Several thousand participants in the Thrift Savings Plan may be on track to reach their annual contribution limit before the end of the year, potentially causing them to miss out on a full matching contribution from the federal government.
The Federal Retirement Thrift Investment Board, which manages the TSP, has been trying to reach out directly to those who may end up contributing too much, too soon to their retirement accounts. A social science program at the FRTIB has run email campaigns to contact TSP participants and encourage them to adjust their contributions, so they can get the government’s full match for the rest of 2024.
“When you reach the IRS limit, the TSP cannot accept another dollar for the rest of the calendar year,” FRTIB Chief Scientific Advisor Elizabeth Perry said Tuesday during a TSP board meeting. “And when your contributions stop, so does your matching.”
