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What Exactly is the TSP?


If you've joined the military, you've probably heard about the Thrift Savings Plan (TSP) but do you know what it is and how it can help you prepare for retirement? ⋯ Find & follow me Newsletter ː Instagram ː Twitter ː LinkedIn ː ⋯ Listen to my podcast Military Money Show ː Check out my blog The Military Money Expert® ː ⋯ My videos are intended for education and entertainment. I do not give investment advice. ⋯ Lacey Langford, AFC®, is a financial coach, writer, and speaker who changes people’s mindset from being fearful of money to having control and confidence with it. Money + military is her jam. She’s the founder of LaceyLangford.com, a personal finance blog and coaching practice specializing in the unique world of the U.S. military. She’s been featured in Good Morning America, Market Watch, and U.S. News and World Report. Lacey’s the creator and host of The Military Money Show, a podcast dedicated to helping the military community make, save, and invest money wisely. Besides being a financial coach, Lacey teaches other financial professionals to build a portable and profitable coaching business through her Financial Coaching Business Builder course. Lacey’s an Accredited Financial Counselor® with over 15 years of financial planning, counseling, and coaching experience. She likes long walks on the beach, cross stitch, and opera. Just kidding. She loves reality TV, chili-cheese Fritos, and laughing. #TSP #thriftsavingsplan...(read more)



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What the Heck is the TSP? If you've heard the term "TSP" being thrown around but have no clue what it actually means, don't worry, you're not alone. The TSP, or Thrift Savings Plan, is a retirement savings and investment plan available to federal employees and members of the uniformed services. It was first established in 1986 and has since become one of the most popular retirement plans in the United States. The TSP operates similarly to a 401(k) plan that is commonly offered by private sector employers. It allows participants to save for retirement through regular contributions deducted from their pre-tax income. These contributions are then invested in various funds within the TSP, which are designed to grow over time. Participants can also choose between different asset allocation strategies, such as investing in low-risk government bonds or higher-risk stocks. One of the main advantages of the TSP is its low fees. The administrative expenses associated with managing the plan are kept to a minimum, meaning participants can benefit from greater investment returns. Additionally, the TSP offers several investment options, including lifecycle funds that automatically shift investments to a more conservative approach as participants near retirement. Another notable feature of the TSP is the employer matching contribution. For federal employees, the government matches up to 5% of the employee's contributions, making it an attractive incentive for saving. This matching contribution is a significant benefit that can greatly enhance an individual's retirement savings. Furthermore, the TSP offers flexibility in terms of accessing the funds. Participants can choose to withdraw their money as a lump sum, periodic payments, annuity payments, or a combination of these options. However, certain rules and tax implications apply to each withdrawal method, so it's important to educate oneself about the consequences before making any decisions. While the TSP is primarily designed for federal employees, it may also be available to other individuals in specific circumstances, such as former federal employees or members of the uniformed services who have separated from service. However, eligibility criteria may vary, so it is essential to check with the appropriate authorities to determine eligibility. In summary, the TSP is a retirement saving and investment plan that provides federal employees and members of the uniformed services with an opportunity to build a secure financial future. Its advantages include low fees, employer matching contributions, and flexibility in accessing funds. Anyone eligible for participation in the TSP should seriously consider taking advantage of this beneficial retirement plan. https://inflationprotection.org/what-exactly-is-the-tsp/?feed_id=130047&_unique_id=64e5234fa9e79 #Inflation #Retirement #GoldIRA #Wealth #Investing #cfund #gfund #ifund #LFund #laceylangford #military #militarymoney #militarymoneypodcast #militarymoneyshow #militaryretirement #militaryretirementpay #militaryretirementplanning #Militaryfinance #money #rothtsp #Sfund #savemoney #themilitarymoneyexpert #ThriftSavings #thriftsavingsplan #thriftsavingsplanretirement #tsp #tsphelp #tspstrategy #ThriftSavingsPlan #cfund #gfund #ifund #LFund #laceylangford #military #militarymoney #militarymoneypodcast #militarymoneyshow #militaryretirement #militaryretirementpay #militaryretirementplanning #Militaryfinance #money #rothtsp #Sfund #savemoney #themilitarymoneyexpert #ThriftSavings #thriftsavingsplan #thriftsavingsplanretirement #tsp #tsphelp #tspstrategy

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