New TSP Features Ahead

The TSP, which has had contractors working on upgrading its computer systems for several years, is expected to announce in the months just ahead exactly how the added features to become available under the new system will work and when they will be effective-most likely, sometime in the second half of this year, possibly on a phased-in basis. Many investors have been most interested in the switch from monthly to daily valuation of accounts, which will speed up processing of interfund transfers, loans, withdrawals and other transactions. However, new options also are on tap for how withdrawals can be structured, including new choices for partial withdrawals and for mixing and matching the types of withdrawals allowed; current rules require that an entire account be taken out as only one type of withdrawal.