What's Annual Additional Limit?

[managingts]

I was trying to find the annual limit for TSP for 2018 when I saw an annual additional limit of $55,000 for 2018.

What's this? I've never heard of it before.

Thanks.

https://www.tsp.gov/PDF/bulletins/17-01.html

[DSS]

From the TSP website: https://www.tsp.gov/PlanParticipation/E ... imits.html

“An additional limit imposed on the total amount of all contributions made on behalf of an employee in a calendar year. This limit is per employer and includes employee contributions (tax-deferred, after-tax, and tax-exempt), Agency Automatic (1%) Contributions, and Matching Contributions. For 415(c) purposes, working for multiple Federal agencies or services in the same year is considered having one employer.”

[roxy13]

The way I understand it is total amount of contributions. Not many of us on here are going to fall in that category though I wish I did.

[employee/your contributions (max of $18,500) + employer contributions (max of $36,500) = $55,000]

[TopComm]

I was trying to find the annual limit for TSP for 2018 when I saw an annual additional limit of $55,000 for 2018.

What's this? I've never heard of it before.

Thanks.

https://www.tsp.gov/PDF/bulletins/17-01.html

As they indicate - this would be rare...
This would be someone contributing at a higher rate than the $712 per pay period. The highest pay for an SES in 2018 is $189,600. Agency matching would be $9,464 + employee contribution of $18,512 = $27,976.

The maximum agency contribution for the employee above is $364 per pay period.
If the employee contributed 712 for 21 pay periods to receive the maximum agency match while wanting to hit the annual contribution limit, the employee would increase to 2508 in PP 22, then contribute the entire check $7,292 for PP 23 - 26.

Code: Select all

Pay Period   Employee     Amount Toward 18500 Limit                            Agency          Total 
1                  712                712                                         364            1076
2                  712               1424                                         364            2152
3                  712               2136                                         364            3228
4                  712               2848                                         364            4304
5                  712               3560                                         364            5380
6                  712               4272                                         364            6456
7                  712               4984                                         364            7535
8                  712               5696                                         364            8608
9                  712               6408                                         364            9684
10                 712               7120                                         364           10760
11                 712               7832                                         364           11836
12                 712               8544                                         364           12912
13                 712               9256                                         364           13988
14                 712               9968                                         364           15064
15                 712              10680                                         364           16140
16                 712              11392                                         364           17216
17                 712              12104                                         364           18292
18                 712              12816                                         364           19368
19                 712              13528                                         364           20444
20                 712              14240                                         364           21520
21                 712              14952                                         364           22596
22                2508              17460                                         364           25468
23                7292              24752                                         364           33124
24                7292              Exceeded 18500                                  0           40416
25                7292              ---                                             0           47708
26                7292              ---                                             0           55000