what is the point of a TSP?
what is the point of a TSP thrift savings plan do i put like 100 dollars in it a month and get 7% back in a year or what i know its for retirement but i dont know how it works if i put 500 dollars in it every month for 20 years how much will i have in it and when can i actually receive the money in my hands
im in the army right now so does this make any difference to the plan?
- Dennis FLv 78 years agoFavorite Answer
TSP is similar to a 401k for civilian companies.
As active duty you do not get matching funds, as civilian government workers do. Your max contribution in 17% of your base pay. Interest rates will vary with with funds you choose to invest in.
It is Pre-Tax contribution, You do not pay taxes on money until it is withdrawn at retirement.
Must be at least 59.5 to start withdrawing funds.
Read and learn, educate yourself.Source(s): Retired AF SNCO
- SteveLv 78 years ago
The TSP is a great investment plan. I can't tell you how much return you'll get because you have the option of moving your money around to different funds once a month. Contact your finance office and ask them for website advice.
Read, study, learn.