20 Burst results for "TSP"

"tsp" Discussed on KGO 810

KGO 810

05:26 min | 9 months ago

"tsp" Discussed on KGO 810

"I have to tell you that I do have an old fidelity IRA account and I also have a traditional and Roth account balance on that account So I didn't know if because of that broth I can open up another one with the TSP And I didn't know if that was going to be a problem later on Okay so you've got a traditional IRA you have a Roth IRA and you're a federal employee and you have a TSP Now for those who are not familiar the TSP is basically the federal employee version of their employer workplace 401k So right now you said Tom you're putting money into the traditional component of the TSP which means it's pre-tax Correct So what's happening is let's say you make a $100,000 a year You put $10,000 a year into your TSP or traditional TSP And so on your tax forms it shows that you really only made 90,000 because that 10,000 was taken out pre-tax and put over there into your traditional TSP account Now in however many years when you decide to retire you're going to have to pay tax on that money that you take out So Tom a couple things that I would need to know in order to think about whether or not that Roth 401k or TSP in this case makes sense But I'll start out with having the Roth IRA and traditional IRA already outside of the TSP doesn't impact your ability to add to a Roth 401k or in your case TSP So if your employer offers it not only can you participate in it but there are not the same income limits as there would be for traditional Roth IRA and well I'm getting confusing here because it's not a traditional It's a Roth but the normal IRA Roth contributions So you have the ability to if you happen to be a high income earner to make contributions to a Roth within your TSP that you would not otherwise be able to make in your IRA But it doesn't in and of itself interfere with your ability to do the Roth TSP Now the bigger question though is should you do it So tell me Tom a little bit more about your demographic here What your income range and how much you're putting in and how long you have until you're going to be using the money Okay My salary is it varies It's about a 140 to a 150,000 a year And I'm going to retire in about 7 to 8 years And do you need to know that fidelity balance No that really doesn't play a role because those are really completely separate In theory right Because you've already made those contributions now those accounts are just there to grow And to use in 7 or 8 years or whenever you decide that you're ready to use them most of the time people use them when they're retiring but maybe it's later than that or maybe it's before who knows So if we're talking about the TSP here you make a range of a 140 to a 150 you're gonna retire in 7 or 8 years how much are you contributing to your traditional TSP right now or traditional 401k for those who have a 401k Okay Now I contribute about 10% from my salary to the TSP Okay so that means you are adding somewhere around 14 to $15,000 a year and that is coming off of your income pre tax Are you married Yes I'm married Okay did your wife work Yes She also works for the government too Same income range as you A little bit less about a 110 110 but between the two of you you're closing in on close to $300,000 of income So you're in what I would call a high tax bracket So you are well over the average You are in a higher tax bracket type category Meaning you could use tax breaks right If you're in a high tax bracket now before retirement adding money to that traditional TSP means you're taking that money off of your tax return now You're not paying taxes on it And you're getting a deduction in fact for putting that money in Now it's already deducted off of your paycheck so you're not taking another deduction for it but you're in essence It's reducing your income So you're not paying your top tax bracket on that money that you're putting in you and your wife theoretically and hopefully she's putting in money too So in your case what the question would have to be is is there a benefit in paying the taxes now by adding some money to the Roth so that you can not pay taxes later So when you retire is your tax bracket going to be the same or higher than it is now I anticipate I think because of my pension social security and I guess the proceeds of the TSP taking that out I think we're going to be higher actually I think we're actually going to make more money in retirement than we currently do Wow That's a pretty good place to be Well yeah I guess that is at the crux of it The Roth IRA.

Tom Roth TSP
"tsp" Discussed on The Dave Ramsey Show

The Dave Ramsey Show

02:42 min | 10 months ago

"tsp" Discussed on The Dave Ramsey Show

"To be able to. You know volunteer. Take care of the family Do whatever so being have access to traditional retirement savings and use any thoughts on that roth. Ira's available to you and you have the tsp available to you were. We're currently living in in. Both of those i just didn't wanna incur. Oh yeah yeah. I see what you're saying. You need some bridge money. You need some other money outside of that. Okay yeah exactly so. Thank you for your service. By the way she got twelve years to roll and get ready. How much is in your espn roths now. Right now we have about one hundred fifty between our roth. Ira's and tsp's guy you'll be about six hundred with that plus whatever you put in the we we make about a hundred and fifty after-tax right now We also have one twenty in on. Retirement accounts Some some of that. We have set aside the by by new by new car in my two years. No and when mile give out you're still you're still going to have a million two million and a half at your current rate Plus whatever you put in. So you're you're in really good shape If you're invested in market rates of return in good mutual funds that's where your role on that. So yeah i think i think you gotta look at some low turnover mutual funds. They're called get with one of our smartvestor pros and just set up a whole side thing. That says okay. I need this amount of money. And let's say you you build six hundred k. In there and our five hundred k. In there and you want ten percent of it that's going to give fifty k. Pleasure to double military retirement. You ought to be fine. Okay and on top of that. You're gonna have another million dollars. But that's all trapped until fifty nine and a half and on top of that. You're only freaking forty two and you probably do need to go do something and make some money just just for you. How would you. Oh absolutely how would you allocate if we're saying saving fifteen percent a year would you say the I think you have a more aggressive plan than fifteen percent plan number one. Once you get the house paid for but aside from that you may wanna put soon as you get. The house prayed for you can go more than fifteen percent and i'm gonna. I'm gonna go pretty heavy over into that bridge. 'cause you're gonna have i mean you're rocking it. You're doing a great job. I'm going to head over into that bridge. low turnover. mutual phone is a mutual fund. That doesn't have what about five percent or less of the taxes are due on the gains. Because they're not selling stocks inside the mutual fund. That's what you're looking for. Low.

Ira roth espn tsp
"tsp" Discussed on GovExec Daily

GovExec Daily

08:03 min | 1 year ago

"tsp" Discussed on GovExec Daily

"Away from the us to make a geopolitical point is is a financial planner and host of the plane. You're federal benefits. Youtube channel as well as a podcast at plan. Your federal benefits dot com. He's also authored the book building wealth in the tsp your roadmap to financial freedom as as employees. He joins me now to talk about the political wrangling around the tsp. And what fed should do if anything about it. Welcome back to the show. Thank you roth here. I guess the first question that everyone who listens to our show that is involved. It's espn is wondering. Is this all this political wrangling. One does it mean for people who are invested in the dsp. Yeah and that's a great much right. I mean there's there's so much sony as as the bill all these to is this mean for the average for federal employees that where they put their money they say i think the two or issues that you mentioned the papers looking at also. You'll you're there by environment was china. We kind of break those two apart. I think that there's a different talk of okay if they're going to maybe exclude fossil fuel company. Stocks from zeta tst pension funds. There's a couple of ways that are gonna to earth. They made us take the opt outs of his esp Ucsb won't have access to the if i had to gas i'd say that's unlikely If i had to guess it can happen Right now fossil fuel cover up five or six percent of the smp Right in esp. It's a good chunk. And i guess the next lesson that you know people in. It's easier if they take the socks out is that gonna affect z. Fund that is going to grow slower. Deca fats my retirement right my money. Non-roman certain it's hard to now right. It just depends what those companies do here. The next thirty forty years. Right if i had to guess it probably wouldn't make a huge difference and there's big invested folks that agree with that. It probably won't affect you. Refer the big thing. I always look at a diversification right. That's one of the biggest thing He's done a great job. Hey we're gonna invested bunch of stuff you invest in the fund. no problem. we're to life into these great. Maybe started pulling companies asks eight the online at then you just lose used Right so he's at the end world. No i still investments. Yes he but. I think it's just kind of jumping with. Brexit wary does start getting dangerous illusion option so That i guess on the office side. And like you mentioned that china i it becomes very very quickly Right now the iphone is they are investing in hong kong. They don't actually in invest in the rest of china as as it stands today you there has been talk lots. Esp coming up with new of emerging markets which that would include the rest of china. So this sort of bill. Long deftly stopped for napping right and has come one of the it ended up people in iras case have they can invest in emerging markets act that. Dsp over that the iphone so good options not not emerging markets So i know there's a lot of thoughts those kind of thought on that so. Hopefully that some text so well thirty you mentioned diversification you know with regards to the esp. do that end good. This changed the way that feds were. Invested into or tsp. Investors who in general retirees as well changed their strategy with regards to diversification within and without the thrift savings plan. Yeah you don't have to actually see how this legislation styles. Maybe you won't go through all maybe well right. it's really. I don't know if it styles as the talked about they not be less options and essentially. It'll push more folks. Maybe when they retire whatever issue whether they have an ira that risk push out some routes or they can't have ross as it stands today though with the change i saw i said hey even with that i would stay in its kiss. Gsp still has a great job at us. Great ops the fees are really low. It's still the best you get matched you know as employees is still very very hard now these keychain into may start some people out. The watts really wind. That was dictation that you might not get in future but as it stands today. If i was a listener of edison's the continuing nasty right stay. There were five funds right. You definitely want and do your best. If things get more dramatic in an excellent you know years that may be different conversation. But as of now i would say Just keep it simple for better points for sure. Now you're not a fortune teller or you in the business of prognosticating about congress. But you know. Do you think just from your perspective as a as someone involved. Espn and an expertise in this side of things isn't likely to at our either these likely to go forward as far as the tsp shifting. It's hard to know again I think regardless of whether this specifically goes through. I think it kinda shows rex malini right as just lawmakers and as a country rights So i think for me regardless of apples to be bill that are impact now or in the future. I think that's kind of weird is is just a matter of win and we'll see. Let's say fossil fuels right. I think over time is to get smaller smaller. Just because the whole world is trying to go for more you go. I'm are they gonna ever be done. I doubt it's right. So i think over time naturally move that way. It's just a matter of legislation. Shits astor bennett. Nationally would So yeah no. I wish i could afford to guess. You know it's going to pass ross but it's hard to now is hard amount of time is spent with were plants and digging in helping them and so i don't while i do keep up with current events. You know. i doubt diagnosis. That you guys because as you know only so much actually the property In such kind of a balanced state her but also not going to work. That over may not have so many clients have they had any concerns about the stuff you know. They're they're always this right especially changes happening. I was like okay. What is this need for me right. And i think as a summary i think There's been talk for right. This is not new. I mean this happened right. So i think it's expected for all ages of the world right. He investing it's espn still a great tool built wealth for this house. Thousands of billions of federal place using it keeps sticking to the basics. Don't let kennedy smog. Sounds massive.

