30 year tsp contributer. all s&p 500 for the first 26 years. pulling back a bit as I enter my last 4-5 years. current balance hovering around $800,000. if you're just starting out, 30 years may seem like a long time. from the perspective of someone who is on the back side of that 30 years, it flies by. one piece of advice. when the bears come knocking (and they will many times) don't even look at your statements or view your balance online. even if it's a couple years, keep plucking away.
Brenden Collins that would be my advice, but don't base any decision on my opinion. Do your research and combine the opinions of dozens, if not hundreds of others. Research will show you that a portfolio of stocks, over time, has trounced all other investments. If you can't handle volatility, and are tempted to pull your money out of stocks when we slide into a bear market, then you will never achieve the 10% historic returns, that the s&p should give you. Bear markets, that is a drop of 20% or more, occur about every 4-5 years. YOU MUST RIDE IT OUT!! No one knows when it will happen. 4 years us the average. It has happened in back to back years and we have gone over a decade without a 20% drop. Stay the course and don't try to time the market. A friend of mine had a portfolio of stocks that went from $450,000 to about $220,000 in 08. He decided to "cut his loses" and pulled out at the bottom. Since he did that, the s&p 500 has went from 667 to almost 2500. I know I'm rambling, but this is sooooooo important. STAY THE COURSE!!!
I’m a big believer in a 80/20 split between the C and S funds. I stay away from I as well as G funds. As I approach retirement in 17 years, I’ll start to move those funds around a bit where I protect my tsp in the G fund and play it safe. But that 80/20 split has done me very well thus far! Also, when markets start to tank and the bears show up, stand strong and keep the faith. You will thank yourself later for doing so as you don’t lose money until you sell AND you are gaining more shares per dollar into these funds during times of recessions. Millionaires are made in recessions, be that guy.
I’m doing something similar but I’m doing C/S/I which makes 80/10/10. I still have 32 years until I’m 60. So I figure be aggressive as I can, I figure I’ll treat my pension as the bond portion of my portfolio lol
Great advice. A wise older coworker told me 24 years ago. “You can’t afford not to invest”. I have invested the max since then. Usually 100% C, all new contributions go to G, on every dip I would move all the G to C. Seems to require little effort and doubles every few years
I finally wised up at the age of 36. All those golden years early on wherein I would have a solid basis for compound interest had passed.. Nonetheless I started saving as much as I could in the TSP as a ordinary level 5.. Now I am 71 years old and I have $495,000 in my TSP. I am taking 10 thousand a year RMD and living comfortably on that and my pension. Thank you TSP.
for the past year, the S fund has been the leader, followed by C and I. Personally, I like to diversify on a 40/40/20 split between the those three funds.
How about a formula for those of us getting ready to or already retired and no longer contributing to the TSP. Still 90% C fund and 10% G fund? Or maybe more conservative , perhaps 80/20?
This makes so much sense! Thank you!! I am already investing in both G fund and C fund! I have seen my TSP grow in the last three years when I first decided to change my TSP around and take a risk. It has really been paying off.
I was with a 3 letter agency for 24 yrs and I hit the TSP hard. Especially catch up at 50. Mandatory retirement at 57 yrs and I now have have over 1 million in investments. I was told years ago by senior employees to max TSP and I did when I had younger new employees to do the same. It works.
I rode the C fund most of my career. The hard part for me is how to manage the money in retirement. I assume this allocation strategy would not be wise for someone so close to retirement?
Good advice. I’ve followed “Dollar Cost Averaging” for 35 years. Never swayed from it. I have a Military already and (will have a) Govt pension so my investment habits are a tad more aggressive than the average investor. I never did 90% in low cost S&P fund. I did 10% govt short term govt bonds and the rest 90% spread across three funds (10% Intl; 20% aggressive and 60% S&P). That was with my govt income. I have about $600K in TSP; another $800K in my own mix of investments and my wife was able to save about $800K in her educational savings accounts. Another comment or said times flies - and it really does!
If you're ever deployed with Combat Zone Tax Exempt income (CZTE) make those Roth contributions!!!! That money is not taxed going in... AND all not taxed coming out. NEVER TAXED - a huge win.
