Thrift Savings Plan (TSP) Tax-Exempt Funds
51 year old has a TSP with tax-exempt dollars. Can he do a direct rollover of the pre-tax dollars (including the earnings from the tax-exempt dollars) to an IRA, direct rollover of Roth dollars to a Roth IRA, and an indirect rollover of the tax-exempt funds to a Roth IRA? Will he be required to withhold taxes on the indirect rollover of the tax-exempt funds? If he doesn’t have any Roth IRAs, what are the rules regarding accessing the portion rolled into Roth without incurring penalties?
Submitted by Philly Web Team on Wed, 2025-06-04 17:09