hong kong iphone congress Youtube two five funds china five six percent roth astor bennett Thousands of billions sony today first question eight earth rex malini one One
The Guy Who Did Everything Wrong But Still Figured it Out with David Pere

BiggerPockets Money Podcast

09:24 min | 1 year ago

The Guy Who Did Everything Wrong But Still Figured it Out with David Pere

"Paret welcome to the bigger pockets. Money podcasts. I i talk to you today. Thanks for having me on the show. Mindy scott always a pleasure. Yeah we it's always a pleasure for scott and you're just for being on the show that was that was like a comma scott calm like always a pleasure for both of you. Okay okay probably a bad use of commas. I'm big fan of the comma. Anyway david paret is a career marine corps officer and heat. I learned about the term fire from our very own got trenched and brandon turner some schmuck who hosts another one of our podcast for bigger pockets and he learned about it in the most five way. Possible on a hike in hawaii. Why were you in hawaii david. I was stationed out there. Okay okay so. I was there for business business. Let's do some air quotes around that business although as ceo. I guess it's really convenient to go out to talk to brandon hop on clay instead of just hopping on zoom. Anyway david paret. Where does your journey with money. Begin first off for those listening. I have to correct you. I listed i am. I am not fancy and i actually say that with a badge of honor because i think that actually makes for anyone listening to this who's military that actually makes this way more Powerful because. I'm just an enlisted schmuck. So everyone thank you for correcting me. Please germany correct me. I really wanna try learning all of this military suffered. I'm just wrong all the time so sorry about that. Are you an enlisted officer or just Just an enlisted marine. He's an enlisted marine. Okay now tell us your money story. Are you on board with us using the term semper fi to describe your journey absolutely. That's an accurate statement or disrespectful to the phrase semper fi. No no it's motto. It means always faithful. So oh okay. Tell somebody already david. My money story starts off in all those same places that most service members do terrible right. I joined the marine corps in two thousand and eight. I had super frugal parents. Who did all the right things. Even to envelope budgeting. They taught me all the things you're supposed to do. Bought the off brand stuff to save money. And then i joined the marine corps. It was my first real salary. I went to japan. And i was like. Oh my god. I got money and i blew it on everything i went to a on even went on a deployment tax exempt pay. I came home with seventeen thousand dollars. And i bought a truck a rifles and tattoos a bunch of alcohol and probably took some people out on dates and have nothing to show for any of so. I did Terrible things you know by the time i was. I would have been two thousand thirteen to fourteen. When i i mean i probably had an a negative net worth and somebody handed me the book. Rich dad poor dad because they were trying to get me into Amway ride in helped me sell stuff on the side. And i remember telling the guy like no joke i was just like i don't read like you know like i'm a marine. We don't read books which is not entirely true but And he pulled a cd like out of his pocket and was like wow. I've got a cd. And i know you drive a lot on recruiting duty. So plug this in. And listen to it and i listened to it originally with the intent of like well. He called my bluff final. I'll listen to the stupid book. And then within three months. I had bought a duplex and things just started. Roll like i. I listened to that book i like. Oh wow this is cool. I downloaded audible. Listen to a couple other purple library books and then i was googling. Every time i didn't understand they just go to google. And then i stumbled upon bigger pockets and then the book on rental property investing in the book on no and low money down and then like right in the same timeframe someone got really drunk and parked on top of my harley and so they totalled my harley but they didn't want to he owned a car dealership so he didn't want he didn't wanted on insurance so he just paid me cash and then i took it to the viewership and they paid me for it and so i basically got the original price. I'd put into this bike at the same time. Like looking for a duplex and use an fha loan bought a duplex lived in one half rented the other half and then things just kind of scaled from there. So at this point. You're sitting there. And you're just becoming aware of wealth-building concept in general and it doesn't two thousand fourteen. You have basically no wealthier debt at all at that point. Yes so i guess. By the time. I read this book. It was actually probably october of two thousand fifteen. I had a little bit of debt. I mean maybe maybe a few thousand in credit card debt in an auto loan. But i didn't have. I probably didn't have a thousand dollars in the checking account so i only had you know i probably only had like a negative three or four thousand five thousand dollars net worth so. It wasn't like terrible but it was definitely nothing to show for it at all. But you were contributing to your tsp right a little bit. I had done the minimum like eight to ten percent. But what i had done. And this is the There's there's different funds right. When i first joined your money went into the fund which is government backed securities which is in perspective. I've been putting eight to ten percent. Mit because someone told me to. But between two thousand eight and two thousand fifteen. I left it in a fund that essentially earned two. Maybe three percent interest never lost money but it earned two percent interest while the rest of the stock market was earning twenty thirty percent returns coming out of the two thousand and eight recession and i just ate it so i could have way more money in their if i just know where to put it or what more money in. So it wasn't until two thousand fifteen that i really cranked up and started putting twenty thirty Last year sixty percent at one point in my in my thrift savings plan. Okay so this was not a meaningful part of your position at the time when this all started right now i probably had five grand. Dsp ray how much cash did you have at the time as well. If i hadn't totalled my or had my harley totaled basically none. I was pretty much living paycheck to paycheck. How does a harley jump. Start one's cash position. I i don't really. I don't have a perspective on. This is a motorcycle worth eight. Grand is it worth fifteen twenty. Twenty-five i i have no clue. No no no not that much. I probably got probably like eighty five hundred out of totaling. It wasn't super expensive harley and it was a few years old i've probably got about eighty five hundred but i was living missouri which is super affordable and then i was able to use the fha loans. I got into this house for like four grant. I think it was thirty. Eight hundred bucks. So you're stationed in missouri and you buy a duplex and can you walk us through kind of how the housing allowance and all that kind of stuff works for those who are not familiar with military benefits just so we can get a a total picture of your position at this. Starting point. pleasant fifteen yeah. I i think in springfield. My housing allowance was like eight hundred and fifty dollars a month and the housing allowances tax exempt. So it's you don't pay any taxes but actually counts as a little bit more As far as debt to income goes towards your lender. I think it's like one point two five times. Whatever your housing allowance cost when you go to buy. But at the time i was living in an apartment and there's like five fifty a month for a two bed one bath apartment and my lease was coming up on and do so. I was able to get into this place. I bought the duplex for eighty. One thousand my mortgage was six fifteen and there was attended one side for four seventy five Market rent was like five fifty. So i was like okay. Well this could. this could work nothing else. I'm going to be paying one hundred and whatever that math is one hundred forty dollars a month out of pocket for the mortgage as opposed to the five fifty. I was paying on rent. And i probably should've used the. Va loan on that but nobody knows anything about the va. Loan and the lender actually told me not to because he told me quote unquote you can only use it once which is wrong air so much confusion around the va loan. I hope that somebody someday we'll sit down with a really great lender and talk all about the. Va loan and if they have already it would be awesome to link to that in the show notes because the va loan is only applicable to who service members veterans Some federal employees but generally just service members and veterans. Okay so that's not necessarily all of our audience. But i think it's really important to note that you can use it more than once you can use it a lot more than once. You can use it as many times as you want. There's some stipulations there. Because you have to renew the eligibility and after two or three times it gets kind of kind of convoluted but you can the first time you can use it. There's no limit on it anymore. So you can go and buy. There's a guy. I don't wanna knock on wood right now. There's a guy under contract on a triplex for one point. Six million dollars in the bay area right now that we're we're helping and he's going to basically move into this thing zero down and he's high income earner out of the military veteran and in the medical field so he's got a good day but he's gonna pay zero down get like two and a quarter two and a half percent interest on this thing and his tenants are essentially going to pay the mortgage and then he's going to be on the hook for maintenance repairs.

