2024年8月13日 · Roth TSP. With Roth TSP, your contributions go into the TSP after tax withholding. That means you pay taxes on your contributions at your current income tax rate. The advantage of the Roth TSP is that you won’t pay taxes later when you take out your contributions and any qualified earnings.

2024年7月15日 · The Roth Thrift Savings Plan (TSP) is the U.S. government's version of a Roth 401(k) and is funded through payroll deductions. Roth IRAs and Roth TSPs have different rules regarding...

information about types of IRAs, limits, and rules. You can also refer to IRS Publication 590, Individual Retirement Arrangements (IRAs). You can move money from a traditional IRA into your TSP account. But you cannot move money from a Roth IRA into your TSP account. There are two ways to move your traditional IRA money into your TSP account:

The TSP ROTH is not subjected to income limitations for participants. You can contribute to the TSP ROTH even if you are a high-income earner without a phase out qualifications. However, the ROTH IRA is subject to income limitations.

2024年8月20日 · With some planning, a TSP participant can reduce his or her traditional TSP balance by requesting tax-free direct rollovers of portions of their traditional TSP account to a tradition IRA and then converting these “rollover” traditional IRAs to Roth IRAs.

2024年6月24日 · Whether a beneficiary requests a direct payment of their inherited TSP account or has the inherited TSP directly rolled over to an “inherited” IRA, full income taxes must be paid on traditional TSP withdrawals while no income taxes are due on Roth TSP withdrawals.

2025年1月28日 · With Roth IRAs — together with Roth TSP accounts — federal employees can save for their future retirement in a tax-free way. Any Roth accounts remaining at their deaths can be passed on to family members tax-free. However, high-earning federal employees who may be limited or even barred from contributing to a Roth IRA. Ed Zurndorfer reveals opportunities …

2024年11月27日 · Is a Roth IRA better for retirement or a Roth TSP? A Roth IRA is a good retirement savings option if you want to be able to make tax-free withdrawals later. However, a Roth TSP allows you to contribute a larger amount of money each year and your employer can also make matching contributions on your behalf.

2024年8月27日 · Roth TSP: to withdraw earnings tax-free, the account must be held for at least five years, and the account holder must be at least 59 ½, disabled, or deceased. Roth IRA: contributions can be withdrawn at any time without taxes or penalties. For tax-free earnings withdrawals, the account must meet the same requirements as Roth TSP. As you can ...

2022年6月30日 · A Roth TSP and Roth IRA both offer the advantage of tax-free income in retirement. They’re also flexible because you can withdraw your contributions anytime without penalty. A Roth TSP offers higher contribution limits and employer contributions. For most people who have access to a Roth TSP, it may be a better choice than a Roth IRA.