By Mike Miles
January 25th, 2013 | Uncategorized
Q. I’m 64 years old, planning to retire at the end of March, and after I retire, I’m hoping to take $20,000 off the top of my Thrift Savings Plan. Am I able to leave the rest for a later date? And what options do I have when I decide to tap into the remaining balance? Do I have to take the rest out in a lump sum or can I take it out in increments, like an annuity?
A. You may take one lump-sum withdrawal. After that, your only option is a full withdrawal, either as a lump sum or a series of monthly payments that end when your account is exhausted. You may elect to use your full lump sum withdrawal to purchase an annuity.