Re: [TSPStrategy] 20% tax on withdrawals

You know well that whenever you take a withdrawal from TSP that it is counted as taxable income that year. So, if you withdrew you entire TSP, say you had $1Mil, that would make for a hefty tax burden that year. If you plan to switch it into a ROTH, that is fine, but taxes will still be owed on it. All TSP deposited earnings are TAX-exempt, but you must pay taxes on them at some point when they leave that account. If you can figure out a way around that please let me in on it--please!

On Friday, July 23, 2021, 1:24:40 PM CDT, Julie Chambers via groups.io <juliec22003=yahoo.com@groups.io> wrote:

Not if you rollover to IRA.

On Fri, Jul 23, 2021 at 11:47 PM, Eric

<ericscofield31@gmail.com> wrote:

What about a situation where you take all the money out to invest it in something else like gold?  Are you penalized in that situation?