David Paret Paret Mindy Scott Brandon Turner Marine Corps Hawaii Schmuck David FHA Brandon Amway Scott Germany Japan
"tsp" Discussed on WMAL 630AM

WMAL 630AM

01:51 min | 1 year ago

"tsp" Discussed on WMAL 630AM

"You can look at your TSP and a completely different way like man. I wonder how many spend the TSP and guess what you may not spend all of the TSP the same way. And it's really understanding how to build that true retirement allocation that allows you to accomplish what you want. And so many times so many times when I meet people that are just trying to make it through that emotional transition to distribution. Those say things like me and I'm just a little bit. I'm certain of what I should spend. What I shouldn't or if I should go on vacation. Every year. Every other year. Two vacations air one, or whether I could buy the camper to travel the U. S or not, There's this like uncertainty or this vulnerability. Of not really knowing how to use money effectively and it changes it changes how you spend Like I could have two people side by side with the exact same expenses for quality of life in the exact same amount of assets and I could have one spend a lot more than the other just from knowing that their assets they're set up in their balanced in secure and responsibly allocated. Into to me. Step number five is understanding how to use for that very first time we progressed our way through mindset and through understanding assets and knowing how to do the pension and so security but Now, now that we know how what we want and what we have Now we have to figure out how to use it. Maybe you're in that situation. Maybe you're on the doorstep to retirement. Give me a call. I'll give out a complimentary copy of my book. Seven Steps to Retirement Success. 3018500 63 Again Get your very uncomplimentary Copy seven steps to Retirement Success, 3018500683. Well, of course, you can request your very own copy at winter Troxel dot com..

TSP
"tsp" Discussed on WMAL 630AM

WMAL 630AM

06:54 min | 1 year ago

"tsp" Discussed on WMAL 630AM

"To mark today about his situation and and we just did a scenario he has about $3000 in his Fidelity Ira's because he had moved it from a 401 K plan before, so it's just in a typical IRA at this point. And he said, You know, I've never really thought about this because I keep getting discouraged between my financial guy to say Oh, never look at an income into never looked at this and I said, Well, have you really actually drilled down on looked at it? It's kind of like looking at the second side of the story, and he says no, So hit me. Let's show me and I actually showed him that he would get at a minimum at least twice as much. As a Z A say that he could draw down example. He lets just put $100,000 into an account assume that doubled in 10 years. Okay, so now, his financial adviser, saying, OK, now you can take that down at a maximum of 4%. So that's $8000 per year. $100,000 is doubling to $200,000. Now you're taking 100 was the rest of your life, for example. Well, my illustration that I created for him. I was $100,000 put in now, 10 years from now he takes about $13,000 per here is almost done. And that's the first year and that's the first. That's the first year and increases from there five years down the road. It was $18,000. So I'm just guaranteed for life. So you gotta ask yourself. Why is his financial advisors saying that and you know we get this question every single week? Why isn't my financial advisor? Talk to me about the same strategies that you guys are promoting or talking about are sometimes people say we're advertising them, which I don't see us as advertised. But, yeah, we're you know, we're advisors but on you know it always to me. It always comes down to one simple answer, and I sometimes hesitate on giving the answer. But it's self serving. Okay, because you know, one of financial advisor has got you in mutual funds and stocks and bonds and so on. Then you know their gain Annual fees on that. So you know those fees come in from the companies that they use. I mean, I don't understand this. But advisors do get kickbacks from mutual funds and s and things like that, So they get paid that way, plus them. They charge a fee to you every single year whether you make money or you don't make money, So this was an income stream to them, and their home model is based on this income stream while our model is totally 100% opposite of that. Our model is not based on an annual income stream coming in from, you know, one of the plans that we set up we get paid One time we get paid from the companies that we set him up with. And that money does not come out of the client's deposit. Right? So you know, and you might say, Well, she's how did they do that? And they kind of you know, these companies look at us sort. I think In my opinion as advertising for them, they're not seeing them. You know, spending a lot of money, you know, doing television advertising and things like that. Instead, they pay us and they look at us as independent advisers as advertisers. So you know, we've got plans and strategies that you're not going to see from a quote unquote financial advisor or at least one that operates on a model of a fee. And, you know, utilizing stocks, bonds, mutual funds and things like that. So this is why it's so important to get a second opinion as you pointed out to get you To get your questions answered. I always say I like, you know, people kind of wince when I say this, but no one cares more about your money. Then you do OK. Your financial adviser, not us, not you care the most about it. All right, so that means that you need to have all the facts before you so that you can identify What's right for you. And typically, it's no one thing, a combination of a number of different things that is probably the best kind of, you know, Ah, eclectic overview of what you should be doing and it starts with getting educated. That's why we give away the book. That's why we do illustrations, and we provide them to you absolutely free of charge so that you can understand that there are things out there different and maybe things that are out there possibly better than what you're doing right now. It starts with a phone call. It's simple to do just leave your name your mail and your zip code will speak it that information in your hands The number to call or to text is 1866544 77 55 to get your free rat strategy savings plan call or text in your name. Email and zip code 866544775 Just call or text and your name male and 2866544. 77 55 David. Like what you said about how you That a lot of different diversification within your portfolio as you're heading towards retirement. And we call that the retirement stool which has lots of different legs that maybe you wanna have a tax three legged to that retirement. Still, maybe then you have your social security. You might be looking enoughto have a pension plan. But most people these days don't So you're able to then create your own pension plan with what you do here and now right now, so that we can help you for the future and the pension plan. You know, the kind of the thing about a pension plan is most of them kind of flat line. You and your income. Like if you had TSP as an example, I mean in D C. Obviously, there's a lot of people that have t S P s and they often recommend with TSP TSP would love you to A new It ties your TSP Right now They're going to give you a monthly stipend. Check every single month are quarter or however you choose to get it, but it's sort of flat lines really discontinued growth If you pay If you picked that option that is not a great option. No, not at all. So you want increasing income on a depreciating asset is that possible? It is, in fact, some of the accounts that we have day one. You're literally going to get a 15% or 20% bonus. The mat right out front and that actually helps contribute to your increases down the road. If you're starting with instead of $200,000, you're starting out with $240,000 Imagine what that could do for your interest credits down the road because it's kind of multiplying by the factor of you know the interest press from year to year, plus a multiplier. I could be up to 175% or even more swell supplier on that index return. In other words, if you got a 10% interest coming to you from the index that we choose, and it has 125% multiplayer on top of that, now you're getting 17.5% increase in your account, and that could be used for income later on or even for a legacy planning, So there's a lot of features a lot benefits on and that's why it's so important for you to get your questions answered. It all starts with the phone call or a text message, and we'll get Information in your hands. Give us the collar Testes at 186654 for 77 55 to get your free raft strategy Savings plan Call or text in your name. Email and zip code 8665447755 Just call or text and.

