Regular TSP
The 2025 IRS annual limit for regular TSP contributions is $23,500. If you are covered by the Federal Employees Retirement System (FERS, FERS-RAE, or FERS-FRAE), you will lose valuable Agency Matching TSP contributions, if you reach the annual limit before the end of the calendar year.
- To make equal contributions over the course of the 2025 calendar year (for 26 pay periods), you should contribute $904 each pay period.
- You should enter your election of $904 into myPay during December 1 – 7, 2024, and your election should be effective on December 15, 2024, the first pay period for 2025.
- Your new election will be reflected on your Leave and Earnings Statement (LES) beginning with January 3, 2025.
- If your election is entered after December 7, 2024, you will need to adjust your election amount in order to reach the annual contribution limit. To determine the adjusted amount, use the Elective Deferral Calculator on the TSP website.
As long as you are contributing at least 5% of your bi-weekly gross pay each pay period, you will receive the 4% Agency Matching contributions each pay period. Additionally, you will receive the Agency Automatic 1% contribution each pay period.
TSP Catch-up
In addition to making regular TSP contributions, you may also make TSP Catch-up contributions, if you are age 50 or older (or will be turning age 50 in 2025). The Catch-up amount is in addition to the regular TSP limit of $23,500.
The 2025 IRS annual limit for Catch-up contributions is $7,500, which equates to a total TSP contribution amount of $31,000. However, for employees turning ages 60-63 in 2025, the Catch-up limit is $11,250, which equates to a total TSP contribution amount of $34,750.
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Catch-up Contribution limit amount by birth year |
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|
If you were born in |
Your Catch-Up Contribution limit amount is |
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1961 or earlier |
$7,500 |
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1962 - 1965 |
$11,250 |
|
1966 - 1975 |
$7,500 |
| Important note about the year you turn 64: If you increase your contributions to meet the higher catch-up contribution limit amount during the years you’re eligible, be sure to lower your contribution election at the beginning of the year you turn 64. If you continue contributing at the higher amount when you’re no longer eligible for it, you might reach the lower catch-up limit early and miss out on Agency Matching Contributions for the rest of the year. | |
- To contribute the 2025 maximum annual amount for both regular TSP and TSP Catch-up, you should enter one election amount into myPay during December 1 – 7, 2024,as follows:
- For a total contribution amount of $31,000, enter an election amount of $1,193.
- For a total contribution amount of $34,750, enter an election amount of $1,337.
- Your election should be effective on December 15, 2024, the first pay period for 2025.
- Your new election will be reflected on your LES beginning January 3, 2025.
- Because of TSP “spillover”, you no longer enter a separate TSP Catch-up election. Instead, you enter only one TSP election amount into myPay for 2025.
- If you are eligible to make catch-up contributions, any contributions beyond the $23,500 for regular TSP will automatically start counting toward the Catch-up contribution limit. These additional contributions will “spillover” until you meet the catch-up limit. Spillover simplified the TSP Catch-up process.
- If your election is entered after December 7, 2024, you will need to adjust your election amount. To determine the adjusted amount, use the Elective Deferral Calculator on the TSP website.
- Although, you will reach the regular TSP limit before the end of the year, you will continue to receive the 4% Agency Matching contributions each pay period to which you are entitled, as long as you are contributing at least 5% of your bi-weekly gross pay each pay period. Additionally, you will receive the Agency Automatic 1% contribution each pay period.
Important Notes:
- It is very important that you carefully enter your election accurately into myPay because the Retirement and Employee Benefits Branch cannot stop or change an election that has been entered into myPay.
- Only one TSP election can be entered into myPay during a pay period.
- After an election is entered into myPay, it will be effective at the beginning of the next pay period, but it will take 1-2 pay periods before it is visible in myPay and on your LES.
- To see the pay periods for 2025, view the HHS Payroll Calendar.
Questions may be directed to your Benefits Contact or AskBenefits@nih.gov.