I'm with the 50/30/20, C fund/S fund/G fund. I'm retiring in 3 years, yet I will not be touching my TSP for quite a few years since I have a pension from my previous career. What do you think of a 50/50, C fund/G fund when I retire, to make the fund a low to medium risk?
Without knowing more about you, I can't provide a for sure recommendation. I will say that too many people use the G-Fund when they don't need to be so conservative. But that's a general statement.
How about those of us already or soon to be retired and no longer adding to our TSP? Is 90/10 still the rule of thumb, or maybe a little more defensive...80/20?
would you invest in 90 percent C fund and 10 percent G fund? I heard that 90/10 split is what Warren Buffet would do. OK, here's another one....I was leaning towards 80 percent C fund, 15 percent S fund, and 5 percent G fund. It's difficult to allocate each in percentage. Can you help how you would allocate? Thanks!
Love me some Jack Bogle! He's truly been a titan in the finance industry. Here's a recent quote from Buffett on Bogle: "If a statue is ever erected to honor the person who has done the most for American investors, the hands-down choice should be Jack Bogle."
The G-fund could be used for many reasons, but if a crash were to happen, it would be beneficial to begin going back into the market as you are essentially buying shares on discount.
I just started putting in TSP about 5 months back. just subscribed. what other videos do you suggest for a fledgling that has no idea what he is doing?
Awesome to here. Check out my article and video on 5 things young federal employees should do: www.fedretirementplanning.com/top-5-tips-for-young-federal-employees/
HL, Cooper Mitchell's videos and guidance is spot on but if you're afraid to take the plunge on actively managing your account the best option may be to choose an "L" account that's dated for the year you'll be fully retired. This will auto balance your account each year. That said, I like to take a more active role in where I spend my money and have regularly followed Warren Buffett's lead.
Welcome to wealth! I would recommend you wipe out all debt (Dave Ramsey's "Total Money Makeover" will help you do this) and then invest in the ROTH TSP. If you already haven't,, I would suggest saving 10% into the ROTH TSP until you can max it out (contributing $18,000 per year) again, if you already haven't. Good luck to you!
I am currently in the military and I invest using the tsp. I am considering opening a separate account with vanguard so I can continually dump money in regardless of who my employer is. What would be the price difference between buying vanguard opposed to tsp, also about how much would i loose rolling over into vanguard after I get out.
great video !!! love the ending !! I'm 23 so I'm not gonna follow the 10%, c60 s20 i20 is my way of going at it but definitely will keep it in mind in the future.
I came across this by accident and its very interesting. I just got my first Fed job last August. We also have Lifecycle Funds like L2050, L2040, etc.... Do you know how those compare?
Go to the TSP website people!!! Every question on here can be answered by simply reading all the valuable information from the website. If your too lazy to read up on the different options and variables that you can participate in, then thats on you. Graphs, calculations, funds. Its ALL on the website. Go READ!!! its not hard. Start young and hit it hard. Compounding interest people. Instead of a new car, throw that extra 500 bucks in your tsp. Buy,buy buy!! Be consistent, and you will be a millionaire. Don't believe me though. Use the calculations and find out what u need to save. Ok, thats all folks.
My TSP is sitting at 15,000.00 right now. I ETS'd from the Army. Is it worth keeping this TSP account or should I roll it over into something else? Need to look into how some of these other funds work. Everything I have is in the C and G fund.
In my humble opinion its worth keeping.,, but that decision is up to you.. You will never find a lower cost retirment account and with the right bit of know how you could turn that 15k into a very large sum of money.
Does this statement still hold true today for you? I'm young and staying in the Navy for a while so I do think this applies to some one in my situation looking for long term growth.
aggressive investing at a young age is the best way to go. your tolerance for risk should be higher than say someone that has 7 or less years to retire. as you near retirement age, you should adjust your portfolio to reflect your risk tolerance. However, it is advised to take as much risk as you're willing to take earlier on.
I’m retiring in 10 years! The c fund looked the worse for me! So I guess I will try that. I have more faith in my physical money. Ssa and pension. I am only putting 5%.
