Ready for retirement?

Older couple sit at kitchen table and look at calculator

Do you know why it’s important to maximize your Thrift Savings Plan (TSP) account throughout your Postal Service career?

Your annuity and Social Security alone won’t be enough to replace your current income in retirement, so making TSP contributions throughout your career can help you fill retirement gaps.

Here are some things to keep in mind:

• USPS offers you free money. If you’re a Federal Employees Retirement System (FERS) employee and you put 5 percent of your income into your TSP account, the Postal Service will contribute an additional 5 percent. This means you’ll have twice as much going into your TSP as you originally contributed.

If you aren’t contributing at least 5 percent, experts say you’re throwing away free money because you aren’t getting the full USPS match.

• The extra money could go a long way toward securing your future. Let’s say you earn $50,000 per year and contribute 5 percent to your TSP account. If your account earns an average annual rate of return of 6 percent, it could be worth almost $420,000 after 30 years. If you contribute 10 percent, your balance could be closer to $630,000.

• Making TSP adjustments is easy. You can use PostalEASE on LiteBlue to view or change your TSP contributions. You’ll need your employee identification number and password.

The Financial Wellness LiteBlue page has videos and other resources to help you prepare for retirement. The TSP site also has information.