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Method for Catch-Up Contributions to the Thrift Savings Plan - UPDATE:
1, 2021, the Federal Retirement Thrift Investment Board (FRTIB) will implement
a new method for catch-up contributions called the “spillover” method.
(Participants will continue using the TSP’s current catch-up program through
the end of 2020.) Spillover will apply to all active civilian and uniformed
services members turning age 50 or older. It will help simplify our catch-up
program for both participants and agencies or services.
Under the prior
catch-up program, TSP participants had to make a separate affirmative catch-up
election every year by submitting Form TSP-1-C, Catch-Up Contribution Election
(Form TSP-U-1-C for uniformed services members) or electing to make catch-up
contributions through their electronic payroll systems. Payroll offices then
submitted catch-up contributions to the TSP on special payroll records
indicating that the contributions were catch-up contributions.
1, 2021, the TSP will no longer use Form TSP-1-C, TSP-U-1-C, or the special
payroll records that designate contributions as catch-up. GET DETAILS HERE: Bulletin 20-1.https://www.tsp.gov/bulletins/20-1/
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