The most important advice is to invest in the TSP period. Then use the lifecycle funds. Allocations between C S I and whatever are balanced for you every quarter to be more conservative as you approach your retirement year. Problem solved
Expense ratios have changed... TSP C fund is now 0.051% Vanguard VOO is 0.03% TSP is better than a savings account, but Vanguards expense ratios are much lower.
@@perfectlymprfct yes, but they only match up to 5%, and it only goes into a traditional fund. They (the government) push TSP as this golden investment opportunity, and if you don't know any better, it is the best thing around. If you educate yourself, you realize it's good, but there are better choices with more investment options. Also, if you are trying to retire before you are 59.5, and your only investments are in TSP, you're not going to be able to touch that money without paying the penalty.
TSP IFT: When does the transfer take effect if the request was completed prior to 9amPST or 12pmEST? e.g. $100000 in the G Fund a request to transfer all funds to the C Fund before 12pmEST. The C Fund shares prior to 12pm EST were $50 per share. 2000 shares of C Fund were purchased prior to 12pm EST. The TSP C Fund increased in value by $1.00 per share before COB. At the COB that evening C Fund Shares are now $51.00 per share. When would the member see the gain from the transfer? Would the member receive the gain from the transfer prior to 12pm EST or $51 x 2000 C Fund Shares or $2000 gain for the day? Or would the member see the gain or loss the following day depending on the volatility of the next days market at COB?
So this 10%/90% G Fund/C Fund is good for retirement? I'm pretty much in that now (with exception of 10% in I Fund). However, I still would like to roll my TSP Roth into a Roth IRA upon retirement in 3 years.
Just remember asset allocations in TSP is different than contribution allocation. This does require you to more actively manage the account and move money from more riskier funds to less risky. Not touching it can be a very costly mistake, especially if you time your withdraw at a downturn and you only have 10% in G fund. You may want to reconsider a few points about the funds, first lifecycle funds have shown to not work and the fees are higher. Also remember that when you withdraw from TSP you will be taxed at the income rate, not long term capital gains. That's a significant tax difference. I see no difference between G and F, I'd say it's wiser to contribute allocate more to G fund then interfund transfer to C or S when they are cheaper. Just saying.
The entire world are against people for asking for handouts, isn't this what you are doing know! What makes you more than average because the next person is not educated enough on this type of financial advise!
You showed us nothing how to apply the tsp bro can you make a vid with how to apply it and how to make a tsp we fed employees want to see different things like 10 percent makes this or 15 percent makes that you just saying things and showing paper work but no one is seeing how you apply your work to help people we don't understand
I’m 57 years old with 28 years in service. I’m investing 10% in my tsp. 15% in the G fund, 50% in C and 35% in the S fund. I’ve been getting a great quarterly return, but with retirement just 3-4 years away, I want to secure my interest earnings. Is a inter-fund transfer a good idea? Can I keep the allocations the same but transfer earnings to the G fund?
NOTICE to warren b. Fan Boy his guidance has bee no below average for almost 20 years . Even worst he missed on the entire tech revolution. Stop living in the past
Thanks for the kind words Christy! I also appreciate the criticism, I'm always trying to improve. I've been known to talk with my body and it's something I'm aware of, but also something I just do naturally when I'm passionate about things.
I'm the same with trying to improve-very cool. Don't mind the hand gestures, but the rocking is just a public speaking thing I learned in college. I love your passion and your channel. I'm trying to get more active with my TSP account, so I'm super grateful you're out there. Thanks for sharing such great stuff with your viewers. The financing stuff is tricky, so props to you for being so knowledgeable and sharing the wealth.
I was in the TSP from it's inception and retired in 2015. As a GS-3 ,I think a balance of 90k is alright.If I had made mor,I would have been even more invested. Maxed it at 5 percent. Most Americans don't even have 500 dollars for an emergency.
