TSP: SpecInt, RReserves-Active; 2008 Sep 18

Information for Members of the Ready Reserve
Who Return From Active Duty


If you have a civilian TSP loan, upon your return:
	√	Make sure your agency notifies the TSP in writing (generally using Form TSP-41, Notification of Nonpay Status) that you have returned to civilian pay status. The beginning and ending dates of your military service must be provided to the TSP.
	√	Make sure your agency payroll office restarts your loan payments immediately upon your return to civilian pay status. You will have to make up any missed payments by sending a personal check and a Loan Payment Coupon to the TSP.
	√	After the TSP is notified of your return, the TSP will automatically reamortize your loan and send the new payment amount to you and your agency payroll office.
	√	Read the Fact Sheet Effect of Nonpay Status on TSP Participation.

If you want to make up contributions to your civilian account, contact your agency.	√	You must notify your agency within 60 days of your return to civilian service if you want to make up contributions. Your agency will help you set up a payment schedule.
	√	The amount will be determined by your TSP contribution election that was in effect immediately before your entry into military service unless you make retroactive elections to start, stop, or change the amount of your contributions for any open season that occurred during your period of active duty.
	√	Your makeup contributions to your civilian account must be reduced by the amount of the contributions that you made to your uniformed services account while on active duty.
	√	Your makeup contributions are subject to the IRS annual limit for the year to which they are attributable.
	√	Your makeup contributions will be invested according to your contribution allocation in effect at the time your contributions are posted to your account.

If you made employee contributions to your uniformed services account, you are entitled to the makeup Agency Matching Contributions to your civilian account if you are covered by FERS.	√	These will be based on the contributions that were deducted from the basic pay you received while performing active duty. This is true whether or not you make up civilian employee contributions. Your agency will need your military leave and earnings statements for this purpose.

You may receive Agency Matching Contributions as you make up civilian employee contributions if:	√	You are covered by FERS and you did not contribute to your uniformed services TSP account while on active duty;
		OR
		You contributed to your uniformed services account, but it was not enough to qualify you for the amount of Agency Matching Contributions that you would otherwise have received as a FERS employee.
	√	You are entitled to earnings on your makeup agency contributions (Agency Automatic 1% and Matching Contributions) for the time period that those contributions otherwise would have been in your account. (You are not entitled to such earnings on your makeup employee contributions.)

You may elect to have the lost earnings on agency contributions determined by using either:	√	The rate of return for the funds specified by your contribution allocation in effect at the time the contributions would have been made had you remained in civilian service;
		OR
		The rates of return for the Government Securities Investment (G) Fund.
	√	You cannot elect a combination of these two methods.

If the TSP forfeited your Agency Automatic (1%) Contributions because you were separated from civilian service and you were not vested in these contributions, you can have them restored to your account.	√	You will receive these contributions whether or not you make up employee contributions.
	√	Your agency must instruct the TSP record keeper to restore these funds.
	√	Check your quarterly TSP participant statement or call the TSP Service Office to make sure these funds have been restored.