Retirement Planning for Federal Employees
Your retirement has three parts that do not arrive as one plan: a FERS pension, the TSP, and Social Security. Each one answers a different question, and each runs on its own timing. We help federal employees fit the pieces together and build the retirement income plan around all of them. FERS covers eligible federal civilian employees. Military members have different retirement systems, although they also use the TSP.
Your FERS benefits, fitted into one retirement plan
The Federal Employees Retirement System, FERS, rests on three legs: the basic pension annuity, the Thrift Savings Plan, and Social Security. Most federal employees touch all three over a career, and the decisions should not be made from the TSP account alone. When you can retire, what your income will be, and what still needs saving all depend on how the three fit together.
That work starts with a question, not a product. What will the pension pay, what will the TSP do, and what is missing? The rest of this page answers those questions in plain terms. Our retirement planning work starts the same way: your circumstances first, then the plan. Our office in Forest Acres is close to Fort Jackson, so naturally many of our clients are federal employees who hold TSP accounts. Some of our clients work at Shaw Air Force Base. That includes civilian employees at Fort Jackson, McEntire Joint National Guard Base, and federal agencies across the Columbia Midlands. Where it applies, the plan also weighs the Special Retirement Supplement, which pays until age 62.
The TSP: a simple, low-cost plan
The TSP's investment menu is simple by design: five individual funds, each tied to a broad market index, and ready-made Lifecycle mixes. The funds are a good fit for the accumulation years, when time does most of the work.
- G Fund: U.S. Treasury securities made for the TSP.
- F Fund: a broad index of U.S. bonds.
- C Fund: the S&P 500, large U.S. companies.
- S Fund: smaller U.S. companies outside the S&P 500.
- I Fund: stocks of companies outside the United States.
The L Funds, Lifecycle Funds, are age-based mixes of those five funds. Each one grows more conservative as its target year approaches, so the allocation adjusts itself. The TSP describes each fund on its site.
Planning starts with the contribution amount, because the match is part of the pay. Under FERS, your agency puts in 1% of basic pay whether you contribute or not, matches your first 3% dollar for dollar, and adds 50 cents on the next 2%. Contribute 5% and the agency adds 5%. CSRS employees receive no agency money. For members of the uniformed services, matching depends on the retirement system: those in the Blended Retirement System receive it, and those in the legacy system do not.
Roth and traditional TSP money are both available, and the choice is walked through client by client: the tax picture now, the tax picture in retirement, and what the client already holds with us and elsewhere. Agency money always lands in the traditional balance, even when your own money goes to Roth.
Since January 2026, the TSP also allows Roth in-plan conversions. Traditional money can move to the Roth balance inside the plan, without rolling out to an IRA. The converted amount counts as taxable income in the year it moves, and the conversion cannot be reversed.
Staying in the TSP, or rolling over
At 59½, while still working, an age-based in-service withdrawal becomes available: up to four per calendar year, at least $1,000 each, and an eligible rollover distribution, so the money can move directly to an IRA or another eligible plan. A hardship withdrawal cannot be rolled over. We provide the rollover education and help with execution where moving money makes sense.
At separation or retirement, the same question returns with more weight. Some clients see the benefit of access to specific industries or investments the TSP does not offer, and a broader menu matters to them. Others keep the TSP for exactly what it is: a good, low-cost, autopilot plan. Neither answer is automatic. We show the costs and tradeoffs of each, and you decide. Nothing moves without your decision.
Retirement timing ties it together. When you retire affects the pension, the supplement where it applies, Social Security, and how long savings need to last. The plan coordinates the pension, TSP withdrawals, and Social Security into one income picture, and weighs the tax and distribution rules that apply as the years go on.
Help with your TSP and FERS planning carries no separate fee
At E.P. Wayne Financial Group, it is part of the relationship. Help understanding your FERS benefits, reviewing your TSP investments, and building the plan around them carries no separate fee. There is no charge for reviews, plan creation, or planning engagements.
An advisor for your whole picture
At E.P. Wayne Financial Group, you work directly with a local, independent advisor who understands your whole picture. The advice is built around your situation, not just one account, and never a predetermined approach. Our process starts with understanding your circumstances, goals, and priorities. Investment and wealth management follows the same approach: investments chosen around your life, not from a corporate menu.
The work itself is review and explanation. An account does not have to be held with us for us to consider it closely. We review your specific accounts: the TSP holdings inside them, the allocation, and the contribution amounts where you can change them, alongside IRAs, prior 401(k)s, brokerage accounts, and a spouse's accounts. We consider each account in your overall planning, explaining the investments underneath and how each plan fits your overall strategy.
E.P. Wayne Financial Group is a fee-based firm. Clients choose an advisory account, a commission-based account, or both. A client who wants a fee-only relationship can have one here, in an advisory account: one annual asset-based fee, no commissions earned on the account, and recommendations held to the fiduciary standard. There is no annual management fee in a commission-based account, and any commission on a transaction is explained before you decide, so you can make an informed decision.
If a rollover to an IRA ever makes sense for TSP money, we will show you why, with the costs and tradeoffs, and you decide. Nothing moves without your decision.
Questions federal employees ask us
Can you manage my TSP account directly?
Your TSP account is held by the Thrift Savings Plan, and investment changes are made through the TSP. What we do is review your investments, recommend changes, and help you make them. What you get from us is advice and ongoing review of that specific account, not a second account somewhere else.
Should I roll my TSP over to an IRA when I retire?
It depends on what matters to you: the TSP's low cost and simplicity, or access to investments and industries the TSP does not offer, and the tax picture either way. We will show you the costs and tradeoffs with your numbers, and you decide. Nothing moves without your decision.
Can I move TSP money while I am still working?
At 59½, an age-based in-service withdrawal is available: up to four per calendar year, at least $1,000 each, and an eligible rollover distribution, so it can move directly to an IRA or another eligible plan. A hardship withdrawal cannot be rolled over. We provide the education and help with execution where moving money makes sense.
Do I have to move my TSP money to work with you?
No. Help with your TSP account is part of the relationship, and there is no separate fee for it. If moving money to an IRA ever makes sense, we will show you why, and you decide. Nothing moves without your decision.
General questions about working with us are answered on our FAQ page.
This page is general information about FERS and the TSP, not advice about your situation. Plan rules, investment options, and matching rules change. Confirm the details with OPM or the TSP before you decide.
Start with a conversation.
Bring your questions about FERS, your pension, or your TSP account. The first conversation is about your situation. There is no obligation to become a client.
Office hours: Monday to Thursday 8 a.m. to 6 p.m., Friday 8 a.m. to 4 p.m., Saturday by appointment.