Started my GS career in 2004 (after 5 years NAF no TSP allowed there) with the minimum to get the match. I currently have 50 g and 50 C with a balance of $425000, my goal is $650000, but unless I place it all on Red, (C) I might not get there? I won't touch it till I'm 65 in 4 yrs. so maybe, just maybe???? Then I will be happy at getting %8 a yr. I can live good on $50000+ in gains and not touch the principal. We have no debt; house is paid, and the wife makes $100000+ a yr. and is 12 years younger than me. (My mama didn't raise no dummy LOL....) The wild card is Inflation. It ain't going to be worth tomorrow what it is today if we keep spending our way into a Black Hole, which is where we are at. 33 Trillion and counting. I made good decisions and bad as over the years trying to time the ups and downs. Not so good. Overall, I know I've lost money due to emotional knee jerk reaction to Business News experts. Slow and steady, but the fear of losing a huge chunk with 3 yrs. to go until retirement and the current disfunction in the World, Covid dejour, spending like drunken sailors, social civil war, can I afford not to Buy low and Sell high? Probable not, but How do you know when it's High and Low? No one does. I worked with a gal close to retirement in 08, she lost half and had to postpone retirement for 3 years just to get back some of her losses. Not me, I'm not watching $225000 go down the drain and have to keep working till I'm 70 F that! Good luck, Remember when you're playing with house money, always keep cab fare home in your pocket.
start investing today. they say the man who sits in the shade of a tree, planted it 10 years ago. plant that tree and let it grow!
now that I think of it... that's a Warren buffet quote... lol irony
That's right, every little bit counts and the earlier the better!
"The best time to plant a tree was 20 years ago. The second best time is today." ~Chinese Proverb
30 year tsp contributer. all s&p 500 for the first 26 years. pulling back a bit as I enter my last 4-5 years.
current balance hovering around $800,000.
if you're just starting out, 30 years may seem like a long time. from the perspective of someone who is on the back side of that 30 years, it flies by.
one piece of advice. when the bears come knocking (and they will many times) don't even look at your statements or view your balance online. even if it's a couple years, keep plucking away.
Great advice Ed! Much appreciate your wisdom.
Hey Ed, At what average salary did you make that at? Also what fund and when did you contribute to throughout your career?
So Ed, your advice would be to put a majority in the C fund??
Brenden Collins that would be my advice, but don't base any decision on my opinion. Do your research and combine the opinions of dozens, if not hundreds of others. Research will show you that a portfolio of stocks, over time, has trounced all other investments.
If you can't handle volatility, and are tempted to pull your money out of stocks when we slide into a bear market, then you will never achieve the 10% historic returns, that the s&p should give you.
Bear markets, that is a drop of 20% or more, occur about every 4-5 years. YOU MUST RIDE IT OUT!! No one knows when it will happen. 4 years us the average. It has happened in back to back years and we have gone over a decade without a 20% drop. Stay the course and don't try to time the market. A friend of mine had a portfolio of stocks that went from $450,000 to about $220,000 in 08. He decided to "cut his loses" and pulled out at the bottom. Since he did that, the s&p 500 has went from 667 to almost 2500. I know I'm rambling, but this is sooooooo important. STAY THE COURSE!!!
easterlake Thank you for that tip! I’ll definitely be sure to stick through it no matter what, don’t pull it for any reason
I’m a big believer in a 80/20 split between the C and S funds. I stay away from I as well as G funds. As I approach retirement in 17 years, I’ll start to move those funds around a bit where I protect my tsp in the G fund and play it safe. But that 80/20 split has done me very well thus far! Also, when markets start to tank and the bears show up, stand strong and keep the faith. You will thank yourself later for doing so as you don’t lose money until you sell AND you are gaining more shares per dollar into these funds during times of recessions. Millionaires are made in recessions, be that guy.
I’m doing something similar but I’m doing C/S/I which makes 80/10/10. I still have 32 years until I’m 60. So I figure be aggressive as I can, I figure I’ll treat my pension as the bond portion of my portfolio lol
Great advice. A wise older coworker told me 24 years ago. “You can’t afford not to invest”. I have invested the max since then. Usually 100% C, all new contributions go to G, on every dip I would move all the G to C. Seems to require little effort and doubles every few years
wish i knew this 10 years ago...But..better late than never.
That's right. It's never too late!
What if you’re 100🤨
I finally wised up at the age of 36. All those golden years early on wherein I would have a solid basis for compound interest had passed.. Nonetheless I started saving as much as I could in the TSP as a ordinary level 5.. Now I am 71 years old and I have $495,000 in my TSP. I am taking 10 thousand a year RMD and living comfortably on that and my pension. Thank you TSP.
