Military and Civil Service TSP

[dox1842]

Hey guys I havent posted in a while. I may start a GS-6 position soon and have been in the reserves for 7 years now. When I start making contributions in my civil service job will it send the contributions to my military account or will I have a separate TSP account for my civil service job?

 

[nasa1974]

Hey guys I havent posted in a while. I may start a GS-6 position soon and have been in the reserves for 7 years now. When I start making contributions in my civil service job will it send the contributions to my military account or will I have a separate TSP account for my civil service job?

You can keep both accounts separate. This link might help. https://www.tsp.gov/planparticipation/dualaccounts/identifyingAccounts.shtml
If you plan to stay in the reserves and you can afford to contribute to both that would be beneficial to you. If you plan to get out of the reserves you should be able to transfer your military TSP to your civilian TSP account.

 

[markmars]

I kept both separate after I retired from the reserves. My military TSP is not getting any more funds so I look at it to compare to my GS TSP.

You can keep both accounts separate. This link might help. https://www.tsp.gov/planparticipation/dualaccounts/identifyingAccounts.shtml
If you plan to stay in the reserves and you can afford to contribute to both that would be beneficial to you. If you plan to get out of the reserves you should be able to transfer your military TSP to your civilian TSP account.

 

[Frixxxx]

Hey guys I havent posted in a while. I may start a GS-6 position soon and have been in the reserves for 7 years now. When I start making contributions in my civil service job will it send the contributions to my military account or will I have a separate TSP account for my civil service job?

Separate....you will get a chance to log in to the new (civil service) account. When you do, it will be delineated by the password you submit.

I've been that way for 11 years now.

 

[markmars]

You will have a separate account for your civil service job. You will only have one login and be able to go to both accounts.

 

[Fran1775]

When you leave a federal service job or active duty, does your TSP go away? Do you have to convert to 401k or other retirement or can you remain in TSP and not make contributions?

 

[nasa1974]

When you leave a federal service job or active duty, does your TSP go away? Do you have to convert to 401k or other retirement or can you remain in TSP and not make contributions?

You can keep your TSP but you can't add anything to it. You can still move in between funds though. Depending on your age you might want look into moving it into a 401K then you can add to it and keep it growing.

 

[Stoplight]

You can keep your TSP but you can't add anything to it. You can still move in between funds though. Depending on your age you might want look into moving it into a 401K then you can add to it and keep it growing.

Fran,

Also keep in mind the benefit of "compounding interest" ! Depending on your personal situation, it may make sense to roll it over into whatever "retirement plan"/401(k) you have offered to you at your next "stop" in life, or to one of the available IRAs !!!

No easy answers...research all your options ! Best of luck to you !


Stoplight...

 

[markmars]

You can keep your TSP but you can't add anything to it. You can still move in between funds though. Depending on your age you might want look into moving it into a 401K then you can add to it and keep it growing.

TSP cost are very low I kept mine in the TSP.

 

[Maricar19]

Separate....you will get a chance to log in to the new (civil service) account. When you do, it will be delineated by the password you submit.

I've been that way for 11 years now.

My spouse, ex USN and retired USNR, uses same password to his military and civilian accounts. You do not have to log out to check either account. It gives you a drop down to toggle between the two accounts.

 

[Frixxxx]

My spouse, ex USN and retired USNR, uses same password to his military and civilian accounts. You do not have to log out to check either account. It gives you a drop down to toggle between the two accounts.

They changed it a while back, I have one password now. They were separate until I converted to the new way.

 

[dox1842]

Hey everyone!! Just an update... I am still in the reserves so I am now in possession of both TSP accounts. Someone I work with said that he merged his reserve tsp account and his FERS account and now just has one account. Has anyone else done this? He is still a drilling reservist too just like me. The form to do it is the TSP-65. Just curious if anyone recommends this or has already done it.

 

[sillbeer]

Thanks for posting that form number. I was just talking with a buddy about this yesterday. He retired from the reserves a couple years ago and was thinking it was a deal only when you retired. I still have a couple years till retirement on the military side but haven't contributed to it in years.

 

[sillbeer]

I printed off the TSP-65 and had it all filled out. I was reading through the instructions and it says, "SECTION II. You can only transfer an account related to employment from which you have separated. Here are your three account-combining options:
* You are separated from your Federal civilian job, but you are still a member of the uniformed services - your only option is to transfer your civilian account into your uniformed service account.
* You are separated from the uniformed services, but still a Federal civilian employee - your only option is to transfer your uniformed services account into your civilian account. * You are separated from both Federal civilian employment and the uniformed services - you can combine your accounts in any way you choose."

It sounds like you can only combine when you separate from either civil service or the military. Am I reading that wrong?

 

[burrocrat]

hey sillbeer, have you considered playing a game of poker in the tsptalk poker club you joined? there is one on tonight.

 

[sillbeer]

I may get some interest in the future but it fell off my radar for now.

 

[evilanne]

sillbeer,

It sounds like you reading the TSP-65 right. You can always call TSP to verify but it makes sense to leave them separate because you have higher contribution limits and advantage of using tax exempt pay for Roth if deployed to combat zone.