TSP Offers Assistance to Victims of Hurricane Sandy
The TSP has made temporary changes to the financial hardship withdrawal rules for participants affected by Hurricane Sandy. These changes allow participants who were affected by Hurricane Sandy or who had a family member affected by Hurricane Sandy to take a hardship withdrawal and to continue making TSP contributions in the 6-month period after the hardship withdrawal.
As of November 21, 2012, the TSP will treat any Financial Hardship In-Service Withdrawal Request (Form TSP-76) as a qualifying hardship provided you meet all of the following criteria:
- Your primary residence or place of employment must be located in a covered disaster area and you must have incurred a loss as a result of Hurricane Sandy.
Your hardship withdrawal request will be used to assist an eligible family member who lives or works in a covered disaster area and who incurred a loss as a result of Hurricane Sandy.
- In addition, you must also meet all of the following requirements:
- You must be actively employed as a Federal civilian or a member of the uniformed services.
- You must write “Hurricane Sandy” on the top of page 1 of your Form TSP-76.
- You must check the “Personal Casualty” box on page 2 of your request form, as the reason for requesting financial hardship.
- Your request must be received by January 25, 2013 and your distribution must occur before February 1, 2013.
The TSP will waive the rule prohibiting employee contributions for 6 months after taking a hardship withdrawal. If you want to stop your TSP contributions, complete Form TSP-1, Election Form (Form TSP-U-1 for uniformed services) or use your agency or service’s automated system.
The previously described rule changes are not retroactive and all other Form TSP-76 rules apply. If you have questions about these changes, call the toll-free ThriftLine at 1-TSP-YOU-FRST (1-877-968-3778). Outside the U.S. and Canada, please call 404-233-4400 (not toll free).
by FedSmith.com |