Is it more beneficial to boost my TSP percentage, or to just contribute 5% and also put $ into an IRA?
Is it more beneficial to boost my TSP percentage, or to just contribute 5% and also put $ into an IRA?
byu/WordTimely8559 inMilitaryFinance
Posted by WordTimely8559
3 Comments
They are both great options.
TSP upsides: easy to do, fewer options makes it easier to choose, more restrictive withdrawal options make it harder to take money out unnecessarily, low costs
IRA upsides: more choices let you personalize more, less restrictive withdrawal options give you more flexibility in an emergency, potentially even lower costs
1. TSP to 5% match.
2. Roth IRA to max ($7500 for 2026)
3. something based on your needs (kids college, Brokerage, fund spouse IRA, etc.)
Max your TSP, max your IRA, then stocks in a brokerage.