1. What is Military TSP?

The Thrift Savings Plan (TSP) is a retirement savings and investment plan for military members. It offers similar benefits to 401(k) plans available to civilian employees.

2. How Does the Calculator Work?

The calculator uses the Military TSP equation:

Where:

• \( Military\ Pay \) — Your basic military pay
• \( \% \) — Your contribution percentage
• \( BRS\ Match \) — Blended Retirement System matching contributions

Explanation: The equation calculates your total TSP balance by combining your contributions (percentage of pay) with government matching.

3. Importance of TSP Calculation

Details: Understanding your potential TSP balance helps in retirement planning and ensures you're maximizing government matching contributions.

4. Using the Calculator

Tips: Enter your current military pay in USD, your contribution percentage (typically 1-100%), and any BRS matching funds. All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is the maximum TSP contribution?
A: For 2023, the elective deferral limit is $22,500 ($30,000 if age 50+ with catch-up contributions).

Q2: How does BRS matching work?
A: The government matches up to 5% of your basic pay (1% automatic, then dollar-for-dollar on next 3%, then 50% on next 2%).

Q3: When can I withdraw from TSP?
A: Generally at age 59½ without penalty, or earlier under specific circumstances like financial hardship or separation from service.

Q4: What are the TSP fund options?
A: G, F, C, S, I funds (government securities, fixed income, common stock, small cap, international), plus lifecycle (L) funds.

Q5: Can I contribute to both TSP and IRA?
A: Yes, you can contribute to both, but IRA contributions may be limited based on income and tax filing status.