Please come back to UA-cam, we need you!
for the past year, the S fund has been the leader, followed by C and I. Personally, I like to diversify on a 40/40/20 split between the those three funds.
Yeah, the S-Fund actually has the highest average over the past 10 years of all the TSP funds. But, on a longer timeline, the C-Fund is king.
Garage Gym Reviews is now giving me advice on my TSP!
Currently do 70% C and 15% to S and I funds.
How about a formula for those of us getting ready to or already retired and no longer contributing to the TSP. Still 90% C fund and 10% G fund? Or maybe more conservative , perhaps 80/20?
Excellent diversification
This makes so much sense! Thank you!! I am already investing in both G fund and C fund! I have seen my TSP grow in the last three years when I first decided to change my TSP around and take a risk. It has really been paying off.
I've been watching garage gym reviews for years and am also a command financial specialist, so coming across Coop in this context is pretty cool 👍
Good VID!
He is not talking about TSP financial strategy but life strategy or any investment strategy in general. Misleading topic. But helpful for beginners.
I was with a 3 letter agency for 24 yrs and I hit the TSP hard. Especially catch up at 50. Mandatory retirement at 57 yrs and I now have have over 1 million in investments. I was told years ago by senior employees to max TSP and I did when I had younger new employees to do the same. It works.
I rode the C fund most of my career. The hard part for me is how to manage the money in retirement. I assume this allocation strategy would not be wise for someone so close to retirement?
C fund all the way baby
Reduce your C fund towards G fund as you get closer to retirement.
Cut too much to safety, you'll miss growth in your 30+ years in retirement and inflation is eating your lunch.
Thought I was watching GarageGymReviews. How did I get here? lmao
Thanks, I was searching who this guy looks like.
Tell me I need to stop buying gym gear and start investing!
Destiny
Enjoyed the video!
Great to hear Luisito!
Awesome video, I just subscribed to keep up with your information.
Great to hear!
Is this coop from GGR?
thanks
Good Job Cup- Way to knock some common sense into us.
👍🏼
Good advice.
I’ve followed “Dollar Cost Averaging” for 35 years. Never swayed from it. I have a Military already and (will have a) Govt pension so my investment habits are a tad more aggressive than the average investor. I never did 90% in low cost S&P fund. I did 10% govt short term govt bonds and the rest 90% spread across three funds (10% Intl; 20% aggressive and 60% S&P). That was with my govt income. I have about $600K in TSP; another $800K in my own mix of investments and my wife was able to save about $800K in her educational savings accounts. Another comment or said times flies - and it really does!
Glad to hear you reference Dave Ramsey!
Ramsey is a douche.
What do you think is better? Vanguard or military TSP?
Ive got the same question..
Do both....
TSP allows you to contribute a full $19.5k (in2021) to ROTH side of TSP.... plus you can contribute another $6k on civilian side accounts.
If you're ever deployed with Combat Zone Tax Exempt income (CZTE) make those Roth contributions!!!! That money is not taxed going in... AND all not taxed coming out. NEVER TAXED - a huge win.
Dude you do garage gym reviews right? Haha dope
I'm getting sea-sick, watching you sway back & forth ....
Michele0403 true, but if you watch his earlier videos, he is much more polished now.
If we’re investing in the tsp should we not worry about investing in an index fund through our brokerage? What if we plan on getting out?
I'm with the 50/30/20, C fund/S fund/G fund. I'm retiring in 3 years, yet I will not be touching my TSP for quite a few years since I have a pension from my previous career. What do you think of a 50/50, C fund/G fund when I retire, to make the fund a low to medium risk?
Without knowing more about you, I can't provide a for sure recommendation. I will say that too many people use the G-Fund when they don't need to be so conservative. But that's a general statement.
Never go more than 35 for G fund. Just my view, but take your own risks, maybe you want to be more conservative about investing.
How about those of us already or soon to be retired and no longer adding to our TSP? Is 90/10 still the rule of thumb, or maybe a little more defensive...80/20?
