How will the NEW TSP Changes Impact your Retirement Goals?
Federal Employees need to be aware of recent changes to the TSP program. Please see below for a summary of some key changes. These modifications could have a significant effect on your retirement planning!
- Many transactions will soon be processed online, including account transfers, rollovers, and loan payments. Submitting forms will become more efficient as electronic signatures will now be accepted for several types of forms.
- Participants will be allowed to invest in certain mutual funds, presenting an opportunity for investors to better align their portfolios based on their risk tolerance and financial goals.
- Participants may invest up to 25% of their TSP balance in the new mutual fund offerings, however, there is an initial investment minimum of $10,000 for those seeking to take advantage of this opportunity.
- Access to mutual fund investments does come at a cost. There is a $55 annual access fee, a $95-dollar annual service fee, and a $28.75 fee per trade. The mutual fund options themselves may also charge additional fees.
- There are also changes to the participant TSP experience, mainly in the form of an official TSP app. The app will allow for additional security measures such as facial recognition, fingerprints, and other methods to keep account information protected.
- TSP will offer live help during business hours through the mobile app and website.
Are you looking to benefit from these upcoming TSP changes and improve your portfolio? Our team of Fiduciary Financial Advisors can help answer your TSP-related questions, and help you take advantage of the new opportunities available to you!
We are PlanVest Financial, Inc – a Registered Investment Advisory firm. Advisors on the PlanVest Federal team hold the Chartered Federal Employee Benefits Consultant (ChFEBC℠) designation and are well positioned to serve former & current federal employees.
We offer no-cost, no-obligation consultations with our advisory team along with a free Federal Employee Benefits Analysis.
All the best,
The PlanVest Federal Team
Disclosure: The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. Please consult our professionals for specific information regarding your individual situation. The opinions expressed and material provided are for general information and should not be considered a solicitation for the purchase or sale of any security.
Investment Advice offered through PlanVest Financial Inc., a Registered Investment Advisor firm.