The Thrift Savings Plan has published its end of year processing schedule for 2025. It lists when transactions will be processed, including withdrawals and installment payments, as well as noting that the TSP will be closed for Christmas and New Year’s Day and when transactions will process around those holidays.
An important date to note is December 29, 2025. TSP withdrawals that are processed before 12 PM Eastern time on this date will be reported to the IRS as income for 2025, but withdrawals processed after that time will count as income for 2026.
TSP 2025 Year-End Processing Schedule
December 15 — December installment payments will be processed on December 15 as scheduled and will be reported to the IRS as 2025 income.
December 18 — Any 2025 RMD amounts for civilian, uniformed services, and beneficiary participants who have a remaining RMD balance will be processed on December 18. For income tax purposes, these payments will be reported to the IRS as income for 2025.
December 25 — Because Thursday, December 25 is a federal holiday, the TSP will be closed. Transactions that would have been processed Thursday night (December 25) will be processed Friday night (December 26) at Friday’s closing share prices.
December 29 — Withdrawals processed before noon eastern time on December 29, 2025, will be reported to the IRS as income for 2025. Withdrawals processed after noon eastern time on December 29, 2025, will be reported to the IRS as income for 2026.
December 30-31 — Withdrawals processed on December 30 or December 31 will be reported to the IRS as income for 2026.
January 1 — Because Thursday, January 1 is a federal holiday, the TSP will be closed. Transactions that would have been processed Thursday night (January 1) will be processed Friday night (January 2) at Friday’s closing share prices.
