46s MOS. 27m. Going to basic in about two months. Will have roughly 5k in my bank account going in to basic. Been reading a lot about how I should start investing in IRA Roth and TSP like, today. Should I do it now or somewhere down the road? If things go according to plan, will try to transfer over to full active duty in my early 30s (Yes, I know this will be a pain in the ass).
Going in as E3 National Guard with a 3 year contract. Planning volunteering for deployments as much as possible. Is it worth it to max out my TSP right now?
byu/BeardedBrooklyn97 inMilitaryFinance
Posted by BeardedBrooklyn97
2 Comments
Absolutely contribute at least 5% (and get the 5% match) into the Roth TSP. That money will grow for 30, 40, 50 years.
After that, contribute however much you can without hurting your life. But put it all in a Roth account, either TSP or an IRA with low fees. I’m 100% confident that your marginal tax rate will be higher in retirement than now.
Pretty sure the TSP doesn’t do account matching for a set period of time after you enlist. Just as a heads up.