Congress returns from a recess next week with one of the first orders of business being to resolve differences between budget outlines passed by both chambers and fill in the many blanks those plans have left. The budget resolution is only a guidance document that is not presented to the White House, with specifics to be set by later bills that would. Both versions assume substantial savings from reduced spending on federal employee benefits, although the House version provides only an outline of how that might translate into actual policy changes, and the Senate version does not include even that. One specific provision is a call to increase employee contributions toward retirement, although even that does not set a figure but instead refers to recommendations of a 2010 deficit reduction commission that proposed making the two shares equal—meaning, in most cases, about a six percentage point increase in the employee share (and a similar reduction in the agency share). The budget measures do not address whether an increase would occur immediately or be phased in. The last time the House passed a bill to translate that same guidance into an actual bill, in 2012, it backed increasing the employee share by five percentage points, phased in over five years starting with an increase of 1.5 points in the first year, which would have been 2013. That bill never advanced beyond the House vote.
|TSP||G Fund||F Fund||C Fund||S Fund||I Fund|