New TSP Funds Coming July 1

A group of new L Funds is coming this summer to the TSP.

The Thrift Savings Plan has announced that a group of new funds are coming on July 1.

What’s Changing?

One big change is that the L 2020 Fund is being retired since it is now 2020 and that fund’s target date has been reached. Any money remaining in that fund will be rolled into the L Income Fund.

Also, new L Funds are being added so that the target retirement dates of each fund will be separated by only 5 years instead of 10. The TSP says this will allow plan participants to more precisely target the time when they think they will need money in retirement. A total of 6 new L Funds will be added.

Starting July 1, 2020, this will be the new L Fund lineup:

  • L 2065
  • L 2060
  • L 2055
  • L 2050
  • L 2045
  • L 2040
  • L 2035
  • L 2030
  • L 2025
  • L Income

Newly hired federal employees are automatically enrolled in the appropriate L Fund for their projected retirement age. Beginning October 1, 2020, the automatic enrollment percentage will increase from 3% to 5% of pay for all participants who are automatically enrolled in the TSP.

The fact sheet from the TSP below has more details about the upcoming fund changes.

New TSP L Funds: July 2020

About the Author

Ian Smith is one of the co-founders of He has over 20 years of combined experience in media and government services, having worked at two government contracting firms and an online news and web development company prior to his current role at FedSmith.