TSP Millionaires

[uscfanhawaii]

A very interesting thing about the stats in this article is that only about 10% of all the participants (at any age) have a balance > $250,000.
I would hazard a guess that a good portion of that 10% are members of TSPtalk!

So, Tom, why not run one of your 'informal polls' asking people to check off what their TSP balance is? I would suggest a simplified grouping. Say, <$250K, $250-500K, $500K-1MM, and >$1MM. I bet that TSPtalk stats will show much greater than 10% over $250K. Waddya think?! :beerchug: :feedback:

I know it is a very unscientific poll.....but so far it says that TSPtalkers have 46% over $250K, versus the overall TSP having only 10% over $250K! That is a very sizeable difference!

Way to go TSPtalkers! And way to go, Tom, for your site bringing us all together and share our info! :grouphug: :friday:

 

[fisherhouse]

the no matching tsp funds for military is a pretty tough sell for the civilian population. military enjoys a range of tax free and subsidized benefits like housing allowances, can retire with an annuity for life after 20 years, free lifetime tri-care, and with veteran's hiring preferences can go on to serve in the civilian federal service and put in another twenty years or more while earning the 5% match and another annuity. a horse apiece if you ask me.

Starting in 2018 for the Air Force active duty you will have a blended retirement system which includes gov't matching. Your pension benefit will be calculated at 2% per year vs 2.5%. There are a few other tweak, but that's the most significant.

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[Cactus]

The thing I don't like about all these stats is that they don't normalize them to something like years of service. Someone starting out in life with less than 5 years of service is going to have less in there than someone who only has 5 years to go until retirement.

 

[Boghie]

Starting in 2018 for the Air Force active duty you will have a blended retirement system which includes gov't matching. Your pension benefit will be calculated at 2% per year vs 2.5%. There are a few other tweak, but that's the most significant.

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That is a very, very good deal... Your TSP (if you contribute and stay away from the G Fund) will dwarf your pension, but your pension will be about double a civilians. It is a very good deal.

 

[berline]

That is a very, very good deal... Your TSP (if you contribute and stay away from the G Fund) will dwarf your pension, but your pension will be about double a civilians. It is a very good deal.

Good deal? It's horrible? $0% after 20 years instead of the now, 50%. They're only matching up to 5%. That would average, for an enlisted guy:
Years 1-5: $1,250/Yr
Years 6-10: $1,750/Yr
Years 11-15: $2,250/Yr
Years 16-20: $2,750/Yr

That's only $40k over your 20 year career that they've contributed on your behalf...I need that to double 4 times over again to be better than the extra 10% retirement for the rest of my life.

40% @ 20Yrs: 24k
50% @ 20Yrs: 30k

That extra $6k/Yr comes out to a quarter mil provided I can live another 40 years after retirement.

Man, our retirement is so embarrassing when you lay it out on paper. $30k/Yr after serving for 20 years...

 

[Frixxxx]

Man, our retirement is so embarrassing when you lay it out on paper. $30k/Yr after serving for 20 years...

Um, to pay you that much money for the rest of your life is like an employer dropping $1.2 Million into an annuity to pay you for 40 years.....NAME ONE COMPANY THAT DOES THAT!

The new blended system is for the government to reduce THEIR liability and put it in the service person's hand...and most of them won't even retire so, those peanuts will be even more valuable when they run to civilian life.

 

[fisherhouse]

I'll gladly take $30K/yr at 20 years. I'll be 38 years young and should be able to start another career to supplement the money Uncle Sam pays me to keep breathing.

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[PessOptimist]

Starting in 2018 for the Air Force active duty you will have a blended retirement system which includes gov't matching. Your pension benefit will be calculated at 2% per year vs 2.5%. There are a few other tweak, but that's the most significant.

Sent from my SCH-I535 using Tapatalk

Good deal? It's horrible? $0% after 20 years instead of the now, 50%. They're only matching up to 5%. That would average, for an enlisted guy:
Years 1-5: $1,250/Yr
Years 6-10: $1,750/Yr
Years 11-15: $2,250/Yr
Years 16-20: $2,750/Yr

That's only $40k over your 20 year career that they've contributed on your behalf...I need that to double 4 times over again to be better than the extra 10% retirement for the rest of my life.

