The Internal Revenue Service announced the cost-of-living adjustments affecting 2026 TSP contribution limits — as well as dollar limitations for traditional and Roth IRAs and other retirement-related items…
Thrift Savings Plan (TSP)
Your TSP Didn’t Know You Left: What Federal Employees Need to Review After a Separation
More than 322,000 federal employees separated from service in 2025 — many well before they’d planned to — early retirements and RIFs. That kind of shift can quietly throw your TSP out of sync, because your TSP is built around one number: the year you expected to start withdrawals. It doesn’t know about your pension, your spouse’s income, or the years of runway you may actually have. Learn what “separated” really means for your TSP, why loss aversion can push people toward decisions that don’t fit their actual timeline, and the specific things worth reviewing now — your L Fund target date, your income bridge, and whether a Traditional-to-Roth conversion makes sense in a lower-income year.
TSP Week in Review: August 31 – Sept. 4, 2026
It was a winning week for most Thrift Savings Plan funds, with one core fund pulling well ahead of the pack while another finished in the red. Federal Reserve rate speculation and Friday’s jobs report kept investors on edge all week. See the full fund-by-fund breakdown, including every Lifecycle Fund, in this week’s TSP Week in Review.
Roth TSP In-Plan Conversions and the Five-Year Rule: Avoiding Tax and Penalty Surprises
After a TSP participant performs a Roth TSP in-plan conversion, two separate five-year rules apply to withdrawals from their Roth TSP balance — and they’re easy to confuse. One determines whether accrued earnings can be withdrawn tax-free; the other determines whether the converted amount is subject to a 10 percent early withdrawal penalty. Participants age 59.5 or older whose Roth TSP account is at least five years old satisfy both rules and can withdraw tax-free and penalty-free. Ed Zurndorfer explains each rule with worked examples so you know where you stand.
TSP Week in Review: August 24-28, 2026
Small caps led the week’s losses as the S Fund gave back 1.32%, while the C Fund bucked the trend with a 0.50% gain. See the full fund-by-fund breakdown.
Roth TSP In-Plan Conversions: What They Mean for Your Taxes
Roth in-plan conversions let Thrift Saving Plan participants move money from their traditional (before-tax) balance into their Roth (after-tax) balance at any time, provided they meet eligibility requirements. But converting isn’t tax-free — the amount converted counts as taxable income in the year of conversion, and since there’s no automatic withholding, participants may need to make estimated tax payments to avoid a penalty. Ed Zurndorfer outlines who’s eligible, how much can be converted, the “leave-behind” rule, and what federal and state tax liabilities to expect.
TSP Week in Review: August 17-21, 2026
Stocks had a rough five days in TSP accounts last week. One core fund took the week’s biggest hit, another barely moved, and Friday brought a bit of a save. Get the full fund-by-fund breakdown
TSP Week in Review: August 10-14, 2026
The TSP’s stock funds had a strong week, with two funds in particular pulling ahead of the pack as cooler-than-expected inflation data fueled another leg of the summer rally. One fund stayed nearly flat, and another dipped slightly as bond yields ticked up.
Roth Conversions & Your TSP: The Window is Still Open
Two things changed recently that make Roth conversions worth a second look: tax rates are now locked in, and as of January 2026, you can convert traditional TSP funds to Roth directly inside your TSP account — no rollover needed. This piece covers who benefits most from converting (hint: often those in a lower-income window before RMDs kick in), the rules and limits on in-plan conversions, and the tax-payment mistakes to avoid since the TSP can’t withhold taxes for you.
The Real Cost of Your TSP RMD (and How to Reduce It)
Your Thrift Savings Plan required minimum distributions can do more than raise your tax bill — it can push up Medicare premiums and make more of your Social Security taxable. Here’s what the rules actually say, and how to plan ahead.