TSP Annuity After Retirement

By on November 12, 2014 in Q&A, Retirement with 3 Comments

Q: I have a question about the TSP annuity. I am on the CSRS-offset plan, not the full CSRS or FERS, but a little of both, and a single parent of a daughter. My question is if I elect to take the TSP annuity after retirement and I die before using all of my contributions will it go to my adult daughter, my elected beneficiary? If not, what is the best option for me if I wanted to get the most of my tsp contributions, but also leave the money to my beneficiary if I did not use it all?

A: You will file a new beneficiary form if you elect the annuity and, if you die before recouping the purchase price (assuming you elect the cash refund feature), it will go to whomever you list on that form.

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About the Author

John Grobe is President of Federal Career Experts, a consulting firm that specializes in federal retirement and career transition issues. He is also affiliated with TSP Safety Net. John retired from federal service after 25 years of progressively more responsible human resources positions. He is the author of Understanding the Federal Retirement Systems and Career Transition: A Guide for Federal Employees, both published by the Federal Management Institute. Federal Career Experts provides pre-retirement seminars for a wide variety of federal agencies.