40% @ 20Yrs: 24k
50% @ 20Yrs: 30k

That extra $6k/Yr comes out to a quarter mil provided I can live another 40 years after retirement.

Man, our retirement is so embarrassing when you lay it out on paper. $30k/Yr after serving for 20 years...

I really have no dog in this hunt as I retired in 1996 under the 2.5% per year x base pay system. “fisherhouse” says your pension will be calculated at 2.0% per year. I assume times base pay. “berline” says that equals 0% after 20 years?

Listen up Airmen, Soldiers, Marines, Seamen get your **** together before you speak. Do not try to cause panic in the rank and file. Sedition and/or spreading a false statement is still an offense under UCMJ.

I suspect that some things haven’t changed much since 1996. One of them being the most vocal not having all the facts because they were too busy being on committees and getting ready to look good for the chain of command meetings.

I am no UCMJ expert but the most useful were the punitive articles during my career. 77-134. False statements to spread false information is in there.

Perhaps berline cannot do simple multiplication? Perhaps berline needs to talk to the SgtMa or someone else in the chain of command.

“berline” if you think it sucks so bad, get out. Do the Corp a favor.

PO

 

[burrocrat]

my best shot at a retirement annuity score is 1.0% per year of civilian service (1.1% per year after 20 years of civilian service) times the average high-three years of salary. given when i started and where i will likely finish, that is going to be about 30% of my final salary or about $30,000 each year in retirement. add to that social security (if it is still around, still the same benefit, and still worth bread and eggs and milk), and my tsp (which i plan on hitting mofoing home runs with every year for the next 15 at least), then it becomes clear i will need some backup plans.

current backup plans include: hitting the lottery, getting better at internet poker and it becoming legal, and/or finding me a sugar mama.

also, any of you are welcome to come over to my place and share my alpo, anytime.

 

[PessOptimist]

my best shot at a retirement annuity score is 1.0% per year of civilian service (1.1% per year after 20 years of civilian service) times the average high-three years of salary. given when i started and where i will likely finish, that is going to be about 30% of my final salary or about $30,000 each year in retirement. add to that social security (if it is still around, still the same benefit, and still worth bread and eggs and milk), and my tsp (which i plan on hitting mofoing home runs with every year for the next 15 at least), then it becomes clear i will need some backup plans.

current backup plans include: hitting the lottery, getting better at internet poker and it becoming legal, and/or finding me a sugar mama.

also, any of you are welcome to come over to my place and share my alpo, anytime.

1.1% with 20 years and 62 yo Donkey. 1.0% x high three if under 62. Since you seem obsessed with things younger men think about you must be under 62. Keep in mind the saying "if you don't mind, it don't matter. Try not to mind. It is more trouble than it is worth. Best of luck to you.

PO

 

[burrocrat]

my problem so far seems to be that the girls i like aren't sugar mama's and the girls that are sugar mama's don't like me.

but i am working on that part. and you are right about it being a lot of trouble, either way.

 

[berline]

I really have no dog in this hunt as I retired in 1996 under the 2.5% per year x base pay system. “fisherhouse” says your pension will be calculated at 2.0% per year. I assume times base pay. “berline” says that equals 0% after 20 years?

Listen up Airmen, Soldiers, Marines, Seamen get your **** together before you speak. Do not try to cause panic in the rank and file. Sedition and/or spreading a false statement is still an offense under UCMJ.

I suspect that some things haven’t changed much since 1996. One of them being the most vocal not having all the facts because they were too busy being on committees and getting ready to look good for the chain of command meetings.

I am no UCMJ expert but the most useful were the punitive articles during my career. 77-134. False statements to spread false information is in there.

Perhaps berline cannot do simple multiplication? Perhaps berline needs to talk to the SgtMa or someone else in the chain of command.

“berline” if you think it sucks so bad, get out. Do the Corp a favor.

PO

WTF are you talking about?...sounds like you need to get your **** together. My point, that you seem to have missed, is that the roughly $40k the USG would contribute on your behalf over 20 years, is not worth the reduced 2% a year.

