As a federal employee, you are eligible to participate in the Thrift Savings Plan (TSP), a retirement savings and investment account similar to 401(k) plans offered by many private companies.
Depending on how long and how much you put away in your account, TSP allows you to enjoy a comfortable retirement after decades of hard work.
But do you know what would happen to your money if you were not around to use it?
That’s why it’s important to designate a beneficiary for your TSP account so you know exactly where your money would go.
According to TSP.gov:
- The TSP can’t accept a will, settlement agreement, court order, or any other document to determine who inherits your TSP account.
- If you haven't designated a beneficiary, death benefit payments from your TSP savings will follow the order of precedence required by law. If the order of precedence matches your wishes, you don’t need to submit a beneficiary designation.
If your beneficiary designation is different from the order of precedence, log in to My Account or contact the ThriftLine at 1-877-968-3778.
Consider sharing information with your beneficiaries to help make the process smoother.
You can also sign up for TSP seminars at www.tsp.gov/webinars for deep-dive sessions on TSP topics.
For more information, visit tsp.gov.