Quick Answer: What Is The Most Aggressive TSP Fund?

What is the riskiest TSP fund?

An investment that has very steady returns, like the G Fund, has very low standard deviation or volatility.

The G Fund is in fact guaranteed not to lose any money, and its standard deviation (zero percent) is by far the lowest of all funds..

Why is TSP bad?

Environmental concerns: TSP cleaner can also be bad news for the environment as a whole. If it ends up in lakes and streams, the phosphates trigger an overgrowth of algae that results in a depletion of oxygen levels in the water, which endangers fish and aquatic plant life.

What is the C fund?

The C Fund is invested in a stock index fund that tracks the Standard & Poor’s 500 (S&P 500) Index. This is a broad market index made up of the stocks of 500 large to medium-sized U.S. companies. It offers you the potential to earn high investment returns over the long term.

How much should I have in my TSP at 40?

At 30, you should have half of your annual salary saved. By 40, you should have twice your salary, and by 50, you should aim for about four times your salary in retirement savings. The bottom line is that at 40, if $75,000 represents twice your salary, you’re in good shape.

Is TSP better than 401k?

The TSP offers both a traditional option and a Roth option, as do many 401k and 403b plans. Contributions to the traditional option are taxed deferred and reduce your taxable salary, but any future withdrawals are treated as taxable income. … Limits on TSP contributions are equivalent to those for 401(k) plans.

What is the best performing TSP fund?

The TSP’s C Fund is based on the S&P 500 index and both the C Fund and the C Fund had the best rate of return since 2013. The trailing fund for the year was the G Fund with an annual return of 2.24%. The G Fund is considered the safest of the TSP funds as it always has a positive return.

What does TSP stand for?

Thrift Savings PlanTSPAcronymDefinitionTSPTeaspoonTSPThrift Savings PlanTSP3-(Trimethylsilyl)-Propionic-2,2,3,3-D4 AcidTSPTraveling Salesman Problem141 more rows

How do you become a millionaire on TSP?

Becoming a TSP Millionaire: Don’t Try to Time the MarketInvest Consistently. In investing, consistency trumps all. Actually, in just about every area of life, consistency trumps all. … The Match. TSP millionaires understand the power of the TSP match. … Once Again: Do Not Try To Time The Market. The last 10 years have been an incredible stock market run.

Which is better C fund or S fund?

Smaller company stocks (S Fund) tend to perform better in the early phase of an economic expansion, while large company stocks (C Fund) tend to perform better in the later stages of an economic expansion when growth is slowing but profits are still high.

How do I move my TSP money?

Ways to move money into your TSP account A transfer or “direct rollover” occurs when the eligible plan sends all or part of your money to the TSP. Use Form TSP-60, Request for a Transfer Into the TSP, for tax-deferred amounts. To transfer Roth money, use Form TSP-60-R, Request for a Roth Transfer Into the TSP.

What age can you withdraw from TSP?

55With the TSP, you are exempt from the early withdrawal penalty if you separate from federal service in the year in which you reach age 55 or later. For IRAs, the early withdrawal penalty will apply on anything you take out up until you reach the age of 59 ½.

What does the F Fund Track?

The F Fund tracks the Bloomberg Barclays U.S. Aggregate Bond Index, a broadly diversified index of the U.S. bond market. On December 31, 2018, the index included 10,252 notes and bonds.

What are the different TSP funds?

Breaking Down the TSP Investment FundsCore TSP Funds.Government Securities Fund.Fixed Income Investment Fund.Common Stock Index Fund.Small Capitalization Stock Fund.International Stock Fund.Lifecycle Funds.TSP Investment Programs.More items…•

Can TSP G fund lose money?

The G-fund is an incredibly unique fund that isn’t available anywhere else in the world other than in the TSP. When investing in the G-fund you have a guarantee from the U.S. Government that you will not lose money in this fund. … Over the last 10 years, the G Fund has averaged a return of about 2.3%.

What is the best TSP to invest in 2020?

Best Performing TSP Fund in 2020 The F Fund is ahead 3.10% for the year and is up 8.84% over the past 12 months. That puts the F Fund ahead of any other TSP Fund for the first quarter of the year and also the best performing fund over the past 12 months.

What is the average TSP balance?

As of Dec. 31 it has dropped down to 21,432. The average Thrift Savings Plan balance for Federal Employees Retirement System participants — 3.3 million people — was $138,933 in January. That compares to an average TSP account balance of $146,642 for the 314,193 Civil Service Retirement System participants.

Is the TSP F fund good?

The F fund is low risk, but since it holds some corporate investment grade bonds it has some default risk potential. In a flight-to-safety event, the corporate bond prices will fall while the safe haven Treasuries in the TSP F fund will climb negating some of the benefits of falling interest rates.

What is the TSP L 2040 fund?

The TSP L 2040 Fund is one of the TSP Lifecycle Funds, designed for investors who plan to withdraw their money beginning 2038 through 2042. It aims to achieve a high level of growth with a low emphasis on preservation of investment capital.

What is the L 2030 Fund?

The TSP L 2030 Fund is one of the TSP Lifecycle Funds, designed for investors who plan to withdraw their money beginning 2028 through 2032. It aims to achieve a moderate to high level of growth with a low emphasis on preservation of investment capital.

What does Dave Ramsey recommend for TSP?

We recommend that you put in a ratio of 80-10-10 or 60-20-20. That means put 80% in the C fund (common stock fund), the other 10% in the S fund (small-cap stocks) and 10% in the I fund (international). In the S and I funds, either put 10% in each or 20% in each and then 80% or 60% in the C fund.

What is a good rate of return on TSP?

TSP FundsTSP Investment Funds 8/31/1990 – 10/9/2020TSP G FundTSP I FundYTD Return0.78%-4.04%1-Year Return1.19%5.82%3-Year Return2.16%2.00%5-Year Return2.11%4.85%8 more rows