An AFGE-backed bill became law making it easier for law enforcement officers to access their Thrift Saving Plan savings when they retire.
The “Protecting Public Safety Employees Timely Retirement Act” (H.R. 8319 and S. 4314) was part of the 2023 omnibus government funding package that was signed into law right before the New Year.
The law allows eligible law enforcement and public safety officers to make penalty-free withdrawals on their savings once they attain 25 years of service in a covered retirement plan or when they turn 50 years old, whichever is earlier.
The previous law had a threshold of 50 years of age, which is now eliminated. LEOs who are eligible to retire before 50 are now exempted from the 10% early withdrawal penalty.
“Simply put, we wanted to ensure that you are able to retire when you are eligible, and not held back by an arbitrary age threshold,” said AFGE Council of Prisons Locals President Shane Fausey. “I must publicly thank Senator Toomey and Senator Bennett for taking the lead on this very important legislative priority that will benefit all.”
The law is one of the council’s top legislative priorities. The council late last year won passage of legislation that allows law enforcement personnel and first responders to keep their full retirement benefits if they’re injured on the job and return to the federal workforce in another capacity.