How much do you plan to have in your TSP by the time you retire/withdraw?

ENS Private RallyPoint Member — Tue, 09 Aug 2016 01:28:33 -0400

How much do you plan to have in your TSP by the time you can withdraw? Is it more or less than you wanted/expected? If you could, would you change how you contributed?

Response by SPC(P) Private RallyPoint Member made Aug 9 at 2016 2:10 AM

SPC(P) Private RallyPoint Member — Tue, 09 Aug 2016 02:10:32 -0400

It's so hard to think about withdrawing money from it! I've built such sentimental value to it haha, but I know one day that will change. Enough to support me... If I'm well within my means, shoot I'll spend like a mad man!

Response by SPC(P) Private RallyPoint Member made Aug 9 at 2016 2:11 AM

SPC(P) Private RallyPoint Member — Tue, 09 Aug 2016 02:11:02 -0400

You only have one life!!

Response by SFC Private RallyPoint Member made Aug 9 at 2016 8:08 AM

SFC Private RallyPoint Member — Tue, 09 Aug 2016 08:08:17 -0400

$25000 sounds like a good amount to me lol

Response by CW5 Private RallyPoint Member made Aug 9 at 2016 8:58 AM

CW5 Private RallyPoint Member — Tue, 09 Aug 2016 08:58:28 -0400

I stopped contributing at 50k once I realized that the TSP (before the IRA) wasn't the best option for me. Its now worth about 80k now and the money I that would have been in the TSP had I not stopped contributions has a consistent 18% return (mutual funds, even through 2008) and doubled in my single stock investments (which of course is volatile and could go to nothing in a heartbeat).

Response by 2LT Private RallyPoint Member made Aug 9 at 2016 2:32 PM

2LT Private RallyPoint Member — Tue, 09 Aug 2016 14:32:55 -0400

$6.03 million. 18000 per year contributions for 24 years, after military retirement at 46, 5500 per year. Let it sit until 66. Assume 7% historical interest rate of total market. Hopefully the same for my fiance. It is also important to remember there are different TSP funds that you should change depending on your outside investments. Also, when you retire, you can sweep the money into another investment vehicle: IRA, 401K ect. sweeping into a traditional IRA is especially useful if you make more than the 200K/year when you get out (that is the limit for being allowed roth IRA). Also, remember that while you are deployed, the yearly limit becomes 54k instead of 18k. IF you make more than 250k when you get out you should consider tax exempt investments like index Universal life insurance in your children's names. That's my 2 cents.

Response by MAJ Raúl Rovira made Feb 6 at 2017 1:37 PM

MAJ Raúl Rovira — Mon, 06 Feb 2017 13:37:52 -0500

When the TSP came about in the Army all they offered was the Traditional. Since I had a Roth IRA with USAA at the time, which I was maxing, I only contributed to the TSP 10% for the 10 years.

I can always look back and say "could have" or "should have". I should have stopped contributing to the Traditional TSP an open a Roth TSP and max it out.

If I was to do it again, only Roth TSP and max it out.