Got my sub, way to make heavy info like this more accessible to a younger generation :D
Glad to hear!
would you invest in 90 percent C fund and 10 percent G fund? I heard that 90/10 split is what Warren Buffet would do. OK, here's another one....I was leaning towards 80 percent C fund, 15 percent S fund, and 5 percent G fund. It's difficult to allocate each in percentage. Can you help how you would allocate? Thanks!
Jack Bogle is my investment model.
Love me some Jack Bogle! He's truly been a titan in the finance industry.
Here's a recent quote from Buffett on Bogle: "If a statue is ever erected to honor the person who has done the most for American investors, the hands-down choice should be Jack Bogle."
How often should we rebalance to deal with the drift in allocation?
If the C and the S fund both do over 13% every year then never because they will continue to do 13% on average every year, even when you're retired
I do 80% C and 20% S. Is the 10% G reserved for a crash? And then do you buy more C once everything drops?
The G-fund could be used for many reasons, but if a crash were to happen, it would be beneficial to begin going back into the market as you are essentially buying shares on discount.
Jarrett, how do you buy more stocks?
I just started putting in TSP about 5 months back. just subscribed. what other videos do you suggest for a fledgling that has no idea what he is doing?
Awesome to here. Check out my article and video on 5 things young federal employees should do: www.fedretirementplanning.com/top-5-tips-for-young-federal-employees/
HL, Cooper Mitchell's videos and guidance is spot on but if you're afraid to take the plunge on actively managing your account the best option may be to choose an "L" account that's dated for the year you'll be fully retired. This will auto balance your account each year. That said, I like to take a more active role in where I spend my money and have regularly followed Warren Buffett's lead.
Welcome to wealth! I would recommend you wipe out all debt (Dave Ramsey's "Total Money Makeover" will help you do this) and then invest in the ROTH TSP. If you already haven't,, I would suggest saving 10% into the ROTH TSP until you can max it out (contributing $18,000 per year) again, if you already haven't.
Good luck to you!
Coop from garage gym reviews?
So is the life cycle fund a bad idea?
I do not like it holding too much I and not enough S early... then it converts to far too much G far too early for my liking.
I am currently in the military and I invest using the tsp. I am considering opening a separate account with vanguard so I can continually dump money in regardless of who my employer is. What would be the price difference between buying vanguard opposed to tsp, also about how much would i loose rolling over into vanguard after I get out.
Demario Scott you should try M1 finance and build your own “fund”
Keep your TSP even after you separate from service. You can roll-over monies into TSP after you leave an employer account. Form TSP-60 or TSP-60R
I’m doing 90 C / 10 S for allocation and 100% L2040 contributions . Should put my contribution in 90c /10s as well ?
Yes
@@TimWolffe thanks
great video !!! love the ending !! I'm 23 so I'm not gonna follow the 10%, c60 s20 i20 is my way of going at it but definitely will keep it in mind in the future.
Glad you watched until the end! Thanks for the kind words my friend!
caringcarlos that's how I have my portfolio 60%c 20%s 20%I
I’m currently enrolled in the lifecycle LFund. Is that a good place to invest my money or is the G-fund better
epakerd G fund is a waste of time. It won’t grow much at all. Put it in the Cfund or you’re missing out on a lot of money
I came across this by accident and its very interesting.
I just got my first Fed job last August. We also have Lifecycle Funds like L2050, L2040, etc....
Do you know how those compare?
I'm overall not a big fan of the L-Funds for performance reasons.
I suppose I can look at the historical data. They were pushing for the L ones at the TSP meeting here
They always push the L-funds because most fed employees won't do research. But, if you're watching this channel then you're savvier than most.
I don't get why they try to screw you? I was told L 2050 is the safe long term route ? I may start investing heavily into the C Fund
Go to the TSP website people!!! Every question on here can be answered by simply reading all the valuable information from the website. If your too lazy to read up on the different options and variables that you can participate in, then thats on you. Graphs, calculations, funds. Its ALL on the website. Go READ!!! its not hard. Start young and hit it hard. Compounding interest people. Instead of a new car, throw that extra 500 bucks in your tsp. Buy,buy buy!! Be consistent, and you will be a millionaire. Don't believe me though. Use the calculations and find out what u need to save. Ok, thats all folks.
