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Thread: TSP Catch Up - Messed Up My Annual Contribution

  1. Default TSP Catch Up - Messed Up My Annual Contribution

    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?


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  3. #2

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    Default Re: TSP Catch Up - Messed Up My Annual Contribution

    Quote Originally Posted by rogressem View Post
    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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  5. #3

    Default Re: TSP Catch Up - Messed Up My Annual Contribution

    I change my TSP contributions often and I've been able to change them for the current pay period up until noon ET on the Wednesday before the end of the pay period.

    I spoke with a TSP rep earlier this year and he said that Catch Up contributions are still valid even if you don't contribute $17,500 for the year.

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  7. Default Re: TSP Catch Up - Messed Up My Annual Contribution

    Thanks for the responses thus far. I just missed the cutoff to adjust my contributions for the last pay period of 2014. Adjustments today, are effective for the pay period starting 14 Dec (first paycheck for 2015 on 2 Jan).

    I'll also call TSP tomorrow and report back what they tell me.

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  9. #5

    Join Date
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    Default Re: TSP Catch Up - Messed Up My Annual Contribution

    I have had both things happen to me. One year I didn't calculate right, and ended up not covering my basic. I also had been contributing to the catchup. Nothing happened. My basic went thru as I asked, and my catchup went thru as well. No issues.

    Another year, I overspent my basic contribution (I did not do a catchup that year). My basic automatically was cut back to the limit on the last paycheck. Only thing here that you have to watch is if it is reduced too much, it may reduce your gov matching funds!

    In your case, I would expect (based on my past experience) that your basic will stay $168 below the 17.5, and all of your catchup funds will stay credited. Let us know if that is not the case.

    Good luck...and welcome to the boards!

    PS: You might want to use that extra $168 to buy some shiny new silver TSP rounds!!
    Last edited by uscfanhawaii; 11-30-2014 at 01:41 PM. Reason: add PS
    There are 10 types of people in the world. Those who know binary, and those that don't!!
    Retired on December 31, 2018!!

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  11. #6

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    Default Re: TSP Catch Up - Messed Up My Annual Contribution

    Quote Originally Posted by uscfanhawaii View Post
    I have had both things happen to me. One year I didn't calculate right, and ended up not covering my basic. I also had been contributing to the catchup. Nothing happened. My basic went thru as I asked, and my catchup went thru as well. No issues.

    Another year, I overspent my basic contribution (I did not do a catchup that year). My basic automatically was cut back to the limit on the last paycheck. Only thing here that you have to watch is if it is reduced too much, it may reduce your gov matching funds!

    In your case, I would expect (based on my past experience) that your basic will stay $168 below the 17.5, and all of your catchup funds will stay credited. Let us know if that is not the case.

    Good luck...and welcome to the boards!

    PS: You might want to use that extra $168 to buy some shiny new silver TSP rounds!!
    Hey hey USC, thanks for sharing your experiences both ways. That is worth a bookmark for longterm reference for others who find themselves on the horns of wondering how much they might have messed up at year end, and whether its fixable or even needs to be fixed.

    I hadn't come this close to thinking I'd screwed up at year end til now myself. the tsp website is not all that clear on what happens in these situations, so I gave my best understanding of what it says and doesn't say. but real life experience with the subject all the way through into following fiscal year beats all theory hands down.
    "life can only be understood backwards, but it must be lived forwards" - soren kierkegaard

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