Re: TSP Catch Up - Messed Up My Annual Contribution
Originally Posted by
rogressem
I just realized this morning that I'm going to miss my $17,500 max contribution by $168 (don't know how I messed that up, or why I didn't check before it was too late to adjust it).
Does anybody know what happens to all the TSP Catch Up contributions I've made? Any chance that TSP will "fix" this for me automatically and take something out of my last catch up contribution to get me to $17,500?
Hi and welcome! OK, here's what I understand from what the tsp website says about such problems....You have to submit formal paperwork request to tsp to refund the "excess" catchup contributions, no later than April of 2015. They maintain a firewall between the 2 contribution categories, so they won't roll a spare $168 from the catchup category to the normal contribution category. As I understand the rules. You'd do well to go on the tsp website and read for yourself to verify. As I read it, they may or may not give you back the catchup money, but even if they don't give it back, it WILL get counted as part of your taxable pay. Ugh.
OTH, there is one more pp remaining in the tsp year (for me its pp 24) where you can up your main tsp contribution by $168 to get the full 17500 contributed. If you do it right away. It's whatever pp you have going for you, where you'll get the pay in your actual bank account by the end of December. for me, pp 24 lands in my bank account 2 weeks after the pp ends. pp 24 ends on Dec 14, the money lands in my bank account on Dec 28 (actually a couple days earlier that week, due to direct deposit). calls for careful navigation of the calendar, but it may still be possible for you. good luck either way.
ps, I just discovered I had almost the same problem, only I was putting in excess contribution to main tsp by about $68 if I didn't fix it. So I went in and changed my contribution amount and dropped it by that much, for pp 24. If it doesn't go through and excess ends up in tsp, I'll have to mess with asking for it back. ugh. but I think I made the request in time. the agency website where I change my tsp contributions is set up so that I can't make the change for the pp if its too far into the pp for NFC to get the info in a timely manner before the paycheck goes out.
"life can only be understood backwards, but it must be lived forwards" - soren kierkegaard
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