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The HalfBreed  
#1 Posted : Saturday, July 18, 2009 9:36:02 AM(UTC)

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Did you REALLY loose???

I went back over my records (W-2 Forms) this afternoon, and I've been investing in the TSP since 1992. Not much mind you, just 2-8 thousand a year, until about 2005, when I started maxing out almost. With all of the gains and losses, I'm still up over 60% of what I've actually put in. So, with those thoughts in mind, I guess this last bear market wasnt' all "THAT" Bad.
I'm CSRS, with no matching contributions BTW.

Rule of 72, or whatever, I guess it could have been worse. Which brings me to my point of conversation........if you haven't lost "ANY" of your money, is it really a loss ??? I understand that, you never really 'loose' anything until you cash out.
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RETIRED CSRS 12/19/2012 @ age 57 w/39 years.
Good Bye Tension...Hello Pension !
ChillinOut  
#2 Posted : Saturday, July 18, 2009 11:02:56 AM(UTC)

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Federal & State income taxes that will have to be paid on this money when you withdraw it are a factor that will reduce your return on investment.
MaleMan  
#3 Posted : Saturday, July 18, 2009 5:59:47 PM(UTC)

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The HalfBreed,

Well, that is an interesting point you bring up. I guess if folks are going to follow their "train of thought" if they say they really don't lose anything until it is sold. Well, I guess you would have to say you didn't really make anything until it is sold either.

Therefore, if you deposited $40,000 total of your money, and your balance was $120,000 18 months ago, and a balance of $60,000 today, by the same "train of thought" if you sold out today you would have to feel you were money ahead.

And in reference to the comment by ChillinOut - If you were interested in curtailing your taxes due, now would be the time to sell while the account balance is at a low point. This would result in less tax due.

Just my 2¢ worth on the matter . . .
Just Because You're Paranoid - Doesn't Mean They Aren't Out To Get You.
ChillinOut  
#4 Posted : Saturday, July 18, 2009 8:44:31 PM(UTC)

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Since the media "experts" are consistently reporting that taxes will soon have to go up dramatically, you may want to consider the one-time age 59 1/2 withdrawal now. (I am assuming you are at least 59 years old even though you didn't say this.)

My opinion is that, even if I had to use some of my thrift plan to pay taxes on 4/15/2010, it would be a smart financial move to to make the one-time withdrawal sometime in 2009 when the market is down.

If you did this, then when taxes go up, you might be quite pleased to see most of your money sitting in a Roth IRA growing tax-free.

If you live in California or one of the other states with cash flow problems, it seems almost a sure thing that personal income taxes will soon be raised.
sakijo  
#5 Posted : Sunday, July 19, 2009 1:29:31 AM(UTC)

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How much did you lose? It's anybody's guess. Rightly so, you don't lose or gain until you sell. I finally looked at my statement after everyone was asking me how much I lost. The value of the TSP dropped $92k, from $300-something to $200-something. I've been in since 1988 and maxed out in contributions. I figure that even with the matching, I didn't contribute anywhere near $200k, so I think I'm still ahead.

As for taxes, move to a State that has low or no income taxes, and pull your money.
kistari  
#6 Posted : Monday, July 20, 2009 12:52:49 AM(UTC)

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I'm still ahead... Total to the downside is under 8K. But then I moved to the G fund before the big downturn came.
W2R  
#7 Posted : Wednesday, July 22, 2009 10:25:56 PM(UTC)

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quote:
Originally posted by gailspecial:
I'm still ahead... Total to the downside is under 8K. But then I moved to the G fund before the big downturn came.

Good move!! Big Grin I didn't finish doing the same until last January.
The HalfBreed  
#8 Posted : Friday, July 24, 2009 9:18:29 AM(UTC)

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quote:
Originally posted by sakijo:
How much did you lose? It's anybody's guess. Rightly so, you don't lose or gain until you sell. I finally looked at my statement after everyone was asking me how much I lost. The value of the TSP dropped $92k, from $300-something to $200-something. I've been in since 1988 and maxed out in contributions. I figure that even with the matching, I didn't contribute anywhere near $200k, so I think I'm still ahead.

As for taxes, move to a State that has low or no income taxes, and pull your money.


I checked my contributions on my paystubs, however, when doublechecking against the TSP Website, I saw (remembered) that, since 2008, they have an annual statement that shows total investments (for me anyway - CSRS, no matching funds) over the course of my career.

I've had 50% C fund, 25/25 split G and F, until last Oct/Nov time frame, at which point I started emptying out the G and F fund to move into the C fund. I finished moving the F and G funds in Mar/apr of this year, and overall....I'm up almost 70% over the past 16 yrs. Not the best, but, better than what I've read, with all the horror stories and all.......No losses there!

Guess I should be a happy camper, eh? Big Grin
So, I guess it all depends on how one looks at it.
RETIRED CSRS 12/19/2012 @ age 57 w/39 years.
Good Bye Tension...Hello Pension !
spud1210  
#9 Posted : Monday, August 10, 2009 5:58:18 AM(UTC)

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Halfbreed, just curious where you found your career contributions on the TSP webpage. I would love to see my career contributions. I am also CSRS. Any help would be appreciated.
Thanks in advance
The HalfBreed  
#10 Posted : Tuesday, August 11, 2009 3:13:00 PM(UTC)

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quote:
Originally posted by spud1210:
Halfbreed, just curious where you found your career contributions on the TSP webpage. I would love to see my career contributions. I am also CSRS. Any help would be appreciated.
Thanks in advance



quote:

I checked my contributions on my paystubs, however, when doublechecking against the TSP Website, I saw (remembered) that, since 2008, they have an annual statement that shows total investments (for me anyway - CSRS, no matching funds) over the course of my career.


Check your annual statement online.
RETIRED CSRS 12/19/2012 @ age 57 w/39 years.
Good Bye Tension...Hello Pension !
JimiJr  
#11 Posted : Friday, August 21, 2009 7:36:19 PM(UTC)

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In 9 quarters (Q3)2005 to 2007 I made $60k. In the 5 quarters 2008-(Q1)2009 I lost it all back, $60k. Ouch.

Overall my balance still equals ~2.5 times what I put into it, so no, MY money is still intact.

Speaking of the "rule of 72," if in 22 years my ratio is 2.5, the doubling time is ~17 years. Dividing 72 by 17 gives 4.25% average annual yield, compounded.
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