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Re: [TSP_Strategy] State income tax on TSP withdrawals?

 

Remember if you retire under the age of 59 1/2 you can still withdraw from the TSP with no penalty.





On 8/22/2017 9:50 AM, gmbetz@yahoo.com [TSP_Strategy] wrote:
 

I did years ago.  It's a matter of lowest cost vs flexibility.  If your are not interested in anything beyond an S&P, Russel 2000 or EFAE fund with the intention of trading no more than a few times a year then the TSP is your lowest cost option.   But not by much.  According to the TSP website the average expense ratio is .038.  For every $1000 invested they charge you 38 cents.  At my broker, Ameritrade. I can trade the Vanguard S&P 500 based ETF, IVV, commission free.  The ETF charges an expense ratio of .04, or 40 cents for every $1000 I have invested.  


Ameritrade offers  over 100  commission free ETFs with expense rations from .04 to .51, average .29. Howerver if you trade that ETF within 30 days you are charged a commission, < $10 each way.

Plus other ETFs stocks and other securities can also be traded as often as I choose with out the the limit of the TSPs 2 trades per month.

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Posted by: Gary <Tweet_pa@yahoo.com>
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Neither the TSP Strategy group, nor individual members, are licensed or authorized to provide investment advice. Any statements made herein merely reflect the personal opinions of the individual group member. Please make your own investment decisions based upon your personal circumstances.

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