Yesterday’s article on the L 2010 fund "turning into" the L Income Fund resulted in my receiving clarifying information from the Thrift Savings Plan (TSP) folks.
The TSP website (on which I based the article) states: "L 2010 will roll into the L Income Fund automatically in July 2010 when its allocation becomes the same as the allocation of L Income Fund." The actual mechanics of the transition are somewhat different.
After the July 1, 2010 adjustment in the L 2010 Fund, its allocation will be identical to the L Income Fund allocation. However, the money will remain in the L 2010 Fund until the end of December 2010. After that point the L 2010 Fund will "roll-down" into the Income Fund and cease to exist. The L 2050 Fund will be established in January 2011.
