Air Force

October 5, 2012

Roth contributions to open to all active duty troops

By Terri Moon Cronk
American Forces Press Service

WASHINGTON, D.C. — Active duty members of the Army, Navy and Air Force are now able to contribute to the Roth Thrift Savings Plan as part of their investment planning, Defense Financing and Accounting Service officials said, Sept. 28.
The after-tax contributions will be electronically deducted from service members’ pay accounts.

Active duty service members also can start their Roth TSP contributions now through their online MyPay accounts, which offer the fastest, easiest and most secure method to manage both Roth and traditional Thrift Savings Plan contributions. The second option open to service members is to submit a TSP-U-1 form to their finance office.

Active-duty Marines, Guardsmen, reservists and civilians paid by DFAS were able to begin making contributions to the program in June, officials said.

Additionally, the other branches of the National Guard and Reserve will be able to make Roth TSP contributions by mid- to late 2013.

The timeline difference between active-duty and other service members resulted from an interim solution for reserve component members, which did not meet Federal Retirement Thrift Investment Board requirements, according to DFAS.

While work continues for options that will be available more quickly and satisfy the law and Federal Retirement Thrift Investment Board’s requirements at the same time, the new schedule will allow time to make systems changes and electronic deductions that meet all requirements. DFAS officials said.

To begin making Roth TSP contributions, service members should determine how much of their pay is eligible. A Roth TSP worksheet can help make the calculations.

Military members are required to contribute an amount equaling 1 percent of their eligible pay to begin TSP contributions. For those who are not participating in traditional TSP investments, the initial Roth TSP election must meet this 1 percent requirement. The IRS maximum contribution to Roth TSP is $17,000 per year, DFAS officials said.

Military members can use pay earned in combat zones and are excluded from federal taxes when contributing to Roth TSP.




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


 
 

 
(Official U.S. Air Force photo)

Knowing the facts: National American Indian Heritage Month

(Official U.S. Air Force photo) Maj. Gen. Clarence L. Tinker was the highest ranking officer of Native-American ancestry and the first general lost in action during World War II. November is National American Indian Heritage Mo...
 
 

VA implements second phase of Choice Card Program

Washington, DC – The Department of Veterans Affairs (VA) today announced that it began mailing Veterans Choice Cards on Nov. 17 to Veterans currently waiting more than 30-days from their preferred date or the date that is medically determined by their physician for an appointment at a VA facility. “VA continues to focus on implementation...
 
 

Red Cross shares top safety tips for Thanksgiving

Millions of people will travel to spend their Thanksgiving holiday with loved ones and the American Red Cross has steps they can follow to help make sure they have a safe trip. The holiday is also a time when cooks spend a lot of time in the kitchen and there are tips they can use...
 

 

Officials Highlight Health, Wellness Resources for Military Families

WASHINGTON – As efforts continue to strengthen service members and their families, Pentagon officials held a Bloggers Roundtable to highlight the myriad resources available to tackle the unique military and transitional challenges those who serve may face. Deputy Assistant Secretary of Defense for Military Community and Family Policy Rosemary Freitas Williams, Marine Corps Sgt. Maj....
 
 
HBI

Tips for getting enough healthy protein in your diet

At a time when over a third of American adults are obese and childhood obesity rates are rising exponentially, more Americans are looking for meat alternatives in their dining choices. In fact, close to 16 million Americans are...
 
 

AF closes FY14 force management programs

WASHINGTON (AFNS) — Airmen who met the service’s reduction in force board were notified of the board’s results Nov. 19, bringing the fiscal year 2014 force management programs to an end. The RIF board selected 354 captains and majors across the Air Force for non-retention, half of the number the service previously projected it would...
 




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>


Directory powered by Business Directory Plugin