clester
Well-known member
Researching the Fedeal Times web site Q and A's I found these little nuggets.
TSP withdrawals and Rule 72t
Question: Concerning options for withdrawing payments from a TSP account, will TSP allow the retiree to select equal monthly withdrawals based on either the amortization and annuity equations which generate a greater monthly payment and still avoid the 10 percent early withdrawal penalty? This would mean that TSP meets the criteria of a Rule 72t plan as established by the IRS.
Answer: The 72t rules apply to the TSP.
This means the amoritization rule can be used leaving your money in TSP.
I gues you'd make your own calculation and request specific dollar amount per month. COOL!
TSP withdrawals and Rule 72t
Question: Concerning options for withdrawing payments from a TSP account, will TSP allow the retiree to select equal monthly withdrawals based on either the amortization and annuity equations which generate a greater monthly payment and still avoid the 10 percent early withdrawal penalty? This would mean that TSP meets the criteria of a Rule 72t plan as established by the IRS.
Answer: The 72t rules apply to the TSP.
This means the amoritization rule can be used leaving your money in TSP.
I gues you'd make your own calculation and request specific dollar amount per month. COOL!