- Withdraw some or all of your money as a taxable lump sum.
- Withdraw some or all of your money in equal monthly payments based on your life expectancy and age at the end of every year.
- Have the TSP purchase a life annuity for you under a contract with MetLife.
- Roll over all or a portion of your balance to an individual retirement account.
So Many TSP Choices
When most current federal employees retire from government, they will have three different sources of retirement income: the Federal Employees Retirement System basic benefit, a Social Security retirement benefit and assets invested in the Thrift Savings Plan. The first two provide specific lifetime streams of income, while the third provides more flexibility.
Here are your TSP options after you separate from federal employment: