Just wanted to say hello from So Cal. Just a Fed employee with 2 yrs in. Started late at 38. Spent a few yrs in county governments. Tempted to roll over my 457s into TSP to Maximize compounding as opposed to rolling over to some other IRA's. Any input or knowledge would be appreciated. Just trying to maximize for me and my family.
Thanks
Hello from So Cal
Moderator: Aitrus
-
crondanet5
- Posts: 4330
- Joined: Tue Aug 19, 2008 8:51 pm
Re: Hello from So Cal
Rolling over your 457s depends upon what and how you can invest them. Remember that the TSP Program only allows 2 IFTs into Funds other than the F Fund. Do your 457s allow you to enter and exit the market as you decide? Do they offer a wide array of investing opportunities or just a few funds that yield poor returns? Are they big enough in amounts to make investments that are meaningful or are they limited in size so the advances are meager? As you continue your federal service your TSP Account Balance will probably outgrow the balances in your 457 and you may decide even then to roll them into the TSP. It is a matter of meaningful balances and plan offerings IMHO.
Re: Hello from So Cal
I rolled a retirement account from a part time job, (TIAA-CREF) into the TSP last November...had no issues. The balance was only $14K but there was no trouble with the transfer process to TSP.
Re: Hello from So Cal
Welcome to the forum js10211018
Agree with crondanet5...you need to evaluate the options you have in the 457s vs TSP and your ability to manage each. Good Luck!
Agree with crondanet5...you need to evaluate the options you have in the 457s vs TSP and your ability to manage each. Good Luck!
Re: Hello from So Cal
js10211018 wrote:Just wanted to say hello from So Cal. Just a Fed employee with 2 yrs in. Started late at 38. Spent a few yrs in county governments. Tempted to roll over my 457s into TSP to Maximize compounding as opposed to rolling over to some other IRA's. Any input or knowledge would be appreciated. Just trying to maximize for me and my family.
Thanks
js10211018;
No, don’t touch it. As long as this is a government 457 b with acceptable ER’s, and you are not required to move it (are you?), leave it where it is.
The beauty of a 457 b is, after leaving the job, you can withdraw money penalty free at any age (still have to pay applicable taxes of course). That could make it a real nice place to keep your 6-9 month emergency fund, rainy-day fund or whatever, depending on how much money you have in it. With that said, check with your plan to make sure that is accurate.
What do you mean by “maximize compounding”?
Re: Hello from So Cal
Welcome to the board socal.
Re: Hello from So Cal
You won't maximize compounding just by combining separate balances, assuming they are all invested in similar stocks with similar returns and fees. In that case, the compounding won't change at all.
But if your 457 has higher fees or does not return as much as the TSP funds, then yes, you can increase compounding by going all-in at the TSP.
But if your 457 has higher fees or does not return as much as the TSP funds, then yes, you can increase compounding by going all-in at the TSP.
Owner/creator of TSPcalc.com - "Know your numbers"
Fund Prices2024-04-17
| Fund | Price | Day | YTD |
| G | $18.19 | 0.01% | 1.25% |
| F | $18.68 | 0.50% | -2.85% |
| C | $78.62 | -0.58% | 5.72% |
| S | $76.27 | -0.89% | -1.07% |
| I | $40.66 | -0.17% | 1.19% |
| L2065 | $15.60 | -0.47% | 3.17% |
| L2060 | $15.60 | -0.47% | 3.18% |
| L2055 | $15.60 | -0.47% | 3.18% |
| L2050 | $31.39 | -0.35% | 2.57% |
| L2045 | $14.34 | -0.33% | 2.47% |
| L2040 | $52.43 | -0.31% | 2.41% |
| L2035 | $13.87 | -0.28% | 2.31% |
| L2030 | $46.25 | -0.25% | 2.24% |
| L2025 | $12.93 | -0.12% | 1.78% |
| Linc | $25.29 | -0.09% | 1.55% |