advisor TSP
"tsp" Discussed on News-Talk 1400 The Patriot

News-Talk 1400 The Patriot

06:05 min | 3 years ago

"tsp" Discussed on News-Talk 1400 The Patriot

"Condensed it in a book, that's going to help current or retired federal employees, get the most out of their benefits and learn how to avoid costly. Benefit mistakes. We've also included the bonus section for the recent Roth ESPN TSP monetization act, the Roth ESPN, remembers Natta, Roth IRA, there are some very important differences between the two that need to be understood when making the election. Now continuing on with TSP. Let's discuss the TSP seventy-five opportunity that is available to all current federal employees that are at age fifty nine and a half or older. The TSP seventy five also known as the inservice age base withdrawal allows all current federal employees that are fifty nine and a half or older to transfer their TSP bounce their own IRA. In other words, you do not have to retire to be able to take control of your funds, the use of the TSP seventy-five program does not stop the TSP. And it does not stop the agency match. The account will continue into the employee retires and the additional accumulated balance can be transferred to an IRA of the employee's choice. There will be more flexibility with this option after the TSP modernisation actors in implant implemented. Sorry in September of two thousand nineteen. Why would you consider rolling your TSB balance to an IRA at the first possible opportunity? Well, let's take a look, as I had mentioned earlier, the ESPN is great for accumulation. But when it comes time to distribution, it can be very problematic. The IRA does not have the one time, partial withdrawal, limitations like the TSP. With an IRA you can't take numerous partial withdrawals. You can also put money back in the IRA if needed you cannot do this with TSP the IRA is fully multi generational. If the beneficiaries a spouse, the funds will pass it a spouse, the spouse with no tax, the spouse can continue the current IRA or transfer it to their own IRA. They can make new contributions to the IRA, which is not possible with TSP IRA's heavy provisions that will save the contingent beneficiaries in most cases, that children tax dollars and diffuse the tax time bomb, we mentioned earlier, it's called a stretch. IRA these stretch IRA will allow the children or any non spousal beneficiary to take the IRA through a series of smaller payments over their lifetimes, instead of being forced to take full distribution like they would from a beneficiary TSP. This does not prevent the stretch IRA beneficiary from taking more money if they need to though, it gives them more control over their tax liability, the stretch IRA can skip a generation as an example. Let's say your daughter is the beneficiary of the IRA, and she decides that she wants to she wants the IRA to bypass her, and go to her grand, your granddaughter. That is possible with a stretch IRA, no possibility with TSP but possible with a stretch IRA you can actually place, a restriction on the IRA require your non spousal beneficiary to take the inheritance via the stretch thereby preventing them from receiving all the funds in one lump sum. This is what Heikal controlling it from the great, the TSP has no such provision. So let's review an example of how the stretch IRA can diffuse the tax time bomb for your non spousal beneficiaries. Let's say the. The inherited IRA is valued at two hundred thousand dollars. If the daughter in this example, where to take full distribution of the funds that federal tax rate could range anywhere between ten percent and forty percent. Not to mention possible state income taxes. Now, keep in mind that the IRA distribution is added to the daughters household income in the year. She receives it, it is not a separate taxable event. Meaning that there is a tax rate for the IRA distribution and a separate tax rate for the household income new, the IRS requires you to add all of that together in the year you receive it so now you can see why we call this a tax time bomb. So assuming that the parent made the right decision early on and made sure these stretch provision was in place, the daughter now has choices. So here's how the numbers shake out on the stretch IRA to the daughter. So the daughter in this example, is forty five years old, assuming an average rate of return a five percent, the daughters, first annual required minimum distribution. We'd be about five thousand four hundred and twelve dollars the amount would change every year because the record distribution amount is based upon age, in value of the accounting, cheer so looking twenty years into the future, when the daughter is sixty five years old. She will have taken total distribution in the amount of one hundred and eighty six thousand three hundred sixty three dollars. Now, here is the amazing part. She still has two hundred seventy eight thousand three hundred fifty one dollars left in the account. If she would have taken full distribution when she inherited the funds, the funds would have been spent down long ago, and, again, the ESPN no stretch provision. Now, let's look at the numbers, if the granddaughter were to inherit the stretch IRA, meaning that the daughter decided to let grandma's IRA pass to her daughter in this example. We'll say the granddaughter is eighteen years old now. We all know that, you know what would be more than likely to happen? If the eighteen year old got their hands on two hundred thousand dollars not only would the funds begun in a short order short order. There's a good possibility that the tax liability would not be paid in the granddaughter would end up in worse financial shape than before the inheritance. So with all things being equal at age eighteen I required minimum distribution yet..

IRA TSP ESPN Natta Heikal IRS two hundred thousand dollars two hundred seventy eight thou eighty six thousand three hund forty five years sixty five years eighteen years twelve dollars eighteen year forty percent five percent twenty years ten percent
"tsp" Discussed on News-Talk 1400 The Patriot

News-Talk 1400 The Patriot

07:28 min | 3 years ago

"tsp" Discussed on News-Talk 1400 The Patriot

"In a book, that's going to help current or retired federal employees, get the most out of their benefits and learn how to avoid costly. Benefit mistakes. We've also included the bonus section for the recent raunchiest, PNT, ESP modernization act. The Roth ESPN remember is not a Roth IRA. There's some very important differences between the two that need to be understood when making the election. Now continuing on with TSP. Let's discuss the TSP seventy-five opportunity that is available to all current federal employees that are at age fifty nine and a half or older. The TSP seventy five also known as the inservice age base withdrawal allows all current federal employees that are fifty nine and a half or older to transfer their TSP bounce to their own IRA. In other words, you do not have to retire to be able to take control of your funds, the use of the TSP seventy-five program does not stop the TSP and it does not stop the agency match. The account will continue until the employee retires in the additional accumulated balance can be transferred to an IRA of the employee's choice. There will be more flexibility with this option after the TSP modernisation actors in implant implemented. Sorry in September of two thousand nineteen. Why would you consider rolling your TSB balance to an IRA at the first possible opportunity? Well, let's take a look, as I had mentioned earlier, the ESPN is great for accumulation. But when it comes time to distribution, it can be very problematic. The IRA does not have the one time, partial withdrawal, limitations like the TSP. With an IRA you can't take numerous partial withdrawals. You can also put money back in the IRA if needed you cannot do this with TSP the IRA is fully multi generational. If the beneficiaries a spouse, the funds will pass it a spouse, the spouse with no tax, the spouse can continue the current IRA or transfer it to their own IRA. They can make new contributions to the IRA, which is not possible with the TSP IRA's heavy provisions that will save the contingent beneficiaries in most cases, that children tax dollars and diffuse the tax time bomb, we mentioned earlier, it's called a stretch. IRA the stretch IRA will allow the children or any non spousal beneficiary to take the IRA through a series of smaller payments over their lifetimes, instead of being forced to take full distribution like they would from a beneficiary TSP. This does not prevent the stretch. IRA beneficiary from taking more money if they need to though, it gives them more control over their tax liability, the stretch IRA can skip a generation as an example. Let's say your daughter is the beneficiary of the IRA, and she decides that she wants to she wants the IRA to bypass here and go to her grand, your granddaughter. That is possible with a stretch IRA, no possibility with TSP but possible with a stretch IRA you can actually place, a restriction on the IRA and require your non spousal beneficiary to take the inheritance via the stretch thereby preventing them from receiving all of the funds in one lump sum. This is what Heikal controlling it from the great, the TSP has no such provision. So let's review an example of how the stretch IRA can diffuse the tax time bomb for your non spousal beneficiaries. Let's say the. The inherited IRA is valued at two hundred thousand dollars. If the daughter in this example, where to take full distribution of the funds that federal tax rate could range anywhere between ten percent and forty percent. Not to mention possible state income taxes. Now, keep in mind that the IRA distribution is added to the daughters household income in the year. She receives it, it is not a separate taxable event. Meaning that there is a tax rate for the IRA distribution and a separate tax rate for the household income new, the IRS requires you to add all of that together in the year you receive it so now you can see why we call this a tax time bomb. So assuming that the parent made the right decision early on and made sure these stretch provision was in place, the daughter now has choices. So here's how the numbers shake out on the stretch IRA to the daughter. So the daughter in this example, is forty five years old, assuming an average rate of return, five percent the daughters, first annual required minimum distribution. We'd be about five thousand four hundred and twelve dollars the amount would change every year because the record distribution amount is based upon age, in value of the accounting, cheer so looking twenty years into the future, when the daughter is sixty five years old. She will have taken total distribution in the amount of one hundred eighty six thousand three hundred sixty three dollars. Now, here is the amazing part. She still has two hundred seventy eight thousand three hundred fifty one dollars left in the account. If she would have taken full distribution when she inherited the funds, the funds would have been spent down long ago, and, again, the ESPN no stretch provision. Now, let's look at the numbers, if the granddaughter were to inherit the stretch IRA, meaning that the daughter decided to let grandma's IRA pass to her daughter in this example. We'll say the granddaughter is eighteen years old now. We all know that, you know what would be more than likely to happen? If the eighteen year old got their hands on two hundred thousand dollars not only would the funds be gone in a short order short order. There's a good possibility that the tax liability would not be paid in the granddaughter would end up in worse financial shape than before the inheritance. So with all things being equal at age eighteen the first required minimum distribution yet. The granddaughter must take three thousand two hundred thirty dollars. And of course, he amount will change every year due to age in value of the account. Now here again is incredible miracle of compound growth by the time. The granddaughter turned sixty five she will have taken five hundred eighty seven thousand eight hundred eighty one dollars distributions. That's an. Credible number. But here to me is the most amazing part. She has six hundred and twenty nine thousand three hundred eighty one dollars leftover. Now folks, that TSP cannot accommodate any of this only an IRA and remember that this stretch IRA payout can be enforced as a restriction. By the IRA owner, which would require the beneficiary to take the series of smaller stretch. IRA payments, thereby eliminating the beneficiaries ability, take all the funds in one lump sum. All the IRA owner has to do is file a letter beneficiary restriction with the IRA custodian you can also eliminate self-management risk in stock market risk with guaranteed IRA. This type of IRA allows the owner to participate in the growth of a stock index such as the S and P five hundred. Or the Dow Jones industrial average this gives the account holder, a greater growth potential, without taking any direct doc market risk..

