TSP Open Seasons Could Be Ended

Another provision of HR-1601 would end the practice of conducting twice-years open seasons in the Thrift Savings Plan. TSP officials earlier this year backed ending the open seasons, the only periods of the year in which non-participating employees may join the program and when those already participating may change the level of their ongoing investments. The officials noted that even though newly hired employees can join the TSP immediately, as opposed to the policy in the TSP’s earlier years requiring them to wait until the second open season after their hiring, agency contributions for FERS employees still are subject to that delay because of the open season provision. Also, employees who stop contributions outside an open season must wait until the second open season before resuming them; those who stop contributions in an open season need to wait until the next one. Meanwhile, legislation (S-2479) to end TSP open seasons has been introduced in the Senate by Governmental Affairs Committee chair Sen. Susan Collins, R-Maine.