Safely Creating a TSP Account for Successful Investing

The Thrift Savings Plan (TSP) is a unique retirement plan with a significant reward for people who sign up and use it wisely to manage their retirement accounts and safeguard their future.

While some view its simplicity as a drawback, the average person finds managing their retirement relatively simple.

The TSP has a problem because it only uses five critical proprietary funds. Yes, this implies that there are just five primary funds from which to pick, preventing you from investing in your preferred business, regardless of how much you adore Apple, Ford, Disney, or any other of the thousands of companies. Even investing in sole energy or retail mutual funds is prohibited.

However, you don’t have to consider analyzing dozens of funds, ETFs, or thousands of equities.

The inference is that investing is simple, and creating a significant retirement nest egg is also simple because there are only five funds from which to pick. Unfortunately, despite appearances, the government does not make things simple.

The government wants to deposit your automatic payments into the TSP G Fund. Your money won’t increase unless you remove it from the G Fund. This extremely conservative bond portfolio aims to keep up with inflation. Yes, it might keep up with inflation, which means you might not be losing money, but you won’t be saving for retirement and won’t be able to support yourself after retirement.

What TSP options do you have then?

These are the other four funds:

A bond-type fund, the F Fund has higher gains than the G Fund, so your money grows just a little bit more.

The C Fund is made to replicate the largest 500 companies in this group of the S&P 500 market index.

The S Fund attempts to mimic the biggest US businesses that make up the Dow Jones group of US businesses.

The I Fund presents a collection of international funds.

A fifth option, L Funds, or extra Life Time funds, are also available. These funds alternate between the five main funds depending on when you retire. The problem with these funds is that their administrators assume that everyone is exactly the same and will have the same financial demands, objectives, and difficulties during their investing years and retirement.

By using a personal investing program, you can increase your account size to fulfill your needs and reach your objectives. 

Some mutual funds and ETFs replicate the TSP funds, even though investment software cannot access the government TSP funds to assess and make choices because the government doesn’t share the day-to-day data. 

By integrating these funds into software and creating back-tested techniques, you can figure out when to move your money from one fund to another or make a portfolio with your money divided among the many funds to provide you with the best return and the best return value based on your individual goals.

A few precautions and a comprehensive plan are necessary for the implementation of a successful TSP management plan.

  • The TSP trading regulation states that only two trades (transfers) other than those into the G Fund may be conducted monthly.
  • The optimal structure for payroll deposits is to go into the F Fund and then be redistributed (traded/transferred) the following month.
  • Use personal investment management software to help you decide how and when to distribute your cash across the various TSP funds.

You’ll have a sizable retirement account and experience less financial stress if you put your retirement account to work for you. As soon as your TSP tactics are set up, this should take 20 to 30 minutes once every few weeks.

Transacting with funds in your TSP account

You can conduct different types of investment transactions to determine the investment mix in your TSP account, including but not limited to:

  1. How you choose to invest new funds that enter your TSP accounts, such as contributions, loan payments, and rollovers, is determined by your investment election (formerly known as “contribution allocation”).
  2. The money in your account remains unaffected if you change your investing preference. Until you make a new investment decision, your current one is still in effect.

Note: As a new feature, any modification to your investment decision will typically be reflected in your account right away and take effect the following business day. No longer is there a cutoff time for these transactions at noon.

Contact Information:
Email: aaron@steelecap.net
Phone: 3604642979

Bio:
After entering the financial services industry in 1994, it was a desire to guide people towards their financial independence that drove Aaron to start Steele Capital Management in 2013. Armed with an extensive background in financial planning and commercial banking coupled with a sincere passion for helping people, Aaron has the expertise and affinity for serving the unique needs of those in transition. Clients benefit from his objective financial solutions and education aligned solely with
helping them pursue the most comfortable financial life possible.

Born in Olympia, Washington, Aaron spent much of his childhood in Denver, Colorado. An area outside of Phoenix, Arizona, known as the East Valley, occupies a special place in Aaron’s heart. It is where he graduated from Arizona State University with a Bachelor of Science degree in Business Administration, started a family, and advanced his professional career.

Having now returned to his hometown of Olympia, and with the days of coaching his sons football and baseball teams behind him, he now has time to pursue his civic passions. Aaron is proud to serve on the Board of Regents Leadership for Thurston County as the Secretary and Treasurer for the Morningside area. His past affiliations include the West Olympia Rotary and has served on various committees for organizations throughout his community.

