Tax-deferred retirement plans invest money from your paycheck before taxes are deducted. This allows the funds to grow within the investment plan without the drag of taxes on their value. Taxes are assessed when the funds are withdrawn from the account. Qualified distributions are withdrawals made ...
Different from the Roth IRA in many ways, contributions to the TSP are made with pre-tax dollars, which reduces the amount of taxable income in the year contributions are made. Of course, since taxes have not been paid on contributions, distributions from the TSP will be taxed. If you are...
After his Sept. 30 retirement, John received his buyout payment from his former agency along with his final paycheck and payment for his unused annual leave. So far, so good. He also was placed into interim retirement status by the Office of Personnel Management while his claim was assigned ...