Need Advice: Rollover a TSP to 401k? Or take the penalty and withdraw?Submitted by MikeFWT210 on Wed, 05/29/2013 - 03:42
Edit: Ultimately I will make this decision on my own, so I'm not asking you guys to tell me what to do. I'm seeking other points of view to better make my decision. Thanks again :)
My military career will be coming to an end within the next few months. I have a TSP which takes 20% of my military earnings during drill weekends, so overall the total in the account is less than 2,000 FRNs.
Should I rollover the TSP into my full-time job's 401k or personal ROTH for retirement savings?
Or should I just shut down the TSP, take the penalty, and supplement my actual savings or my bullion collection with the cash?
Where I'm at: Currently, I'm thinking of taking the penalty and just putting it towards my on-hand savings/bullion. As much as I'd like to set aside for retirement, it's still 40+ years away and it's less than 2,000 FRNs. I'm thinking that the cash could be put to better use, outside the retirement fund... in fact, I'm still unsure if I'm even making the right choice by putting CASH away for retirement (401k) in these current economic conditions. The FED will keep printing Benji's and devaluing it anyways... If economic collapse happens, I'll never see those funds again. But then again, if economic collapse doesn't happen and I DO get to experience life in America for another 40+ years, it's nice to have some retirement funds set aside, so I'm not thinking of quitting my retirement saving altogether just yet.
The crossroads... decisions, decisions...