Can a 401(k) plan accept a rollover from the federal government's Thr

[Guest wallacea]

Can a 401(k) plan accept a rollover from the government Thrift Savings Plan?

[rcline46]

A plan qualified under 401 can only take rollover money from another plan qualified uner 401, even if through a conduit IRA. Federal plans are not qualified under 401 so the answer is NO.

[Kathy]

I beg to differ on this one - as an ex-Federal employee, I was able to roll my thrift money over to an IRA. This was many years ago but I don't things have changed that much? I would do a little more research before I said NO.

[Guest bill mahoney]

Kathryn,

You are able to roll the Thrift money into an IRA no problem. You are just not allowed to roll it over into a 401k plan. As the law stands now you are not allowed to roll one type of plan money into another type of employed sponsered retirement plan, although there is a few bills in Congress right now to allow this.

Bill Mahoney

[Kirk Maldonado]

Bill Mahoney:

What is the authority for your assertion that you cannot rollover money from one type of plan to another?

[Guest bill mahoney]

Kirk,

Thanks for challenging me, I should know better then to just assume something late at night. I could not believe that the Feds would make themselves follow the same rules they make the rest of us follow and had set up TSP plan like a 457 or 403b plan, I WAS WRONG!

THE TSP plan is transferable to any qualified plan, amazing!! Thanks again for calling me on it.

[Guest gasher]

Everyone is correct on this. In general a plan can only accept ERISA qualified funds -meaning IRC 401(a).

[rcline46]

As much as I searched on the RIA CD-ROM, I could not find anything relating to rollovers of governmental thrift plans. Where is the reference?

[Guest bill mahoney]

If you go to the website http://www.tsp.gov/forms/index.html and then click on transfers to qualified plans you can see the information.

Bill Mahoney

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