IRA TSP ESPN Heikal IRS two hundred thousand dollars five hundred eighty seven thou two hundred seventy eight thou one hundred eighty six thousan twenty nine thousand three hun three thousand two hundred thi forty five years sixty five years eighteen years twelve dollars eighteen year forty percent five percent
NTSB, Jennifer Hamady And Alaska discussed on Afternoon News with Tom Glasgow and Elisa Jaffe

Afternoon News with Tom Glasgow and Elisa Jaffe

00:20 sec | 3 years ago

NTSB, Jennifer Hamady And Alaska discussed on Afternoon News with Tom Glasgow and Elisa Jaffe

"A preliminary NTSB report released on the deadly float, plane crash in Alaska states. The surviving pilot was maneuvering his tack on airplane to show. Passengers a waterfall just before the mid air collision. Can we glean anything? It's too early for that. The TSP's Jennifer Hamady says the mountain air service plane broke up on impact in its right wing appeared to be cut up by

Ntsb Jennifer Hamady Alaska
"tsp" Discussed on News-Talk 1400 The Patriot

News-Talk 1400 The Patriot

06:29 min | 3 years ago

"tsp" Discussed on News-Talk 1400 The Patriot

"Your call and the book is a available on Amazon dot com. But for those that call in and mentioned that he listened to this radio show. They will receive the book at no cost or obligation. We've taken all of our years of financial services experience and condensed it in a book that's going to help current or retired federal employees get the most out of their benefits and learn how to avoid costly. Benefit mistakes. We've also included the bonus section for the recent wrought ESPN TSP modernization act, the Roth ESPN remembers Natta Roth IRA there are some very important differences between the two that need to be understood when making the election. Now continuing on with the TSP. Let's discuss the ESPN seventy-five opera -tunities that is available to all current federal employees that are at age fifty nine and a half or older. The TSP seventy five also known as the inservice age base. Withdrawal allows all current federal employees that are fifty nine and a half or older to transfer their TSP bounce their own IRA. In other words, you do not have to retire to be able to take control of your funds. The use of the TSP seventy-five program does not stop at ESPN. It does not stop the agency match the account will continue to the employee retires. India digital accumulated balance can be transferred to an IRA of the employee's choice. There will be more flexibility with this option after the TSP modernization act is in implant implemented sorry in September of two thousand nineteen. Why would you consider rolling your balance to an IRA at the first possible opportunity? Well, let's take a look as I had mentioned earlier the TSP is great for accumulation. But when it comes time to distribution, it can be very problematic. The IRA does not have the one time partial withdrawal, limitations like the TSP. With an IRA. You can't take numerous partial withdrawals. You can also put money back in the IRA. If needed you cannot do this with TSP, the IRA is fully multi generational, if the beneficiaries a spouse the funds will pass it a spouse, the spouse with no tax, the spouse can continue the current IRA or transfer it to their own IRA. They can make new contributions to the IRA which is not possible with TSP IRA's heavy provisions that will save the contingent beneficiaries in most cases that children tax dollars and diffuse the tax time bomb. We mentioned earlier it's called a stretch IRA be stretch IRA will allow the children or any non spousal beneficiary to take the IRA through a series of smaller payments over their lifetimes instead of being forced to take full distribution. Like, they would from a beneficiary TSP. This does not prevent the stretch IRA beneficiary from taking more money if they need to though, it gives them more control over their tax liability, the stretch IRA can skip a generation as an example. Let's say your daughter is the beneficiary of the IRA, and she decides that she wants to she wants the IRA to bypass her and go to her grand your granddaughter that is possible with a stretch, irate. No possibility with TSP but possible with a stretch IRA, you can actually place a restriction on the IRA require your non spousal beneficiary to take the inheritance via the stretch, thereby preventing them from receiving all of the funds in one lump sum. This is what Heikal controlling it from the great the TSP has no such provision. So let's review an example of how the stretch IRA can diffuse the tax time bomb for your non spousal beneficiaries. Let's say the. The inherited IRA is valued at two hundred thousand dollars. If the daughter in this example, where to take full distribution of the funds that federal tax rate could range anywhere between ten percent and forty percent. Not to mention possible state income taxes. Now, keep in mind that the IRA distribution is added to the daughters household income in the year. She receives it it is not a separate taxable event. Meaning that there is a tax rate for the IRA distribution and a separate tax rate for the household income new the IRS requires you to add all of that together in the year you receive it. So now, you can see why we call this a tax time bomb. So assuming that the parent made the right decision early on and made sure these strict provisions was in place the daughter now has choices. So here's how the numbers shake out on the stretch IRA to the daughter. So the daughter in this examples forty five years old assuming an average rate of return a five percent the daughters. First annual required minimum distribution would be about five thousand four hundred and twelve dollars. The amount would change every year because the record distribution amount is based upon age in value of the accounting cheer. So looking twenty years into the future. When the daughter is sixty five years old, she will have taken total distribution in the amount of one hundred eighty six thousand three hundred sixty three dollars. Now here is the amazing part. She still has two hundred seventy eight thousand three hundred fifty one dollars left in the account. If she would have taken full distribution when she inherited the funds the funds would have been spent down long ago. And again, the TSA has no stretch provision. Now, let's look at the numbers. If the granddaughter were to inherit the stretch IRA meaning that the daughter decided to let grandma's IRA pass to her daughter in this example, we'll say the granddaughter is eighteen years old. Now, we all know that you know, what would be more than likely to happen. If the eighteen year old got their hands on two hundred thousand dollars, not only would the funds begun in short order short order. There's a good possibility that the tax liability would not be paid in the granddaughter would end up in worse financial shape than before the inheritance. So with all things being equal at age eighteen the first required minimum distribution. The granddaughter must take three thousand two hundred thirty dollars. And of course, the amount will change every year due to age in value of the account now here again is incredible miracle.

IRA TSP ESPN Amazon Natta Roth India Heikal IRS TSA two hundred thousand dollars two hundred seventy eight thou one hundred eighty six thousan three thousand two hundred thi forty five years sixty five years eighteen years twelve dollars eighteen year
"tsp" Discussed on 760 KFMB Radio

760 KFMB Radio

05:54 min | 3 years ago

"tsp" Discussed on 760 KFMB Radio

"If your own automobile insurance doesn't cover you overseas, your yeah. Doesn't cover you overseas is liability side because you can cover the damage to the vehicle just by using a card a credit card that covers you when you do Renner card car charging on that card. How many credit cards do you and your wife have? Together. I think we have around five right unless you are the unluckiest couple ever, you gotta have at least one or two of those five cards that cover you for temporary use of rental car. One of mine does. And so that will not cover you for the liability side only cover you for the damage side. Okay. So when you're really close to going on your trip you can go onto Google or duck duck. Oh, or whatever search engine you like to use and put in just this phrase, rental, car liability insurance, and they'll be sellers that pop up that sell specifically the liability coverage for car rentals. This is a kind of product people will buy who actually live in cities and don't own cars where that market came from. And so you by somebody will cover specifically for this trip. And just wait till couple of weeks for you, go shop the market and see the best deal, you can find one of these liability policies. Expect it to cost you somewhere US dollars seven to nine dollars a day. For the days of the rental. That sounds pretty good to me. And then you just use the credit card that you know, covers temporary use of rental car. So you have the collision side of it. And you're good, and you're actually great because you're gonna door the trip. How do I love Austrailia? Timothy's with us on the Clark Howard show. Hi, timothy. How you doing Clark? Great. Thank you Timothy. How can I serve you? I'm sixty six years old. And I just recently retired from the federal government. And currently my wife, and I receive low almost all of our retirement income through the federal government in the form of. To social security checks. And in the future minister drilling a thrift savings plan. Two questions. Really is it wise to have so much coming from the federal government? Also was supposed to -bility that somebody in the bureaucracy will decide to roll money out of thrift savings plan in order to fund to government. Well. I mean, I would be stunned if anything like that ever happened. I would be shocked behind measure, but you never know how a society or culture changes over time. But if there was ever an issue where it became somebody made you nervous you could at that time. Do would draw of all the funds TSP and place them into your own IRA. Right. And so an you could do that. Now, if you're worried about what possible actions might be taken against federal employees and the money they've set aside for retirement. But the disadvantage of doing that is you may have heard me say in the past the T S P is such a well run low cost plan that you're not going to be able to find an equivalent IRA. There would be as low cost for your money. Is you have with the TSP? I agree with that. I just see the statement from the TSP showing that the chargers are thirty three cents for every thousand dollars invested. Isn't that amazing? That is unbelievable. Cheap. Right. There's no equivalent to that. So I would say I mean you follow the news. And at any point that you start to get nervous that ill winds are blowing to the point that you would become you would be invalid within security about maybe somebody misbehaving with federal retirees TSP money, then you would almost certainly have plenty of time to move the money over. So I wouldn't want you on spec with nothing at all even being hinted at with TSP's being at any risk moving that money now. That's what I was thinking. But I was looking for some o- some wisdom. Well, you looked at the wrong place. If you're calling me looking for wisdom. I don't think so. But I hope that helps in urine great shape. I mean, you got your pension all the money you saved in the TSP. You've got your social security checks. Sounds like you've got a great setup for yourself in retirement. I do. Diligent and putting money into the TSP. And I think it's paid off very well for me. Well, that is great news. And I hope you MOF, you're continuing retirement. You're listening to the Clark Howard show..