THX GOOD VIDEO, I do have a question COOP the fed said they may raise the interest rate by end of march, what does that mean and funds it affects?
It would likely most affect the F-Fund. That said, according to some theories, the price change is already built in to that decision.
I dont get a tsp match, stuck in the legacy system......
Larger pension if you finish career.
Holy Garage Gym Reviews?!?! WHAT.
My TSP is sitting at 15,000.00 right now. I ETS'd from the Army. Is it worth keeping this TSP account or should I roll it over into something else?
Need to look into how some of these other funds work. Everything I have is in the C and G fund.
In my humble opinion its worth keeping.,, but that decision is up to you.. You will never find a lower cost retirment account and with the right bit of know how you could turn that 15k into a very large sum of money.
Keep it. Switch it to S fund and watch. You’re welcome
KEEP IT!!!!! You can roll old employer accounts into it. TSP is LOW FEE. Funds are easy to understand and diversified well.
I don’t think there is a TSP match for the military.
fairwaywoods there is in the new retirement system it’s called the BRS
Hopefully you licensed that song.
How about the I-Fund?
The I-fund can be very helpful for diversification but is not a fund I see mentioned by Buffett.
Does this statement still hold true today for you? I'm young and staying in the Navy for a while so I do think this applies to some one in my situation looking for long term growth.
aggressive investing at a young age is the best way to go. your tolerance for risk should be higher than say someone that has 7 or less years to retire. as you near retirement age, you should adjust your portfolio to reflect your risk tolerance. However, it is advised to take as much risk as you're willing to take earlier on.
I’m retiring in 10 years! The c fund looked the worse for me! So I guess I will try that. I have more faith in my physical money. Ssa and pension. I am only putting 5%.
The most important advice is to invest in the TSP period. Then use the lifecycle funds. Allocations between C S I and whatever are balanced for you every quarter to be more conservative as you approach your retirement year. Problem solved
You'll lose out on gains by taking on less risk over time.
Expense ratios have changed...
TSP C fund is now 0.051%
Vanguard VOO is 0.03%
TSP is better than a savings account, but Vanguards expense ratios are much lower.
TSP has a match though.
@@perfectlymprfct yes, but they only match up to 5%, and it only goes into a traditional fund.
They (the government) push TSP as this golden investment opportunity, and if you don't know any better, it is the best thing around. If you educate yourself, you realize it's good, but there are better choices with more investment options.
Also, if you are trying to retire before you are 59.5, and your only investments are in TSP, you're not going to be able to touch that money without paying the penalty.
@@PabloDion Yea but TSP taxed advantaged where Vanguard only offers IRA in comparison.
Just get to it.......
When my youtube worlds collide! I came here for fed retirement planning not gym equipment!
TSP IFT: When does the transfer take effect if the request was completed prior to 9amPST or 12pmEST? e.g. $100000 in the G Fund a request to transfer all funds to the C Fund before 12pmEST. The C Fund shares prior to 12pm EST were $50 per share. 2000 shares of C Fund were purchased prior to 12pm EST. The TSP C Fund increased in value by $1.00 per share before COB. At the COB that evening C Fund Shares are now $51.00 per share. When would the member see the gain from the transfer? Would the member receive the gain from the transfer prior to 12pm EST or $51 x 2000 C Fund Shares or $2000 gain for the day? Or would the member see the gain or loss the following day depending on the volatility of the next days market at COB?
So this 10%/90% G Fund/C Fund is good for retirement? I'm pretty much in that now (with exception of 10% in I Fund). However, I still would like to roll my TSP Roth into a Roth IRA upon retirement in 3 years.
That depends on many factors including your risk tolerance and goals.
Fed Retirement Planning I just went from 50/50 to 10/90 in the G and C. Is that too risky, or will I be ok either way?
I would do more G fund as you get closer to retirement.
