TSP 79: Changing Your TSP Withdrawal Request

Like most things in life, a TSP withdrawal that has been processed cannot be “unprocessed.” This means you cannot return all the money and say thanks, but no thanks. But depending on the kind of withdrawal option(s) you chose, you may still have the option of changing TSP Withdrawal Request. If you have accepted a single payment or elected to purchase a TSP annuity, this cannot be undone. But if you have asked to receive all or part of the account balance as monthly payments, you can still change it. This is done through Form TSP-73 (Change in Monthly Payment Amount). Filling up and submitting this form will allow you to either: – Change the monthly payment amount. Changing TSP withdrawal request can be done once a year, and the new amount you ask for will be effective starting Jan of the year to come; or – Change the life-expectancy based payments you have opted for to be converted into monthly payments of a dollar amount that you specify. You can do this only once, and it will also be effective starting Jan of the year to come.

TSP 79- Changing TSP Withdrawal Request Payments to a Final Single Payment

You can also choose to end the monthly payments by taking a final single payment, in the process clearing your balance and closing the TSP account. This can be done by filling up Form TSP-79 (Change From Monthly Payments to Final Payment).

Managing Monthly TSP Withdrawal Payments

There are also many modifications you can make to tweak the way in which you are receiving monthly payments. You can switch between direct deposit or checks in the mail, and change your banking institution for direct deposits. You can have the monthly payments transferred to an IRA or eligible employer plan, change the IRA or employer plan to which the money goes, or stop having the payments transferred to such accounts. You can also modify the amount of the monthly payment that goes to such an account. All this and more is done using Form TSP-78 (Monthly Payments Maintenance).