Military Rollover Provision in TSP for Tax-Free Combat Pay: All you need to know about Thrift Savings Plan and theSITREP.

In this episode of theSITREP, Paul covers rolling over your military Thrift Savings Plan into a civilian TSP or other program. Paul is joined by U.S. Air Force Veteran, Mike Jerue, who serves as the Deputy Chief Investment Officer at Thrift Savings Plan. Listen to the complete Thrift Savings Plan Podcast here: FIVE WAYS TO CONNECT WITH theSITREP (1) To sign-up for theSITREP email newsletter, visit: (2) To find theSITREP’s full video library, visit: (3) To listen to theSITREP audio podcasts, visit: (4) Search “theSITREP” on your preferred search engine (5) Email us ideas for a future episode, at: theSITREP@va.gov ADDITIONAL THRIFT SAVINGS PLAN VIDEOS What is Thrift Savings Plan Pension vs. Thrift Savings Plan Contributions with Thrift Savings Plan Thrift Savings Plan After Government Service How to Set-Up Your Thrift Savings Plan IRA & Thrift Savings Plan Contributions Thrift Savings Plan Beneficiaries Thrift Savings Plan Contributions After Service Roth vs. Traditional Thrift Savings Plan IRA vs. Thrift Savings Plan 403b vs. Thrift Savings Plan Thrift Savings Plan Rollovers Are TSP Contributions Tax Deductible 401k, 457 & 403b vs. Thrift Savings Plan TSP Maximum Contributions Individual Funds (G, F, C, S, I Fund) & TSP TSP L Funds TSP Retirement Calculators Roth vs. Traditional Withdrawals How to Change TSP Contribution Amounts Thrift Savings Plan Loans & Withdrawals Age to Withdraw TSP Thrift Savings Plan Vesting Period (RMDs) Required Minimum Distribution & TSP TSP After DoD Service TSP Company Holdings Thrift Savings Plan DoD Rollover How to Access Thrift Savings Plan Retroactive Contributions to TSP Catch-Up Contributions with TSP Changing Contributions with TSP Thrift Savings Plan Mutual Funds THRIFT SAVINGS PLAN TOPIC LINKS For TSP overview, visit: For TSP contributions, visit: For TSP L Funds, visit: For TSP investment funds, visit: For TSP rollovers, visit: For TSP holdings of companies, visit: For TSP mutual fund window, visit: For TSP annuity, visit: For TSP required minimum distribution (RMD), visit: For TSP loans, visit: For TSP hardship withdrawals, visit: For TSP death benefits, visit: #theSITREP #TSP #AnnieVA...(read more)

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LEARN MORE ABOUT: Thrift Savings Plans REVEALED: Best Investment During Inflation HOW TO INVEST IN GOLD: Gold IRA Investing HOW TO INVEST IN SILVER: Silver IRA Investing

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The TSP Military Rollover: A Wise Choice for Service Members When it comes to planning for retirement, service members must navigate a unique set of circumstances. The unpredictability of deployments, changes in duty stations, and the numerous benefits and allowances provided can make it challenging to create a stable financial plan. However, the Thrift Savings Plan (TSP) offers a valuable opportunity for military personnel to save and invest for the future, with the added advantage of tax-free contributions and the option of rolling over combat pay into the TSP. The TSP is a retirement savings plan available to federal government employees, including active-duty military members. It operates similarly to a 401(k) plan in the private sector, allowing individuals to contribute a portion of their pay into various investment funds offered by the TSP. These funds include a mix of stocks, bonds, and government securities, providing a balanced and diversified approach to retirement investing. One significant benefit of the TSP for military members is that contributions made while in a tax-exempt combat zone are entirely tax-free. This means that service members can save a significant amount of money in their TSP without owing any federal income tax on those contributions. This tax advantage can play a crucial role in boosting retirement savings for those who have served in combat zones. Additionally, the TSP allows for a rollover of combat pay directly into the plan. Rolling over combat pay into the TSP is an excellent option for service members who have the financial flexibility to do so. By rolling over their combat pay, military personnel can take advantage of the tax advantages of the TSP, enjoy potential investment growth, and secure their financial future post-military service. To initiate a combat pay rollover into the TSP, service members need to ensure they have an established TSP account. They can then work with their military finance office to designate a specific amount of combat pay they wish to contribute. The TSP will treat the designated amount as a contribution subject to the current contribution limits, allowing service members to maximize their retirement savings while minimizing their tax burden. Utilizing the TSP Military Rollover can help military personnel make the most out of their combat pay and create significant tax advantages. By contributing tax-exempt combat pay to the TSP, service members can enjoy tax-free growth on their investments and potentially accumulate a more substantial retirement fund. However, it's important to note that while contributions made with combat pay are tax-free, any earnings on those contributions will be taxed when withdrawn in retirement. Therefore, it is crucial for service members to carefully consider their financial goals and consult with a financial advisor who specializes in military benefits to determine the best approach for their individual circumstances. In conclusion, the TSP Military Rollover allows military members to make tax-free contributions from combat pay into the TSP, providing them with an opportunity to significantly boost their retirement savings. Taking advantage of this option can help service members create a secure financial future while serving their country. It is advisable for all military personnel to explore the benefits and potential tax advantages of the TSP and consult with a financial advisor to make informed decisions about their retirement planning. https://inflationprotection.org/military-rollover-provision-in-tsp-for-tax-free-combat-pay-all-you-need-to-know-about-thrift-savings-plan-and-thesitrep/?feed_id=145482&_unique_id=652993b1087c1 #Inflation #Retirement #GoldIRA #Wealth #Investing #ThriftSavingsPlan