Wait , this isn’t garage gym Reviews
Thought he looked familiar
Just remember asset allocations in TSP is different than contribution allocation. This does require you to more actively manage the account and move money from more riskier funds to less risky. Not touching it can be a very costly mistake, especially if you time your withdraw at a downturn and you only have 10% in G fund. You may want to reconsider a few points about the funds, first lifecycle funds have shown to not work and the fees are higher. Also remember that when you withdraw from TSP you will be taxed at the income rate, not long term capital gains. That's a significant tax difference. I see no difference between G and F, I'd say it's wiser to contribute allocate more to G fund then interfund transfer to C or S when they are cheaper. Just saying.
The entire world are against people for asking for handouts, isn't this what you are doing know! What makes you more than average because the next person is not educated enough on this type of financial advise!
I. think the I fund is the biggest waste of time. Too much risk and they lag the other funds a lot
You showed us nothing how to apply the tsp bro can you make a vid with how to apply it and how to make a tsp we fed employees want to see different things like 10 percent makes this or 15 percent makes that you just saying things and showing paper work but no one is seeing how you apply your work to help people we don't understand
G fund makes nothing
C and s fund as it gives both Dow and S&P 500.
That's what I recommend
I’m 57 years old with 28 years in service. I’m investing 10% in my tsp. 15% in the G fund, 50% in C and 35% in the S fund. I’ve been getting a great quarterly return, but with retirement just 3-4 years away, I want to secure my interest earnings. Is a inter-fund transfer a good idea? Can I keep the allocations the same but transfer earnings to the G fund?
NOTICE to warren b. Fan Boy his guidance has bee no below average for almost 20 years . Even worst he missed on the entire tech revolution. Stop living in the past
You're awesome and I really appreciate your vlog. Just a little feedback for making things even better, please stop swaying-it's distracting.
Thanks for the kind words Christy! I also appreciate the criticism, I'm always trying to improve. I've been known to talk with my body and it's something I'm aware of, but also something I just do naturally when I'm passionate about things.
I'm the same with trying to improve-very cool. Don't mind the hand gestures, but the rocking is just a public speaking thing I learned in college.
I love your passion and your channel. I'm trying to get more active with my TSP account, so I'm super grateful you're out there. Thanks for sharing such great stuff with your viewers.
The financing stuff is tricky, so props to you for being so knowledgeable and sharing the wealth.
Dude stand still
lol
I was in the TSP from it's inception and retired in 2015. As a GS-3 ,I think a balance of 90k is alright.If I had made mor,I would have been even more invested. Maxed it at 5 percent. Most Americans don't even have 500 dollars for an emergency.
good job, most live paycheck to paycheck overspending without a care for tomorrow
YOU ROCK BACK AND FORTH AND TALK TOO MUCH
MTI - JOE And you're to old to have a haircut like that.... Do you wear yeezys as well old man?
MTI- JOE, no he doesn't you jerk! Very good information, maybe pay attention to what he has to say rather than being stupid.
Your math seems erroneous. Cost 0.038%. $10,000 would be $3.80, not $0.38
You should invest in a lavalier.
Started my GS career in 2004 (after 5 years NAF no TSP allowed there) with the minimum to get the match. I currently have 50 g and 50 C with a balance of $425000, my goal is $650000, but unless I place it all on Red, (C) I might not get there? I won't touch it till I'm 65 in 4 yrs. so maybe, just maybe???? Then I will be happy at getting %8 a yr. I can live good on $50000+ in gains and not touch the principal. We have no debt; house is paid, and the wife makes $100000+ a yr. and is 12 years younger than me. (My mama didn't raise no dummy LOL....) The wild card is Inflation. It ain't going to be worth tomorrow what it is today if we keep spending our way into a Black Hole, which is where we are at. 33 Trillion and counting.
I made good decisions and bad as over the years trying to time the ups and downs. Not so good. Overall, I know I've lost money due to emotional knee jerk reaction to Business News experts. Slow and steady, but the fear of losing a huge chunk with 3 yrs. to go until retirement and the current disfunction in the World, Covid dejour, spending like drunken sailors, social civil war, can I afford not to Buy low and Sell high? Probable not, but How do you know when it's High and Low? No one does. I worked with a gal close to retirement in 08, she lost half and had to postpone retirement for 3 years just to get back some of her losses. Not me, I'm not watching $225000 go down the drain and have to keep working till I'm 70 F that!
Good luck, Remember when you're playing with house money, always keep cab fare home in your pocket.