Questions about December contribution

[Buckeye]

I contribute to my uniformed services TSP account. The contributions are normally deposited on the second day of the following month. My December contribution has not yet been deposited in my account, according to tsp.gov. When it is deposited, will it (A) be retrodated to reflect the deposit before 2007, or (B) count as a 2007 contribution? If it is counted as a 2006 contribution, will I also receive any earnings according to my current fund allocation? If it is counted as a 2007 contribution, will this count toward my max contribution for 07 even though the cash was earned in 06? And finally, if the contribution is counted as 07, how will this effect my yearly income for 06? Is it still deducted from 06 earnings when it comes time to file my taxes? Any help will be greatly appreciated.

 

[Show-me]

Ewww.........you better call TSP on that one. I would say if you were paid in 06 if should count for 06. That being said when I get paid my contributions hit the same day.

ThriftLine Telephone Numbers

From the 50 States, including the District of Columbia, the Virgin Islands, Puerto Rico, Guam, American Samoa, and Canada, call the following numbers toll-free:​

Telephone:​

1-TSP-YOU-FRST (1-877-968-3778)TDD: 1-TSP-THRIFT5 (1-877-847-4385)

(for hearing-impaired participants)

International callers who cannot use the toll free number should call (404) 233-4400 (not toll free).​

 

[grandma]

My December contribution has not yet been deposited in my account, according to tsp.gov. my taxes?

Buckeye - Check to see if your pay check has been deposited. When they cut those EFT's & send them on, all your deductions go at that same time your pay goes into your bank account...insurances, union dues, taxes, etc. It can't be counted until then - which I would assume, means that if your earned 2006 pay is actually paid in 2007, your tsp would receive the same treatment.
Depending on the Agency you are with, pp 05-26 was received in 06,
06-25/26 pay received in Jan 07, so at least 07-26 willl get paid to you in 2008 - so you shouldn't have an `overrun' problem.
(this can get very confusing!! )

The folks that have been Feds `forever' should be able to verify if they have had any problems with the earned dates vs the paid dates vs the contributions.
However, as Show-me states, you need to call tsp if your pay was deposited w/o the contribution to the tsp & ask them about the rest of the deal
And, Congratulations for being able to be concerned about maxing out your contributions!!! Don't get sidetracked if you can avoid it - or you `pay' for it later!!

 

[Buckeye]

Thank you Show and grandma for trying to field my questions. I followed the instructions on tsp.gov and contacted my service first. I went to my finance office on base and talked to someone... who just happened to be in the Air Force for about seven months and barely had a clue what TSP even is, and was unable to help me. I asked to speak to the supervisor, or anyone else who could help me, but they are so undermanned, I would have probably had to wait for at least a half hour to be helped. If I had the time, I would have stayed, but I didn't. Plan B. I called TSP last night at about 1830 and 1930. Both times I was on hold for about ten minutes listening to awful music before I broke down and ended the call. I called again this morning at about 0900... same story. I will keep trying. And yes, I was paid on 29 Dec, but tsp.gov reflects the contribution deposited in my account on 03 Jan. If I am understanding you correctly, grandma, you are saying that your TSP contribution is effective the day you are paid? My contribution has never been effective on a payday, always 2-3 business days later.

 

[grandma]

And yes, I was paid on 29 Dec, but tsp.gov reflects the contribution deposited in my account on 03 Jan. If I am understanding you correctly, grandma, you are saying that your TSP contribution is effective the day you are paid? My contribution has never been effective on a payday, always 2-3 business days later.

you know what, Buckeye, I am going to have to get out my papers and re-examine those dates to verify my own statement! Thank you for the questioning! (it'll take me awhile - )
With this weekend's poor account posting at tsp, it may take awhile before they get your question addressed. How about faxing them your question..then they will see your problem is unrelated to their weekend error & maybe get right on it.

 

[MohammadXX]

I anticipated a contribution on Jan. 2 (the last one was on 12/19). Because of the day of mourning, I expected a one day delay until Jan. 3. But no contribution appears on my 1/3/07 account balance. Anyone else??

Hopefully TSP can correct promptly.

 

[FUTURESTRADER]

I anticipated a contribution on Jan. 2 (the last one was on 12/19). Because of the day of mourning, I expected a one day delay until Jan. 3. But no contribution appears on my 1/3/07 account balance. Anyone else??

Hopefully TSP can correct promptly.

same here, and no loan payment, tho both were deducted from my pay

 

[Buckeye]

I finally connected with a TSP representative. She told me that even though my contribution was added to my account on 03 Jan, it would (A)be counted as a 2006 contribution since that is when the money was earned, (B)not be counted toward my 2007 max, and (C)effect my 2006 earned income and not 2007 in any way/shape/form. She also told me that my service deposits the $$$ the same time that I get pay deposited in my bank account, but it takes TSP a "day or two" to update my account. This concerns me because that is a "day or two" that I could be potentially earning money on those contributions. I wonder what the potential LOSS associated with 5, 10, 15 or more years of these "day or two" update times have on my account. Does this happen to everyone else here also? If so, is this something we can change, or are we all tied to the whipping pole?

 

[Show-me]

Does this happen to everyone else here also? If so, is this something we can change, or are we all tied to the whipping pole?

I am glad you finally got a solid answer and no it does not happen to everyone. And IMHO, I do not think it is something that can be changed in a reasonable amount of time. TSP is massive and they pretty much do thing their way until they get enough complaints. I would still send your complaint and I would also take the time to send your concern to your Senators and Congressional Representative. That is who can get it done IMHO.

Also, this is why I send my contributions to the G fund and then make IFT from there. Unless you like the hand off approach of DCA.

Good luck and good trading.

 

[VirginiaBob]

I'm in the club of not getting my contribution yet even though it was taken out of my check.

 

[FUTURESTRADER]

my contribution and loan payment updated in balance today

 

[Show-me]

The more I think about it........in this age of technology and everyone going paperless I would think electronic deposits and transfers should be almost instantaneous, if not the same day. I would defiantly write several people (elected people) about it especially if I was serving in the military.