Aaron and his beautiful wife, Holly, a Registered Nurse, consider their greatest accomplishment having raised Thomas and Tate, their two intelligent and motivated sons. Their oldest son Tate is following in his father’s entrepreneurial footsteps and currently attends the Carson College of Business at Washington State University. Their beloved youngest son, Thomas, is a student at Olympia High School.

Focused on helping veterans and their families navigate the maze of long-term care solutions, Aaron specializes in customized strategies to avoid the financial crisis that care related expenses can create. Experience has shown him that many seniors are not prepared for the economic transition that takes place as they reach an advanced age.

With support from the American Academy of Benefit Planners – an organization with expertise and resources on the intricacies of government benefits – he helps clients close the gap between the cost of care and their income while protecting their assets from depletion.

Aaron can help you and your family to create, preserve and protect your legacy.

That’s making a difference.

Disclosure:
Disclosure:
Investment advisory services are offered through BWM Advisory, LLC (BWM). BWM is registered as an Investment Advisor located in Scottsdale, Arizona, and only conducts business in states where it is properly licensed, notice filed, or is excluded from notice filing requirements. BWM does not accept or take responsibility for acting on time-sensitive instructions sent by email or other electronic means. Content shared or published through this medium is only intended for an audience in the States the Advisor is licensed in. If you are not the intended recipient, you are hereby notified that any dissemination, distribution, or copy of this transmission is strictly prohibited. If you receive this communication in error, please immediately notify the sender. The information included should not be considered investment advice. There are risks involved with investing which may include market fluctuation and possible loss of principal value. Carefully consider the risks and possible consequences involved prior to making an investment decision.

Confidential Notice and Disclosure: Electronic mail sent over the internet is not secure and could be intercepted by a third party. For your protection, avoid sending confidential identifying information, such as account and social security numbers. Further, do not send time-sensitive, action-oriented messages, such as transaction orders, fund transfer instructions, or check stop payments, as it is our policy not to accept such items electronically. All e-mail sent to or from this address will be received or otherwise recorded by the sender’s corporate e-mail system and is subject to archival, monitoring or review by, and/or disclosure to, someone other than the recipient as permitted and required by the Securities and Exchange Commission. Please contact your advisor if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services. Additionally, if you change your address or fail to receive account statements from your account custodian, please contact our office at compliance@bedrockia.com or 800-779-4183.

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After entering the financial services industry in 1994, it was a desire to guide people towards their financial independence that drove Aaron to start Steele Capital Management in 2013. Armed with an extensive background in financial planning and commercial banking coupled with a sincere passion for helping people, Aaron has the expertise and affinity for serving the unique needs of those in transition. Clients benefit from his objective financial solutions and education aligned solely withhelping them pursue the most comfortable financial life possible.Born in Olympia, Washington, Aaron spent much of his childhood in Denver, Colorado. An area outside of Phoenix, Arizona, known as the East Valley, occupies a special place in Aaron’s heart. It is where he graduated from Arizona State University with a Bachelor of Science degree in Business Administration, started a family, and advanced his professional career.Having now returned to his hometown of Olympia, and with the days of coaching his sons football and baseball teams behind him, he now has time to pursue his civic passions. Aaron is proud to serve on the Board of Regents Leadership for Thurston County as the Secretary and Treasurer for the Morningside area. His past affiliations include the West Olympia Rotary and has served on various committees for organizations throughout his community.Aaron and his beautiful wife, Holly, a Registered Nurse, consider their greatest accomplishment having raised Thomas and Tate, their two intelligent and motivated sons. Their oldest son Tate is following in his father’s entrepreneurial footsteps and currently attends the Carson College of Business at Washington State University. Their beloved youngest son, Thomas, is a student at Olympia High School.Focused on helping veterans and their families navigate the maze of long-term care solutions, Aaron specializes in customized strategies to avoid the financial crisis that care related expenses can create. Experience has shown him that many seniors are not prepared for the economic transition that takes place as they reach an advanced age.With support from the American Academy of Benefit Planners – an organization with expertise and resources on the intricacies of government benefits – he helps clients close the gap between the cost of care and their income while protecting their assets from depletion.Aaron can help you and your family to create, preserve and protect your legacy.That’s making a difference.

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