Automatic Cash-Out
If your vested account balance is less than $200, the TSP will automatically cash out your account and send you a check for the entire amount. It will be mailed to the address in your TSP account record. You cannot leave this money in the TSP and you cannot choose any other method for receiving it.
Transferring Your TSP Account
You can also transfer your TSP account to your IRA or other eligible employer plan. Remember that your plan's expenses might be higher than the TSP's. It's worth checking because every dollar that your plan collects from you in the form of expenses is a dollar less that goes to work for you.

If you're ready to leave Federal service, now is the time to decide what to do with your TSP account. You can leave your account with the TSP or choose one of several withdrawal options.

Leaving Your Money in the TSP


If your vested account balance is $200 or more, you can leave your entire account with the TSP until the account withdrawal deadline. If you leave your account with the TSP after you separate from Federal service, you are still considered a TSP participant. You remain a TSP participant until you withdraw all of the money from your account.

Keep your address updated. Once you've separated from Federal service, you must notify the TSP directly if you have an address change. You can complete Form TSP-9, Change in Address for a Separated Participant. The form is available on this website or through the ThriftLine. You may also change your address at My Account: Profile Settings.

Transferring Money Into Your TSP Account

Not only can you leave your money with the TSP, you can simplify your financial life by moving money from plans into your TSP account. By consolidating accounts in this way, you'll continue to enjoy the TSP's low administrative expenses and you'll still be able to change your investment mix by making interfund transfers.

For detailed information about moving money into your TSP account from an IRA or eligible employer plan, visit Rollovers and Transfers Into the TSP.

Account Withdrawal Deadline

If you decide to leave your money in the TSP, be aware that you will be required to start withdrawing your money by April 1 of the year following either:

  • The year you turn age 70½, if you are separated from Federal employment or the uniformed services, or
  • The year you separate from Federal service, if you have already reached age 70½.

As a helpful reminder, the TSP will notify you before your required withdrawal date and mail you important tax information about your TSP withdrawal, as well as information about the IRS required minimum distributions.

If you do not begin withdrawing your account by the required deadline, your account balance will be forfeited to the TSP. You can reclaim it; however, you will not receive earnings on it from the time it was forfeited.

To understand your withdrawal options, visit Withdrawing Your TSP Account.