TSP federal government Clark Howard Timothy Google Austrailia US thousand dollars sixty six years nine dollars
"tsp" Discussed on 760 KFMB Radio

760 KFMB Radio

05:29 min | 3 years ago

"tsp" Discussed on 760 KFMB Radio

"Together. I think we have around five right? Unless you are the unluckiest couple ever, you gotta have at least one or two of those five cards that cover you for temporary use of a rental car. Okay. I think one of mine does. And so that will not cover you for the liability side will only cover you for the damage side. Okay. So when you're really close to going on your trip you can go onto Google or duck duck. Oh, or whatever search engine you like to use and put in just this phrase, rental, car liability insurance and will be sellers that pop up that sell specifically the liability coverage for car rentals. This is a kind of product people will buy who actually live in cities and don't own cars with where that market came from. And see you in by somebody that will cover specifically for this trip. And just wait till couple of weeks before you go shop the market and see the best deal, you can find one of these liability policies. Expect it to cost you somewhere US dollars. Seven to nine dollars a day. For the days of the rental. Okay. That sounds pretty good to me. And then you just use the credit card that you know, covers temporary use of rental car. So you have the collision side of it. And you're good, and you're actually great because you're gonna door the trip. How do I love Australia? Timothy's with us on the Clark Howard show. Hi, timothy. How you doing Clark? Great. Thank you, Tim iffy. How can I serve you? I'm I'm sixty six years old. And I just recently retired from the federal government. And currently my wife, and I received the almost all of our retirement income through the federal government in the form of to social security checks pension, and in the future to drilling thrift savings plan. Two questions. Really is it wise to have so much coming from the federal government? And also was supposed to -bility that somebody in the bureaucracy will decide to grow money out of thrift savings plan in order to fund the government. Well. I mean, I would be stunned if anything like that ever happened. I would be shocked beyond measure, but. You never know how a society or culture changes over time. But if there was ever an issue where it became somebody made you nervous you could at that time. Due. Withdrawal of all the funds, your TSP and place them into your own IRA. Right. And so and you could do that. Now, if you're worried about what possible actions might be taken against federal employees and the money they've set aside for retirement. But the disadvantage of doing that is you may have heard me say in the past the TSP is such a well run the low cost plan that you're not going to be able to find an equivalent IRA. There would be as low cost for your money. Is you have with the T S P? I agree with that. I just we see a statement from the TSP showing that the charges are thirty three cents per every thousand dollars invested. Isn't that amazing? That is unbelievable cheap. Right. There's no equivalent to that. So I would say I you follow the news. And at any point that you start to get nervous that ill wins or blowing to the point that you would become you would be invalid with insecurity about maybe somebody misbehaving with federal retirees TSP money, then you would almost certainly have plenty of time to move the money over. So I wouldn't want you on spec with nothing at all even being handed at with TSP's being at any risk moving that money now. That's that's what I was thinking. But I was looking for so mo- some wisdom. Well, you looked at the wrong place. If you're calling me looking for wisdom. I don't think so. But I hope that helps in urine great shape. I mean, you got your pension all the money you saved in the TSP. You've got your social security checks. Sounds like you've got a great setup for yourself in retirement. I do I think I do I've been very diligent and putting money into the TSP. And I think it's paid off very well for me. Well, that is great news. And I hope you MOF, you're continuing retirement. You're listening to the Clark Howard show..

TSP federal government Clark Howard Google Timothy US Tim iffy Australia thousand dollars sixty six years nine dollars
"tsp" Discussed on WCBM 680 AM

WCBM 680 AM

07:15 min | 3 years ago

"tsp" Discussed on WCBM 680 AM

"I guess let's start with this pre retirement planning checklist. What should we be doing his time timeline shortens in our horizon toward retirement ten years out and number one you want to start with a tentative date unless you absolutely know what you're gonna charge. That's that's the number. But we want to start out with some kind of date there were shooting for and it's got to be a date that you and your spouse agree on because otherwise not going to happen anyway. So you've got to work together on different planes with plans at work, and that sort of thing so you got to get the date together. It's not only driven by age. It may have to do with familial obligations kids in schools, you know, relocation in that sort of thing, then this this whole thing means reviewing your futures Incan sources full on K plans and other others. Annuities IRA's that sort of thing. And this is a good time to look at the possibility of increasing your visions to your plans were 4._0._1._K's the four three days and finding out. What are the limits? What are the limits, and then consider the the fort fully putting the money into you know, how are you going to spread the risk? How are you going to reduce the risk over time? Tenures out you can take more risks and you can a year out. So you wanna let those possibilities, and you wanna have money in there. What I say, of course in the market. There's nothing is really safe, but you can make safer choices as you get older and some plans like TSP's got things like the Jeep on and so forth, which are considered by retirees in the federal plans to be much safer than others that kind of talent as closer retirement wanna make everything a little safer. Absolutely. And so Mike this gives. Us a nice longtime. Horizon of ten years out from retirement really beginning to drill down on what our plans and intentions are. And what are sources of funding will be for retirement? But from ten years out, it also gives us a lot of flexibility in that plan. If we begin this process ten years out, and we find out we could make it in eight fantastic. If we find out we need to go twelve more years, you know, that is something that we should understand as foreign advances possible as well. You know, I try to get people Peter to look at things like Medicare and social security ten years out ten years out folks, ten years out, and why is that because it takes time to understand things like Medicare and social security little easier. But you need to start watching it and look for changes in really become familiar with these things as you get closer to its iron. And you're going to see how things are going to change. And you're gonna. To be able to adjust your metality to those things, and they affect everything else, you're doing what are your expenses going to be, you know, in in Medicare, and what what do I really think I'm gonna get out of social security and so forth, and so on and I tell everybody assumed that Medicare is to be less desirable. And assume that social security is also to be less as well. So reduce those those increase the concern in those things as you move forward and steak completely conversant with one having a good picture of what our support system will look like that far out again, we'll give us a good idea of the progress that we're making Mike as we get a little closer some additional items will pop up on this checklist. We'll absolutely have you say five years before retirement estimated time, you wanna start looking at what your expenses are going to be you know, that's a pretty good time to do it. They'll be some inflation. Of course, probably. But you want to look at what? Your expensive e start to get those numbers put together they may be rough in the beginning. But it's got five years to to work this out. So consider the type of home you're going to live in and are you going to relocate and what kind of health insurance you have? And are you going to be writing for Medicare or you're going to be old enough for Medicare and so forth, and so on, and what are you gonna do about, you know, for supplements to Medicare become familiar with the choices that are going to be out there? So. Can understand ahead of time and the intelligent choices. You get clean. You don't have to learn all this at sixty five it's a little late to do that. And even though you can make some adjustments each year you want to start out with the best possible choices to begin with. So I would say that those are some of the things, and then also you wanna work with your state attorney and start to prepare those kinds of things do living trust or simple will durable powers of attorney, those kinds of things that you need to meet with an estate attorney and decide and find out what you really need and get started on getting done. And then as you get even closer, you wanna think about things like what are you gonna do with your time? How are you going to spend it do you you both you and your spouse agree on these kinds of things are you going to need a wanna work part time. Other other sources of income and that are going to develop in retirement and you have lifetime. I think that the biggest things consider what do I for lifetime income got the social security? Maybe I've got a pension. Am I gonna look into some of the kinds of products that that we use the lifetime income annuities that are fixed, and you can't lose money, and you got insured are insured net. Sort of do I understand those things and like currently sell for a lifetime of income needs from and from us a little bit of lifestyle planning a year out as as the financial picture becomes much more focused ten years out five years out and then one year out by the time. We're about a year out we really can begin focusing more on the lifestyle because hopefully by that point we are understanding of what the financial situation is going to look like if we have been pro. Active as you always encourage people to do, Mike. But my intuition tells me that you've probably met with a few along the way in your career that have waited until the day after they retired think about some of these things, you know, a lot more than a few. And I tell people look at the big picture we want to reduce the stress as much as possible who wants to go into retirement with a lot of stress. That's why you have to do your homework early on. And if you start doing that, and you start working with professional helping you to move forward, you're going experience a lot less stress. You're gonna have a lot of answers that you otherwise wouldn't have had and that's going to give you peace of mind. So I- people to get started as early as possible. Again. Mike Myers your resource, if you'd like a copy of this checklist to review on your own or if you'd like to make sure that you have taken care of the items that.

