President Bush has proposed a total pay increase for most Federal employees of 2% in January 2004.
Most readers expect a raise of about 4% this year.
The stock market has not been performing well for investors. For the first three weeks of January, the C fund has followed this trend as the S&P 500 Index is down about 4% for the month.
November was generally good for TSP fund investors with the S fund leading all others.
Political appointees and career civil service will be competing for money from the same bonus pool
Florida Congressman proposes to cut Congressional pay in response to 3.1% federal employee pay raise
The TSP’s C fund has been good to investors for two months in a row with a postive return of about 5.7% in November.
The stock market rebound in October is reflected in the results of the C fund–up 8.77%. The F fund turned down slightly in response to market pressure in the bond market.
Several readers have asked FedSmith.com about the risks of investing in bonds. Our advice: Investing in a bond fund is necessary to have a diversified investment portfolio.
The TSP’s C Fund had a positive return in October of more than 8%–the best return since the height of the bull market way back in 2000.