Roll it into your TSP. You pay the taxes that you'll have to pay upon doing a back-door Roth and the fund fees will be cheaper in TSP than anything you can get outside of the TSP. If you backdoor Roth it, you won't be able to get those funds into the TSP, so this is your only chance to get it into the TSP.

It may or may not be a big tax hit based on your basis. Obviously you need to wait until the divorce is final, but not really enough info to say. Depends on your total assets, liquid assets, expected retirement income, etc.

don't fo it until after you are divorces unless you are willing to give half to your spouse. check out divorce as a federal gov employee

I would say just roll it into TSP. That's a big hit to take on taxes and there's no real benefit unless you expect your income in retirement to be substantially higher. Whatever you do don't do the conversion while married because you are likely in an even higher bracket now than you will be after divorce.

I have about $150k in a Merrill Lynch IRA from a former employer. I would like to consolidate this in one place. Should I roll into my TSP or do a back-door Roth? Currently married with a HHI of $265k but will be divorcing soon and will end up with HHI of about $150k for myself. If there is any other information that is helpful to have, let me know.