Medicare Mike Myers attorney TSP IRA I Peter ten years five years four three days one year
"tsp" Discussed on News 96.5 WDBO

News 96.5 WDBO

05:44 min | 3 years ago

"tsp" Discussed on News 96.5 WDBO

"Card. How many credit cards do you and your wife have? Together. I think we have around five right? Unless you are the unluckiest couple ever, you've gotta have at least one or two of those five cards that cover you for temporary use of a rental car. Okay. I think one of mine does. And so that will not cover you for the liability side only cover you for the damage side. Okay. So when you're really close to going on your trip, you can go onto Google or duck duck or whatever search engine you like to use and put in just this phrase, rental, car liability insurance, and they'll be sellers that pop up that sell specifically, the liability coverage for car rentals is a kind of product people will buy who actually live in cities and don't own cars with where that market came from. And so you by somebody that will cover specifically for this trip. And just wait till couple of weeks for you, go shop the market and see the best deal, you can find one of these liability policies. Expect it to cost you somewhere US dollars seven to nine dollars a day. For the days of the rental. Okay. That sounds pretty good to me. And then you just use the credit card that, you know, covers temporary use of a rental car. So you have the collision side of it. And you're good, and you're actually great because you're gonna door the trip. How do I love Austrailia Timothy's with us on the Clark Howard show? Hi, Timothy you doing Clark. Great. Thank you Timothy. How can I serve you Clark? I'm I'm sixty six years old. And I just recently retired from the federal government. And currently my wife, and I received the almost all of our retirement income through the federal government in the form of to social security checks pension, and in the future minister drilling thrift savings plan. Two questions. Really is it wise to have so much coming from the federal government? And also what's supposed to -bility that somebody in the bureaucracy will decide to grow money out of thrift savings plan in order to fund the government. Well. I mean, I would be stunned if anything like that ever happened. I would be shocked behind measure, but you never know how a society or culture changes over time. But if there was ever an issue where it became somebody made you nervous you could at that time. Due. Withdrawal of all the funds. We are TSP in place them into your own IRA. Right. And so and you could do that. Now, if you're worried about what possible actions might be taken against federal employees and the money they've set aside for retirement. But the disadvantage of doing that is you may have heard me say in the past the TSP is such a well run low cost plan that you're not going to be able to find an equivalent IRA. There would be as low cost for your money. Is you have with the T S P? I agree with that. I just received a statement from the TSP show, and that the charges are thirty three cents per every thousand dollars invested. Isn't that amazing? That is unbelievable cheap. Right. There's no equivalent to that. So I would say I mean you follow the news. And at any point that you start to get nervous that ill winds are blowing to the point that you would become you would be invalid with insecurity about maybe somebody misbehaving with federal retirees TSP money, then you would almost certainly have plenty of time to move the money over. So I wouldn't want you on spec with nothing at all even being hinted at with TSP's being at any risk moving that money now. That's that's what I was thinking. But I was looking for so move some wisdom. Well, you looked at the wrong place. If you're calling me looking for wisdom. I don't think so. But I hope that helps in urine great shape. I mean, you got your pension all the money you saved in the TSP. You've got your social security checks. Sounds like you've got a great setup for yourself in retirement. I do I do I've been very diligent and putting money into the TSP. And I think it's paid off very well for me. Well, that is great news. And I hope you MOF, you're continuing retirement. You're listening to the Clark Howard show. Now, the three big things you need to three three TSA at all..

TSP Clark Howard federal government Timothy US Google TSA thousand dollars sixty six years nine dollars
"tsp" Discussed on WCBM 680 AM

WCBM 680 AM

01:45 min | 3 years ago

"tsp" Discussed on WCBM 680 AM

"The USA. The to song too soon. So here we are talking about IRA's, you know, one of the things right? I like for you to explain to the listeners is of the transition between like four one TSP's four three Bs into an IRA when somebody goes into retirement, can you just real in real your IRA is going to be your most tax efficient vehicle. But it depends on everyone's situation, for example, if you still with the current employer, and you don't want to take out this Orem dis in your over seventy and a half. There aren't any you can just leave it in but has to stay in the that exact employer. Sponsored plan where you are employed. If it was from a prior employer that you separated from service, you will have an MD from of that that 4._0._1._K or for three big just like your IRA accounts. However, keeping that in mind, if that's the case, and you have multiple 4._0._1._K's the aggregation rule that we talked about earlier does not apply. It only applies to Iran, not the 4._0._1._K's or other tax deferred accounts. That's something else. There's a lot to navigate you know, there's so much navigating retirement in their taxes being one of them. How do I protect my money when the market falls long-term care, the list goes on and on don't spend another minute. Worrying about this stuff and trying to stay on top of it. All you're supposed to be enjoying retirement in creating memories, not worrying about it. Just imagine. How would you feel if you didn't have to worry about all this stuff anymore or coming up here on safe retirement solutions, we will be.

Orem TSP Iran USA. four one TSP
"tsp" Discussed on Biz Talk Radio

Biz Talk Radio

05:46 min | 3 years ago

"tsp" Discussed on Biz Talk Radio

"Thirty three. This is going to be rough. I'll put my kids are gone now. I'm currently a retired military with a working for the. And so I have the TSP. Yes. Partner in your financial issue. You update the allocation or what we should be allotted or allocating, I get to our threat savings plan. Yes. Okay. Yes. Yeah. I have a I have a. Set of asset allocation models, and so if you're gonna stay in the US. I had that. Now, I always recommend to anybody leaving employment either pay or otherwise to roll their money into an IRA account. The reason why do that David is because. I want you to have options. I don't want you to have any limitations. So if you say, hey, you know, what things are really get bit. I got to protect our money. And you wanna put it all on CDs. You can do it. If you want to be aggressive. He can do it. If you want to buy bonds, if you want to buy stocks mutual funds, whatever you wanna do you need to have all those options open to you. Because really white diversification to me is one of the most important things that we do as investors to really make sure we got a good diversification. But when you were a tire. It's so much more important. I mean, that's really important because you don't. You know, it minimizes losses in has got. Your losses at the downside. And it's going to help you grow the upside. So you really wanna be well diversified? And it's hard to do within certain TSP's or an old 4._0._1._K from from a job where you don't have all the options that you could use. You wouldn't do that will actually retire? Right. Yes. That's right. That's right. I would not do that to you retire. In the meantime, I just followed my TSP program. Right. Ian contribute. The MAC of an invest in whatever other way on your website. You got it. Yep. Okay. But not until I'm debt free. Right. Yeah. Work on that get work on that get get that done. Definitely. Oh, good. Good deal. I david. Thank you. I appreciate it. God bless stop eight four four seven zero seven fifty five thirty three. Let's see let me go to. Mark in Tennessee. Hey, mark. Oh, I got to marks up here where am I market Oklahoma? Okay. Go ahead, Mark. Yes. Gotcha. Okay. All right. Yeah. On the market looking forward to meeting Thursday night. We're three miles from Poulter. Oh, great. How bad it? Good. Good. So my question is we've been a for a couple years, and I get my my investments in line with your allocation model. My question is when it's time to purchase feeling I have more money every monthly are orderly or whenever I want to invest in. Do you recommend buying something from each sector? Because obviously every time I purchase will throw the percentages out of NFL just by from one sector, if I buy from every sector, I only get you know, maybe a handful of share for me. So I'm curious what your strategy, I would rotate your sectors. So I would just do one sector. So you're going to go one sector. I don't want to say. Don't pay attention or asset allocation model, but it's likely to throw that sector, you just invented invested might throw that often little bit until you get again, the rest of the sectors. So I wouldn't worry too much about that. But that's how you were doing. So maybe have the industrial sectors this quarter next quarter. You have, you know, consumer Staples or whatever it is. And just work your way around the by. Yup. Yup. Terrific. Well, that's what I needed to know. I appreciate it. And they look forward to meeting you face to face. I look forward to order. Glad you're going to be there. Thanks, mark. Thank you. All right Bye-bye. Let me go to the other Mark Mark in Tennessee, eight Mark. Hey, dan. Thank all feeling better quickly. Thank you. Hey, I'm with a major financial institution helps me your financial planning and investing and. And been there about twelve years after the date return has been over that twelve year period, and it's been less than four percent. And I wanna ask you the and it's been under a moderate aggressive strategy. We're in our mid fifty for we started when we are in her mid forty what is the wisdom of that approach as opposed to meet your fan. Now, let me do it on my own and follow follow, Dan. Model and go that approach we have a four. I've accounts actually two accounts from my wife on for me. Traditional IRA, and for my wife, and may be qualified accounts. What are your thoughts on what I should do? Yeah. I mean, I think you probably ought to change that up something's wrong. Obviously you've had some you know, you've had some bad years. You know, which everybody does. And that's to be expected. But I think whatever, you know, whatever their approach, they're taking it's probably mostly mutual funds. Expect. Yeah. So, you know..

