenced thread) Mine is not nearly so proactive. But I believe most (if not all) feds on a bi-weekly pay status will have 27 PP in 2015. Mine is. And I have already changed it to $667.

 

[valleymd]

Ok, thanks for the info, I'm on board now with 27 paydays and $667 bi-weekly contributions for 2015.
I'm also thinking that the TSP contribution is reported to the IRS as the same date reported on the LES, which would be January 2, 2015.

 

[travelingman]

I believe pay period 24( payday Dec,22) of 2014, which is next pp, is the last pp to contribute TSP money for 2014.

Pay period 25 starts us back at zero, for 2015.....:blink:

 

[not_too_shabby]

So, definitely 27 pay periods in 2015?

I adjusted my 2015 TSP pay period contributions at the end of October to reflect the IRA increase to $18000 per year. I now want to adjust it again to reflect the additional pay period but for some reason there is no option to change the contribution amount on my NFC EPP TSP self service request page. There is a contact number to call Indianapolis but no one answers?

 

[alevin]

So, definitely 27 pay periods in 2015?

I adjusted my 2015 TSP pay period contributions at the end of October to reflect the IRA increase to $18000 per year. I now want to adjust it again to reflect the additional pay period but for some reason there is no option to change the contribution amount on my NFC EPP TSP self service request page. There is a contact number to call Indianapolis but no one answers?

you wont be able to change it until after the current change goes into effect for the 1st pp. so you'll have to wait to revise and will have to recalc to make the change apply for pp 2 through pp 27. just like I have to do too.