We Really Are Different!
Federal employees have a lot to consider when weighing their retirement options. One important factor is how their Thrift Savings Plan (TSP) will work. Federal Employee Benefit Coordinators LLC is here to help! The help we offer is from the perspective of YOU, the Federal employee. Federal Employee Benefit Coordinators LLC has retired Federal folks with experience in your benefits and are trained to help you make the best choices for your retirement planning needs! Visit our website today to learn more about our retirement benefits!
What is the TSP?
TSP is brand new! The new TSP is a retirement savings and investment plan that offers Federal employees the same type of savings and tax benefits that many private sector employees enjoy with 401(k) plans, including the brand new Mutual Fund options. Employees can choose to contribute a percentage of their pay, up to the legal limit, to the TSP. The amount of the contribution is deducted from their pay before taxes are withheld. This reduces an employee’s current taxable income. The money in their TSP account grows tax-deferred until it is withdrawn at retirement.
Once You Retire
At retirement, FERS employees can choose to receive their benefits in several different ways. If you retire from federal service, you can choose to receive your TSP account balance as a lump-sum payment or as an annuity. An annuity is a series of equal payments over a period of time. You can choose to have your annuity payments paid over a single life or joint life (with a survivor benefit). You can also choose to have your annuity payments paid over a fixed period of time, such as five, ten, or 20 years.
FERS
The Federal Employees Retirement System (FERS) is a three-tiered retirement system consisting of a basic benefit plan, Social Security, and the Thrift Savings Plan (TSP). All three of these are government annuities you qualify for as FERS. Employees who are eligible for the Federal Employees Retirement System (FERS) are automatically enrolled in the TSP. Federal Employee Benefit Coordinators LLC can help you determine which option is best for you based on your individual situation. We are here to help you make the most of your retirement savings and ensure that you are prepared for a comfortable retirement! Learn from a FERS retiree here on our team who has been through the FERS retirement process.
If you have questions about how the TSP works or what options are available to you when you retire, Federal Employee Benefit Coordinators LLC can help. We are here to help you make the best decisions about your retirement benefits so that you can enjoy a comfortable retirement. Contact us today to learn more about how we can help you.