Mark David Dan TSP Tennessee Partner US NFL Oklahoma Ian four percent twelve years twelve year
"tsp" Discussed on KDWN 720AM

KDWN 720AM

02:01 min | 3 years ago

"tsp" Discussed on KDWN 720AM

"Four zero three b TSP thrift savings plan with the government, you have a financial plan you've got a lump sum plan, but you don't have a retirement plan a lot of times translating what that lump sum will give you as far as what we call that financial fill up. A yearly check for the rest of our lives. And the three main words to see if you really do have a true income plan. You must have growth of your money when you're not using it. You must have that money protected from the ups and downs of the market protected from fees expenses commissions. Make sure you with a true for do Sherry does not reaching into taking money out of your money. Every single quarter. And then anytime you choose in the future. Able to flip that switch and get that lifetime income every single year. Check comes to you. Instead of you having to worry about what's going on. You have that check that checks should increase down the road in a bucket strategy. Can these are terms we use them? But we map it all out really easy to understand. When we meet with folks, bucking strategy takes the money, you have put aside for retirement and dedicates a certain portion of it to immediate income when you need it for retirement when your praises side to retire. But also isolate some of the other money from risk expenses commissions that keeps that money growing. So in the future after all start getting checks. You can then flip additional switch and get another check which will help compound your your income. And this will make up for any the taxation increases. We're going to see and also make up for something big big enemy inflation. Of course, when you think about inflation. But it was funny. The other day three days ago, I filled my gas gas was pretty cheap. And then just rode by the same gasp up today three days later sheets and sheets company. Not thirty six cents more Gallo my gosh. Open plays tricks. Every now and then. Cut production that happened. So we'll get that fast expenses went up in my life. Luckily, had emergency gal called a Clinton. But so it's about having it income plan. And if you would like to get your very own lifetime income plan looking at your web some plan you have right now, which I call a lump sum time bomb, and what you don't want to have happened in the future is is taking money out of that lump sum. And then realize you ran out..

Sherry Clinton three days
"tsp" Discussed on WMAL 630AM

WMAL 630AM

03:20 min | 3 years ago

"tsp" Discussed on WMAL 630AM

"A winter investor pedia points out that are twenty eight team tax returns, which will file this year are not going to look anything like what we're typically used to tax time. There's some new forms new tax rates, of course, a higher standard deduction a lot of changes with tax reform. But I'm wondering what changes really impacts federal workers. And retirees the most you know, what I'm excited for what's that? I am excited to see some of our clients tax returns, really alad mitt. I don't get that excited about looking at ten forty s I didn't think so it's kind of a statement. I mean, I've I've weird hobbies, but that's not one of us ever been one of them. But this year, I'm excited because the new tax law that went into effect just about a year ago and the two thousand eighteen was the first year too. Take advantage of this discount this tax savings ability. And for many of our clients who went through that progression learned how to do it. They're going to see the benefits on the tax return. This April for the first time. I can't wait to see those returns. I mean, would it be overdoing it to have a tax party? But I'm thinking gosh everybody that's been able to save thousands of dollars in taxes or increase our flexibility or are learn how to create Roth tax refunds for retirement should probably have a party. But I don't and you know, what I don't know if people can really be expected to party with their accountant. I don't think so no. The account looks at the returns is about like, man. Wow. I noticed that you did this strategy. That's fantastic. But I don't see them then get an excited my account. I love my count. Honestly, I've our refer them to anyone. But never once if they high five me. I mean between you and me they just never have. But I would want I wanna high five all of our clients took advantage of the tax law last year. And if you didn't take advantage last year while you can still take advantage this year. And so what I recommend is that recommend that? You learn how to use the new Trump tax law to your advantage, especially as it relates to your IRA's, and your TSP's all those accounts that are fully taxable. Wouldn't you like to know how to save taxes on them? Then we will high five. Yeah, I'm not afraid to high five. But yeah, I think really as you're doing your taxes this year, and you get an understanding of how the new tax will impact GIO. I think it's also required for those who are adverse to paying taxes is to really look at your adjusted gross income, and and how your taxes played out and how to take advantage of the new tax law. You know, how to avoid this big build up. Right. We talked about the tax bomb save into a taxable account every pay period. More and more in the match goes in every pay period every single pay period, more and more and more. And then as some point you look at that TSP's save you're like, wow, I have a lot in my retirement account that feels pretty darn good. And then when you go to take the money out, you're like man that feels bad because when I take the money out it's fully taxable. It's fully tax whatever the tax rates are going to be after the Trump tax law expires which are higher than right now. And so avoid the tax bomb in figuring out how to take advantage before. It's too late. If you'd like to find out how to take advantage of tax reform as a federal employee winter trucks will actually has a special reports for you..

TSP accountant
"tsp" Discussed on The Dave Ramsey Show

The Dave Ramsey Show

04:43 min | 3 years ago

"tsp" Discussed on The Dave Ramsey Show

"Two two five. Jasmine is in Charleston, South Carolina. Hi jasmine. How are you? How are you? Dave better than I deserve. What's up? So currently my husband, and I are baby step two, but he's in the military, and it's coming down to the wire to pick his retirement plan. So we can either go with the blended retirement system, or we can check with the regular TSA pain. We have to make that decision in a few months. And so I was wondering if you know what one would be better for us. TSP stick with that. And but but don't put anything in it right now to get out of by we've stopped all the contributed shins to it. Here's the reason it's much like having a company pension plan versus having a 4._0._1._K the 4._0._1._K. You put all the money and not counting the match and the growth. Okay. But when you leave the company, you can roll that to an IRA, and you take it with you, you control what it's invested in the company pension in this case, the government plan, the military is not controlled by you. And you don't take it with you all I'm by the way with the company, pension or the military when you die dies with you. You can pick joint survivor if you want to take lesser payment and your spouse, get some delay die. But ultimately when you're both gone, it's gone. When you roll your money out of your 4._0._1._K or your TSP in your case. It's there's a million dollars in there for your kids. It doesn't die when you. And so it comes out better for while you're alive and while you're dead. If you invest it well to pick for a one K versus company, pension or TSP versus government benefits plant, and they've brought the blended down to reflect that it used to be that the military was so strong on retirement that offset that and you went with the military retirement anyway because it was really you yacht both. But I'm I'm just loving you being in control. That's what I like and urine control, and it doesn't die with you. And that that always is going to help you move into more money aletha is with us in Memphis highly. How are you Dave? How are you better than I deserve? What's up? They I don't know how to get my husband on board. We've been the financial peace university. Couldn't get him to cut up his credit card. Then finally got to wear. Okay. He got an opponent where I paid off his protocol. He cut it up. Hey toes to get another credit card, and that's not his problem. His problem is cars. He is. He has an he's he's just he's a big did to buy new cars. He bought a we van in in November fourteen that we didn't need so I'll more expensive than cocaine, right? It is more this cocaine 'cause he turned around in December fourteen got a Cadillac. Okay. Then Jill fifteen the next year. He wanted to trace van on a truck. So with the vans. They'll be a new we upside down twenty thousand dollars got added to the truck. Chevrolet. He should own a company by now. Dave, you don't know the half of it. We had to Kanak stop stop was being at this level of stupid in any area of my life. My marriage would not be going. Good because my wife would not be okay with this level of stupid in any year. And then best deal, not helping you might have. He told me a new dies that's coming out. And I knew what a new dodge truck dodge, bright a dodge truck, and he's looking at all the bills and whistles of it. And that's how he starts every time. You thought about researching these vehicles and next thing. No, he's gotta have it. Gotta have it. Gotta have it. And is always this the mass one. Here's what I would tell you sit down to marriage counseling, my experiences. This it starts out as a mild level of aggravation. Which is kinda sounds like where you are right now. You're like disgusted your role on your eyes. You're like this is ridiculous. It starts out at that level. But at some point it turns into real deep worry for you where you like wake up at two o'clock in the morning on a cold sweat. And then it goes from worry to a level of anger that you cannot recover your marriage from the switch flips..

Dave Jasmine TSP South Carolina Charleston TSA dodge cocaine Memphis Chevrolet Jill Kanak Cadillac twenty thousand dollars million dollars one K
Trump says US and NKorea talking at 'extremely high level

01:34 min | 4 years ago

Trump says US and NKorea talking at 'extremely high level

"On their way and tsp says this is the first death on a us airliner in nine years south korea has my blessing so what president trump is saying as the south and north korea prepare for talks to bring the korean war to a formal end after more than six decades president spoke as he begins two days of meetings with japan's prime minister shinzo ave in florida the white house says president trump hopes to ease concerns about steel and aluminum tariffs as well as possible talks between the president and north korean leader kim jong un one thing we do not expect to come out of this week's maralago summit president trump's tax returns on this final day of the twenty seventeen filing season white house says the president has filed for a six month extension as many americans with complex returns do according to a statement from white house press secretary sarah sanders deputy attorney general rod rosenstein is asking for an extension to handover copies of memos that fired fbi director james comey says he kept about his meetings with president trump the heads of three house committees have asked for them rosen's stein says some of those memos may have information about active investigations global news twenty four hours a day on air and at tick tock on twitter powered by more than twenty seven hundred journalists and analysts in more than one hundred twenty countries this is bloomberg thanks nathan now with our other top stories i'm john schneider this this update is brought to you by land rover at a thin for rotating confidence nothing compared to driving a twenty eighteen range rover villar see for yourself with special limited time offers from land rover edison are katina dealership goldman sachs which suffered a.

Land Rover Nathan Bloomberg Stein Rosen Director FBI Deputy Attorney General Kim Jong Prime Minister South Korea United States Goldman Sachs Villar Donald Trump John Schneider Twitter James Comey Rod Rosenstein