Thread: Withdrawl Help?!?!

You will havetorollit over to a regular IRA first then you can transfer it to a Roth once the money has been deposited. Keep in mind that once you transfer it to a Roth,you'll have to pay taxes on it because TSP is funded with pre-tax dollars were as a Roth is funded with after tax dollars. If you do not wish to pay taxes you can just keep it in your IRA.

CFenton 1982,

The simplest thing to do would be to leave your funds in TSP. Who knows you might end up working for Uncle in a different capacity in the future. The fees in TSP are way lower than you can find anywhere else and your account will still grow if you are an active participant. You may not be able to add funds currently, but you can surely trade if you want and make money that way. Anything you do inside a Roth IRA will cost you fees - but dividend reinvestment is a real plus if you buy individual stocks. Once you invest in the private sector you are struggling uphill constantly, everyone is willing to help for a small commission and the advice is often self motivated and not beneficial. Stay with TSP and continue to learn the ways of practical investing, all it takes is time and effort. Do a Birchtree - sit back and put your feet up and let the money and manure pile up. Take care.

Dennis

I would agree with Dennis that the TSP is a good place for your money to “sit� with a very low fee. If you are active in managing your account I would prefer a discount broker with Traditional, ROTH, or Individual account or all three linked. Plus the investment choices are endless. I would certainly weigh how actively you plan to manage your account and your success rate.

:^

Thanks for the info. Am I still eligable for allocating the funds? I read a lot of the info on this site, and would still like to swap funds throughout the TSP. Thanks Charlie.

bump

Charlie, I moved this topic to the correct thread so that you might get a better response to your question.

Good luck,

M_M

My personal belief is, and I don't know this to be true or not, but as long as one has money in a TSP account they will be able to move that money aroundamong the various funds. I would think it would be illegal for them to say "your money goes here and that's that".

Charlie -

M_M's "personal belief" about your swapping your funds around in the TSP even after you're retired is right on the money! Sometimes it takes a little "digging" around in all that info on the TSP website to find out, but if you look at page two of this booklet:

http://www.tsp.gov/forms/tspbk02.pdf

Under the section entitled "Leaving Your Money in the TSP", the booklet mentions not only about leaving the money in the TSP (until you're forced to start withdrawing at 70.5 years old); but it also clearly speaks ofshifting around yourmoney between the funds as long as you have money in there.

BTW, I also heartily agree with Dennis about hanging on to yourTSP and the lower "maintenance" fees than other investment programs... Good luck! :^

Well thanks again for the outstanding advice. I will do my best to allocate the funds accordingly while trying to obtain positive returns. I just turned 23 so well have to see how far these funds get me at 70.5 :^

You seem like you're on the right track Charlie. I wish I'd paid more attention when I was 23! I did seven years in the 80's and I don't think we had a TSP option. All I had was that crappy VEAP. Not even the GI bill. Oh well, no regrets, best thing I ever did!

Thanks for the info retiredcg!

Good luck guys,

M_M

mlk_man wrote:

You seem like you're on the right track Charlie. I wish I'd paid more attention when I was 23! I did seven years in the 80's and I don't think we had a TSP option. All I had was that crappy VEAP. Not even the GI bill. Oh well, no regrets, best thing I ever did!

Thanks for the info retiredcg!

Good luck guys,

M_M

Daddy (MM),I was just crunching the numbers on how old you are but I got lost...;-)