Return to the TSP Fund

Managing your TSP and alternate investment options after retirement or separation from service.

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crondanet5
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Joined: Tue Aug 19, 2008 8:51 pm

Return to the TSP Fund

Post by crondanet5 »

While I plan to roll my TSP account balance into a self-directed 401k brokerage account after retiring so I can really make as many monthly IFTs as I want with it, the thought came to me that what if for some strange reason it would be better to be in the TSP again? Can I do it? Can I return "to the fold" after I have pulled my money out? Purely speculation about a "security blanket" type of thinking, but for planning purposes can one "re-activate" their empty TSP account if they so desired?

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TSPking
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Post by TSPking »

Once retired, I don't think you can make further contributions to your TSP account...
TSPking

It's a gift...and a curse ~ Adrian Monk

crondanet5
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re-deposit to my TSP?

Post by crondanet5 »

Is it possible to re-deposit the same value of money you withdrew at retirement back into your TSP account once you've retired? Or is it a once-and-for-all-time decision? Admiited it;s conjecture, but I like to know which doors are open to me and all TSP account holders.

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jeffvan1
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Post by jeffvan1 »

re: Is it possible to re-deposit the same value of money you withdrew at retirement back into your TSP account??

I really don't understand the question. If you want to remain vested in the TSP after retirement then only roll over a portion 60-80%, whatever, to a self-directed IRA. If you decide to work again you are allowed to make contributions to the IRA. The TSP, once you retire from federal service, thats it. No more contributions.

crondanet5
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Post by crondanet5 »

Good thing I don't have a doctorate or even I wouldn't understand the question. So let's go back to the lab and restate it. Okay. I have a hundred thousand in the TSP. I retire and roll it out of the TSP. Sometime later, say 3 years, I decide it would be wise to put the original hundred thousand dollars I rolled out of the TSP back into my now dormant TSP account. Call it a medical seven month time out, or a trip to Mars. Maybe a backpack through the Smoky Mountains or the best use of a wine cellar I can think of. The question, restated, is can I put the original amount I took out of the TSP back into the TSP to let it sit there, say, in the G Fund, while I am otherwise distracted?

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jeffvan1
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Post by jeffvan1 »

Nope! Once is out, its out.

ronnygbrow
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Re: Return to the TSP Fund

Post by ronnygbrow »

I am coming in late here, but perhaps with some information not yet considered. I have questioned TSP by phone on the same matter, and was told that since my balances are all zeroes--I took it all out 18 months ago, about 6 months after I retired--I can not put money back in. I was also told at the same time that, if I return to work and get some money back into the account that way, then I can put an undetermined amount back in the TSP. My impression is that undetermined means all of it. I did not ask.

Why would I want to get my money back into TSP, you ask. I live in North Carolina, a state where the Bailey Settlement makes my federal retirement income not subject to state income tax. However, I learned very recently that when I took my investment from the TSP and put it into a private IRA, it became taxable to the state. The very reputable bank's Certified Financial Planner failed to mention this to me before i rolled the money out and over. More drama is about to ensue.

I can not find any language in OPM or TSP brochures that warned me about this. I can not find anything anywhere that should have raised a flag about this to me. I have asked my congressman to question both TSP and OPM to determine for sure that I can not put the money back in TSP, and to try to see that other persons in my situation are warned about state taxes when they consider withdrawal of funds from the TSP.

My strong advice is to leave a few hundred in the TSP, just in case you ever want back in to the program.

crondanet5
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Joined: Tue Aug 19, 2008 8:51 pm

Re: Return to the TSP Fund

Post by crondanet5 »

What did you do with the money? What kind of account? How are the returns? Would you have rather you left it in the TSP progra than put it in something else?

jdeacon
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Joined: Fri Mar 05, 2010 4:38 pm

Re: Return to the TSP Fund

Post by jdeacon »

I worked for 8 years in the private sector before coming back to the federal government as an employee. I rolled over two sizable 401Ks into the TSP when I came back (retired military). It would not have mattered if these 401Ks had previously been in a TSP (they were not). It is my understanding that IRAs can also be rolled over to a TSP if you are a active USG employee who is TSP eligible.

TSPKip
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Re: Return to the TSP Fund

Post by TSPKip »

jdeacon: You are correct. See PDF : https://www.tsp.gov/PDF/formspubs/tsp-60.pdf
Seek Wisdom where it can be found.

jdeacon
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Re: Return to the TSP Fund

Post by jdeacon »

So--to sumarize, if one retires from the civil service and keeps at least a small amount of your retirement savings in the TSP, you can later roll IRAs or 401Ks back into the TSP. If you completely close your TSP upon retirement, you no longer have that option unless you return to the government workforce. Such makes a very strong arguement for keeping at least a small amount in your TSP so that you have future flexibility!

jdeacon
Posts: 136
Joined: Fri Mar 05, 2010 4:38 pm

Re: Return to the TSP Fund

Post by jdeacon »

One further point: While you cannot make contributions to your TSP once you retire from the government, you can continue to contribute to an IRA. This IRA can later be rolled over to your TSP if you kept your TSP open with even a minimal balance.

crondanet5
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Joined: Tue Aug 19, 2008 8:51 pm

Re: Return to the TSP Fund

Post by crondanet5 »

Hey folks, we're getting off track here. I did not come to laud the TSP Program, I came asking for a better Program in retirement. Anybody got one that for starters allows more than 2 IFTs a month?

cmauricer
Posts: 1
Joined: Sat Feb 05, 2011 7:48 pm

Re: Return to the TSP Fund

Post by cmauricer »

IT WAS MY UNDERSTANDING, WHEN I RETIRED IN JUN 2000, THAT WHEN U RETIRED U COULD NOT
MAKE ANY CONTRIBUTIONS TO UR ACCOUNT. U COULD LEAVE THE MONIES IN THE FUND AND MAKE IFT'S
ADJUSTMENTS. IF U CLOSED.ROLLED OVER TO AN IRA (SELF DIRECTED) THERE WAS NO COMING BACK.

U COULD START A NEW ACCOUNT IF U ARE RE-EMPLOYED CIVIL SERVICE.

THAT'S IT......FOLKS..

crondanet5
Posts: 4330
Joined: Tue Aug 19, 2008 8:51 pm

Re: Return to the TSP Fund

Post by crondanet5 »

Correct. But if you leave it in, you can make it grow. That's the beauty of the Fantasy Game: everybody starts with $100,000 and gets to see what they can do with it. I don't know about you, but I am impressed with the leaders by account balance. They are my inspiration.

Now if you rolled it out into a rollover 401k, you can still make it grow by using some ETFs that parallel the TSP Funds.

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Fund Prices2024-03-27

FundPriceDayYTD
G $18.14 0.01% 1.00%
F $19.09 0.26% -0.68%
C $82.11 0.87% 10.42%
S $82.19 1.48% 6.61%
I $42.68 0.56% 6.21%
L2065 $16.38 0.84% 8.36%
L2060 $16.38 0.84% 8.36%
L2055 $16.39 0.84% 8.36%
L2050 $32.73 0.71% 6.94%
L2045 $14.91 0.67% 6.56%
L2040 $54.37 0.63% 6.20%
L2035 $14.34 0.58% 5.77%
L2030 $47.66 0.53% 5.35%
L2025 $13.14 0.31% 3.40%
Linc $25.60 0.24% 2.79%

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Pending Allocations

Under development. For now, you may view Pending Allocations by going to "fantasy TSP" and selecting "Leaderboard sort" of "Pending Allocations".