09/01/2017 - (This article first appeared in the Sept-Oct 2017 issue of the American Postal Worker magazine)
By Legislative & Political Director Judy Beard
The 2017 Congress introduced legislation to improve the Thrift Savings Program (TSP). It addresses shortcomings in the withdrawal rules which have not been changed since 1986. The current rule allows for active postal employees, upon reaching age 59 ½, to make only one withdrawal from their TSP account. Similarly, retirees can only partially withdraw from their TSP a single time. This inflexibility often leads retirees to fully withdraw their money and move it into private investment plans which have pricier maintenance fees.