Has anyone had issues rolling their military TSP account into a civilian TSP account? Any thoughts, tips, tricks?

2017-04-06T13:22:16-04:00

I have a small Military TSP account (though I haven't gotten a statement in a couple years) and currently work for the federal government and have a civilian TSP account. I looked into rolling my military TSP into the civilian, and it seemed like a hassle. Anyone here have thoughts on this?
Thanks.

Response by Lt Col Scott Shuttleworth made Apr 6 at 2017 2:12 PM

2017-04-06T14:12:43-04:00

It was very easy for ne when I started GS work. I called the number for TSP help and they walked me through it. They told me they could not roll all of it over. When I asked why they told me that the amount that I contributed when I was deployed could stay there in the military account or they could cut me a check. I took the latter and rolled the rest over and that was five years ago and I am very happy with where it is sitting right now.

Response by MAJ Raúl Rovira made Apr 6 at 2017 10:57 PM

2017-04-06T22:57:54-04:00

No issues or hassle at this end. My Financial Planner took care of all the paperwork and did the transfer from TSP to an IRA.

Response by CAPT Kevin B. made Apr 7 at 2017 11:53 AM

2017-04-07T11:53:16-04:00

Within the Fed side, it's a matter of filling out a form. You are free to roll it all to a commercial account when you hit 59 1/2 as well. Keep an eye out for that as there's thousands of mix/matches which will perform 2% better at the same risk. I always advise a good financial advisor/planner. It will get more problematical if the Obama era new rules for financial advisors kicks in (next month?) which places a cap on the amount small account commission. Lots of smaller account folk are being let go because the $100-200 annual commission doesn't cover the cost of services provided. It was a stupid attempt to force providers to charge the small investors the same percentage as the rich folk. Now the blinding flash of the obvious that providers won't expend $1000 while netting $100. So if you have a portfolio, you get to call Fidelity or whoever to make changes and all the other up/down lifting that used to be done for you. If you put 10% into TSP it with the matching 5% will accumulate well and will be worth it for a financial house to manage more effectively for you. Looks like you're doing Res/NG. Keep it up if you can. You'll need 3 or so "retirements" to quit later on and not notice a change in salary. Good place to be.

Response by MAJ Private RallyPoint Member made Apr 13 at 2017 2:18 PM

2017-04-13T14:18:56-04:00

No issues on my end. USAA walked me through the process and everything went through very smoothly.