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OBGibby
10-18-2009, 08:06 AM
From the TSP website:

Elective Deferral Limit (I.R.C. Section 402(g)) The elective deferral limit for 2010 and 2009 is $16,500. See the Fact Sheet "Annual Limit on Elective Deferrals (http://www.tsp.gov/forms/oc91-13.pdf)."

hessian
10-19-2009, 07:07 PM
From the TSP website:

Elective Deferral Limit (I.R.C. Section 402(g)) The elective deferral limit for 2010 and 2009 is $16,500. See the Fact Sheet "Annual Limit on Elective Deferrals (http://www.tsp.gov/forms/oc91-13.pdf)."
Hey OBG,
I was wondering if you/anyone heard what TSP/congress decided for the over-50-crowd - I'd heard some rumors they were considering not doing the over-50 "catch-up" provision for 2010. You/anyone read/seen anything on this??

Frixxxx
10-19-2009, 07:12 PM
Hey OBG,
I was wondering if you/anyone heard what TSP/congress decided for the over-50-crowd - I'd heard some rumors they were considering not doing the over-50 "catch-up" provision for 2010. You/anyone read/seen anything on this??
8 years of my Federal service was active duty military...I wish I could do catchup for this period....that's $40000 of free catchup!:cool:

hessian
10-19-2009, 07:52 PM
Hey Frixxxx,
Just FYI, last year the "catch-up" limit was an extra $5,500 (for the year).
VR

Frixxxx
10-19-2009, 08:01 PM
Hey Frixxxx,
Just FYI, last year the "catch-up" limit was an extra $5,500 (for the year).
VR
Yreah, I wish I could take advantage of catchups for those years and then I'd be 50....ready for some more CATCHUP!:nuts:

peterson82
10-20-2009, 10:31 AM
This is probably obvious, but is the 16,500 a combination of one's own contribution and matching, or just the contribution?

Frixxxx
10-20-2009, 01:42 PM
This is probably obvious, but is the 16,500 a combination of one's own contribution and matching, or just the contribution?
Salary: $60,000
Uncle Sam 5%: $3,000
Your limit: $16,500
total: $19,500

BUT DON"T GET 16,500 until after Uncle Sam gives you his 5%...he has a nasty way of stopping contributions.

ALSO..Remember this~It is your BASE PAY Calculation....If you make 48,000 BASE and 12,000 Locality....it's 5% of 48,000:suspicious:

OBGibby
10-20-2009, 02:23 PM
Hey OBG,
I was wondering if you/anyone heard what TSP/congress decided for the over-50-crowd - I'd heard some rumors they were considering not doing the over-50 "catch-up" provision for 2010. You/anyone read/seen anything on this??

From the TPS website:

Catch-Up Contributions The limit on catch-up contributions for 2010 and 2009 is $5,500. If you are at least age 50 (or will become age 50 during the calendar year) and if you have made or will make the maximum amount of employee contributions for the calendar year (e.g., $16,500 in 2010), you may also make catch-up contributions to your TSP account. See the Fact Sheet "Catch-Up Contributions (http://www.tsp.gov/forms/oc03-03.pdf)."

turbo23dog
10-20-2009, 02:46 PM
So if you are over 50 and want to contribute the maximum allowed in 2010, you would want to contribute across 26 pay periods:

Regular Contributions: $634.62/payday (= $16,500/26)
Catch up Contributon: $211.54/payday (= $5,500/26)
Total per pay day: $846.16/payday

You'd want to have the the first withholding scheduled to start on the first pay period of Calendar Year 2010 which is 03 Jan 2010 thru 16 Jan 2010.

You have to share total limit on contributions ($16,500 and catch up of $5,500) with any other contributions you are making into other retirement accounts outside of the TSP.

hessian
10-20-2009, 06:41 PM
First, thanks OGB, for the quote from TSP website on the "catchup" contributions.
For turbo, it is best to spread the regular contibutions over the year (usually 26 pp) - in order to get the full matching!
The "catchup" contributions can be allocated over only a few number of payperiods, anytime in the year - as long as you don't go over your paycheck's net, and you make the regular contributions limit. Life's unexpected turns could make the later difficult if you did this early in a year, and didn't make the regular contribution limit. Hope this helps. ;)


So if you are over 50 and want to contribute the maximum allowed in 2010, you would want to contribute across 26 pay periods:

Regular Contributions: $634.62/payday (= $16,500/26)
Catch up Contributon: $211.54/payday (= $5,500/26)
Total per pay day: $846.16/payday

You'd want to have the the first withholding scheduled to start on the first pay period of Calendar Year 2010 which is 03 Jan 2010 thru 16 Jan 2010.

You have to share total limit on contributions ($16,500 and catch up of $5,500) with any other contributions you are making into other retirement accounts outside of the TSP.