Re: Wouldn't it be nice...

If you invest a small portion of your pay over the long haul in the FERS TSP plan and have the patience to not try to meddle with it all the time based on knee jerk reactions you'll be fine. You can easily retire after 30 years (say age 25 to 55 for instance) with an income of at least as much as your working income. Does CSRS allow you to do that?

Before bad mouthing the FERS program you might want to consider using it properly.

Re: Wouldn't it be nice...

Whoa, it's not the end of the world here. This blip should definetely not keep anyone from retiring as planned. You need to remember that you haven't lost anything until you sell your shares in the TSP. Despite your valid concerns, the C, S and I funds are still up for the year and more importantly, up 16, 17 and 22 percent for the preceeding twelve months. The big picture that you should keep in mind is that the CLOSER you get to YOUR retirement it's important to lessen your potential risk and move to bonds and yes the G fund. If you can't bear to watch these fluctuations on a daily basis, don't. Move your money into one of the L funds and forget it. They'll adjust your positions automatically to lessen your risk based on your time target for needing the money. I'm extremely happy to be a FERS employee with my 5% match. Right off the bat, I'm 5% ahead guaranteed.

Re: TSP

I lost $14,000 in February, but within a couple of weeks I made that back, plus an additional $7,000. I read an article a month or so later that indicated those who moved their money to the G Fund at that time made a critical mistake. Last week I lost $15,400. I've left things as they were (30% C, 35% S and 35% I) and can only hope to have the same results as in February.

Re: TSP

IT Specialist, if you have all your money in C,S and I less than a year away from retirement then you have an incorrect asset allocation.

Re: TSP

You lost fifteen dollars? That's it?

Re: TSP

Budget Analyst, that's a typo. HR Spec meant $15K. The rest of us figured that out, please try to catch up.

Re: Reaganomics vs Priviatization

There are virtually no defined benefit plans left. The FERS system is better than most 401(k) plans and the TSP plan has lower expenses than any other mutual fund.

While complaining loudly about the system and how you feel you have been treated unfairly, remember that your system is better than those that are paying our salaries--with half the average salary of the average federal employee.

Your cynicism is unwarranted and sounds like a rant without any facts. Any stock market investor who is broadly invested will lose money in a down market. Most of us have done very well in the TSP over time.

Please go back to your union meeting and complain some more. Perhaps you will feel better but spare the rest of us from your whining.

Re: Reaganomics vs Priviatization

Are you really serious?

The American people are in La-la land. If they had any idea of what the Federal Reserve was up to, they’d be out on the streets waving fists and pitchforks. Instead, they go about our business like nothing is wrong.

What is it that people don’t understand about the trade deficit? It’s not rocket science. The Current Account Deficit is over $800 billion a year. That means that we are spending more than we are making and savaging the dollar in the process. Presently, we need more than $2 billion of foreign investment per day just to keep the wheels from coming off the cart.

Surely you know the current trade imbalances are unsustainable and will probably trigger major economic disruptions that will thrust us towards a global recession. Still, Washington and the Fed stubbornly resist any change in policy that might reduce overconsumption or reverse present trends.

It’s madness b/c ultimately the debt our country is in will play havoc on our retirements!!

Re: Reaganomics vs Priviatization

Info Sys Mgr, you really think the stock market is a ponzi scheme and a conspiracy to benefit White House residents at the expense of the rest of us? Please tell us your joking..

Re: Reaganomics vs Priviatization

Info Sys. Mgr: be sure not to spill your Kool Aid on your keyboard when you are typing your rants about a select group of individuals controlling the performance of the stock market. Or better yet, keep them to yourself.

Re: Reaganomics vs Priviatization

Supervisor & IT Spec. while both of you are great "Ranters" in your own right! Surely, you cannot ignore the mounting debt and 100's of billions in our trade deficit.
Prior to Reagan coming into office in the 80's, this country was not a debtor nation! 20 years of Republican Presidents and economic policies and 8 years of the policies from the stealth Republican named Clinton; is the reason why we have an unbalanced trade deficits, and over 10 trillion dollar national debt w/ countries like China, Japan, and Saudi Arabia buying up our debt by purchasing Treasure Bills.
These countries will only hold on to these treasure bills so long as the dollar remains reasonable strong and sound!! Should the dollar no longer remain strong due to our ever rising trade decfits and national debt and China, Japan and the Saudi's decide to start dumping America Debt, this would make the great depression look like a 4th of July holiday and plunge our country into a third world financial basket case.

Re: Reaganomics vs Priviatization

You compare the CSRS to FERS conversion to a Ponzi scheme and carry on about 401Ks and the stock market being fools games.. and you call us ranters? Talk about the pot calling the kettle black. Why don’t you stop your whining and discuss what this article is actually about?? (which is how your TSP allocation may or may not be affected by the current market conditions in case you need reminding)

Re: Reaganomics vs Priviatization

Info mgr,

You are sadly mistaken if you believe for a minute that those listed countries will ever dump our treasury notes ever! They are dependant on our markets to sell their goods and would have no one to sell to if our economy truly tanked as you suggest. That would mean certain death for their economies as well. No, they are as dependant on us as we are them. This deficit as you speak of will never go away. And more importantly, it doesn't have to.

Re: Reaganomics vs Priviatization

Let me guess... the solution from our friend from the USAF is to liquidate everything and stuff all the proceeds into a mattress. right?