Reply to Hating the TSP -- opinions on how to invest?

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[quote=Anonymous][quote=Anonymous]People on here are spouting ignorance/misinformation about tsp matching contributions.  Agencies all follow THE SAME matching contribution rules.  NO ONE is getting a 10% match from a federal employer.

Automatic agency contribution = 1%. This is not a "matching" contribution b/c you (the employee "EE") do not have to contribute a cent toget this.

Matching contributions = 1 for 1 ratio for the first 3% of your income that you contribute to tsp.  Then it goes to a 1 for 2 ratio (or 50 cents on the dollar) for the next 2 % of your salary.  So if you contribute 3% of your salary, you will get 3% of your base salary FREE from your employer.  If you contribute 4% of your salary, your employer (ER) will contribute 3.5%.  If EE contributes 5%,  ER will contribute 4% as a matching contribution.

So the "10 % matching" referenced in a PP is not 10% from the employer, it is 5% contributed from the EE, plus 4% matching from the ER, and a 1% automatic contribution made by the ER.  Total addition to the tsp program is 10%, but half is from the EE.

https://www.tsp.gov/planparticipation/eligibility/typesOfContributions.shtml[/quote]

Actually you have no idea what you are talking about.  Two of the financial regulators match 5% to the TSP and 5% to their own 401k plans.  [/quote]

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