2% a year works out to be 40% for a 20 year career(2.5% is the current 50% pension after 20 years)...hence the numbers I posted.

Apology accepted, and you can keep your smart ass comments to yourself...UCMJ...get outta here! Thanks

 

[burrocrat]

WTF are you talking about?...sounds like you need to get your **** together. My point, that you seem to have missed, is that the roughly $40k the USG would contribute on your behalf over 20 years, is not worth the reduced 2% a year.

2% a year works out to be 40% for a 20 year career(2.5% is the current 50% pension after 20 years)...hence the numbers I posted.

Apology accepted, and you can keep your smart ass comments to yourself...UCMJ...get outta here! Thanks

well good luck with that problem with authority streak you have, best wishes for a nice career.

 

[PessOptimist]

Good deal? It's horrible? $0% after 20 years instead of the now, 50%. They're only matching up to 5%. That would average, for an enlisted guy:
Man, our retirement is so embarrassing when you lay it out on paper. $30k/Yr after serving for 20 years...

You stated as quoted "$0% after 20 years instead of the now, 50%" Is that true?. That is false information,

It is interesting to me that the UCMJ means nothing to someone representing themselves as an active duty Marine. Your "0%" statement is now part of your permanent internet record.

Peace berline, I have no desire to start a war with anyone. If you really are active duty in the USMC you need to be careful about what you say as the Marines you are mentoring will believe what you say. You are mentoring juniors every time you speak. Just my ancient humble opinion as a retired lifer.

PO

 

[berline]

You stated as quoted "$0% after 20 years instead of the now, 50%" Is that true?. That is false information,

It is interesting to me that the UCMJ means nothing to someone representing themselves as an active duty Marine. Your "0%" statement is now part of your permanent internet record.

Peace berline, I have no desire to start a war with anyone. If you really are active duty in the USMC you need to be careful about what you say as the Marines you are mentoring will believe what you say. You are mentoring juniors every time you speak. Just my ancient humble opinion as a retired lifer.

PO

Peace in deed! The "$0%" from the original post was meant to read "40%". "40% after 20 years instead of the now, 50%."
That should have been clear from the summary
40% @ 20Yrs: 24k
50% @ 20Yrs: 30k

My typo.

 

[userque]

I haven't looked anything up, but for the record; I suspect the language would require a "...knowing false statement..." and such statements might have to be official in nature.

 

[k0nkuzh0n]

Good deal? It's horrible? $0% after 20 years instead of the now, 50%. They're only matching up to 5%. That would average, for an enlisted guy:
Years 1-5: $1,250/Yr
Years 6-10: $1,750/Yr
Years 11-15: $2,250/Yr
Years 16-20: $2,750/Yr

That's only $40k over your 20 year career that they've contributed on your behalf...I need that to double 4 times over again to be better than the extra 10% retirement for the rest of my life.

40% @ 20Yrs: 24k
50% @ 20Yrs: 30k

That extra $6k/Yr comes out to a quarter mil provided I can live another 40 years after retirement.

Man, our retirement is so embarrassing when you lay it out on paper. $30k/Yr after serving for 20 years...

berline, how much do you guys get if you leave with less than 20 years? Less than 5% a year?

 

[berline]

berline, how much do you guys get if you leave with less than 20 years? Less than 5% a year?

Currently, serving less than 20 is a handshake on the way out and don't let the door hit you in the ass. So, for the guys that do less than 20, the 5% matching is a good deal.

 

[k0nkuzh0n]

Which in my opinion, is a big hole in the career path of a serviceman. Having to start your retirement savings back at 0 in your 30's, is not a situation anyone wants to be in.

 

[PessOptimist]

Peace in deed! The "$0%" from the original post was meant to read "40%". "40% after 20 years instead of the now, 50%."
That should have been clear from the summary
40% @ 20Yrs: 24k
50% @ 20Yrs: 30k

My typo.

OK. Forgive me for making it a big deal.

Your $ amounts make me chuckle a bit as when i retired in 96 as an E-7 it was about $1600 per month. Cost of Living increases have made it higher since. I think it is still a good deal. Even if 2% times base pay.

PO