Federal Employees, Federal Benefits and Debt
The Treasury Secretary says the government needs authority to borrow more money by September 29th. Could federal pension payments be suspended after this date?
G Fund
The G Fund and the Debt Ceiling
Congress is once again debating whether or not to raise the debt ceiling. Here is what this means for federal employees.
CBO Says Debt Limit Will Be Reached in October
The CBO says in a new report that the government will run out of money by October if the debt ceiling is not raised. Here is what this means for TSP investors.
Federal Employee Pension, G Fund Used to Avoid Government Default
The debt ceiling for the Federal Government has been reached and it is using accounting techniques to keep paying its bills. Federal employees are helping to fund the “extraordinary measures” now in effect.
Funding the Federal Government with the G Fund
As we quickly near the latest debt ceiling limit for the federal government, the G fund will again by eyed as a temporary way to continue government spending.
TSP: G Fund Balances Will Be Unaffected by Debt Ceiling
The TSP issued a statement saying that balances in the G fund will be unaffected by the recent steps the Treasury has taken to avoid hitting the debt ceiling.
Borrowing from the G Fund (Again) to Offset the Debt Ceiling
The debt ceiling limit will again be reached on February 7th so the government will take “extraordinary measures” to fund the government. This means that retirement assets of federal employees, including the TSP G fund, will again be used to help fund government expenses.
TSP Director Confirms Potential Deferral of G Fund Payments
TSP Executive Director Greg Long said in a recent letter to TSP participants that in the event of hitting the debt ceiling, it is possible that the government can use money from the G fund to help pay the federal debt.
Withholding G Fund Payments to Avoid the Debt Ceiling
The G fund is again being used as a stop-gap measure to avoid the federal government hitting the debt ceiling for the second time in a few months.
What Happens to Your TSP Funds If the Debt Limit is Not Raised?
The next political debate on the federal debt will be the question of raising the debt ceiling which is currently about $14.3 trillion. Since this ceiling will be reached in a short time, and since Congress has not yet voted to raise the debt limit, what will be the impact on federal retirement funds while the debate continues?
