Air Force

May 23, 2014

Take ‘FIVE’ to get free money for your TSP account

Janis El Shabazz
Air Force Personnel Center

JOINT BASE SAN ANTONIO-RANDOLPH, Texas-The Thrift Savings Plan has launched the “Take FIVE for Your Future” educational campaign encouraging civilian employees to take advantage of free government TSP matching contributions by putting at least 5 percent from each paycheck into their account.

“Employees who fail to do this are losing out on thousands of dollars that can help them down the road when they get ready to retire,” said Carlos Colon, AFPC Benefits and Entitlements technical oversight team lead.

The government provides matching contributions on the first 5 percent of pay contributed each pay period. All civilian employees automatically receive a government 1 percent contribution. The first 3 percent will be matched dollar-for-dollar; the next 2 percent will be matched at 50 cents on the dollar. If employees stop making regular employee contributions, the matching contributions will also stop.

The campaign which also includes a YouTube video highlights the plan’s five core funds and five lifecycle funds available for employee investments.

For employees who are unsure which funds to select, the TSP offers lifecycle funds which automatically manage TSP contributions based on an employee’s target retirement date. Each L fund is invested in a combination of the five individual TSP funds to maintain an optimal balance of investment risks and rewards for a particular time horizon.

Colon said a common reason for employees hesitating to make the 5 percent contribution stems from not understanding how TSP works or not wanting to part with the money from each paycheck.

“While wanting to keep the extra money each month is understandable,” he said, “Employees should consider the impact that these contributions can have over the course of a career working for the government.”

Colon said according to TSP, an employee earning $50,000 per year who contributes 5 percent to their TSP, about $95 per paycheck, and earns an average annual rate of return of 6 percent can potentially have a TSP account worth as much as $418,000 after 30 years.

“The old financial adage about ‘paying yourself first’ definitely applies to TSP contributions,” said Colon. “The earlier you begin to save for your retirement, the easier it will be to weather short-term market fluctuations and gain the maximum savings benefit.”

To learn more about the TSP “Take FIVE for Your Future” campaign, visit the following links:
Website: https://www.tsp.gov/whatsnew/plan/planNews.shtml#takefive
Video: http://www.youtube.com/watch?v=V9fy7oE5Af8

Air Force civilians can make TSP elections through the Employee Benefits Information System.

For more information about other personnel issues, visit the myPers website at https://mypers.af.mil . To access EBIS select the link under the ‘I would like to’ section. Log into the site with your social security number and EBIS personal identification number.

New users who do not have a PIN must click the ‘new user’ option to create one. Employees, who have forgotten their PIN can reset it by providing six pieces of previously established information. After answering the security questions select, the “forgot login” link and enter the requested information.




All of this week's top headlines to your email every Friday.


 
 

 

Honest answers to sexual assault myths

As Sexual Assault Awareness and Prevention Month comes to a close, I want to take the opportunity to address three persistent myths regarding the Air Forceís Sexual Assault Prevention and Response program. These myths include a commanderís ability to start, stop or otherwise hinder a sexual assault investigation; what agencies can take a sexual assault...
 
 
disaster-prep

Emergency Management reminds folks to ‘Be Ready’

The recent devastating earthquake in Nepal can serve as a†reminder to California residents that the state is prone to earthquakes. With that said, Edwards Emergency Management is encouraging base personnel and residents to be...
 
 

Upcoming classes at Edwards Family Advocacy

Edwards AFB Family Advocacy has several classes available to help members of Team Edwards and their families. Below is a list of classes available in the next month. Relaxation 101 This training will add “tools to your toolbox” to enhance your ability to relax and identify when you are stressed. It is a three part...
 

 

Edwards community holds first town hall meeting for 2015

Air Force photograph by Edward Cannon Col. Eric Leshinsky, 412th Mission Support Group commander, addresses base residents and personnel during the first semi-annual Edwards AFB Town Hall meeting which was held April 22 at the Airman and Family Readiness Center. The meeting included briefings from the 412th Force Support Squadron, 412th Security Forces Squadron, Army...
 
 

Please don’t thank me for my service

The other day a good friend and mentor, a retired AF Master Sergeant, sent me a message made up of a few simple words. Words that we, folks who wear a military uniform, may be accustomed to … “Thank you for your service.” I don’t know about you, but I am very uncomfortable when people...
 
 
Air Force photograph by Rebecca Amber

AGE Flight gets Air Force weapons loaders out of a jam

Air Force photograph by Rebecca Amber The nuclear-certified MHU-83 D/E Lift Truck received new wiring after the 412th Maintenance Squadron Aerospace Ground Equipment Flight discovered a defect in the manufacturing. True to a te...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>