Federal Thrift Savings Plan monthly withdrawal

denlow

I am using Quicken 2017 and have been tracking my Federal Thrift Savings Plan (TSP) as a 401k. I am a separated (retired) federal employee and just set up a full withdrawal as monthly transfers into a local savings account. How can I keep track of this in Quicken? When I go to transactions I see the most likely drop down choice for the transfer is "transferred cash out" (Xout); however that does not seem to subtract the monthly transfer amount from my total "market Value". Can someone help me to figure this out? Thanks so much!

UKR

denlow

Jim_Harman

denlow

denlow

UKR

Jim_Harman

NotACPA

Jim_Harman

denlow

volvogirl

Nobody has addressed any tax withholding . Do they take out taxes? Once you get the total gross amount transferred to the savings account then make a new transaction or two in the savings acct to account for the federal and state withholding.

Jim_Harman

denlow

denlow

denlow

volvogirl said:

Nobody has addressed any tax withholding . Do they take out taxes? Once you get the total gross amount transferred to the savings account then make a new transaction or two in the savings acct to account for the federal and state withholding.

I asked TSP to withhold at the married with 0 exemptions rate. I see the full monthly amount (apparently $0 state or fed tax withheld) arrived as direct deposit into my savings account.

NotACPA

volvogirl

volvogirl said:

Nobody has addressed any tax withholding . Do they take out taxes? Once you get the total gross amount transferred to the savings account then make a new transaction or two in the savings acct to account for the federal and state withholding.

?? Sounds like they should be taking taxes out. Better check with them. You don’t want to come up short on your tax return. Or maybe what you think is the full amount is really just the Net amount after taxes.

NotACPA

denlow

volvogirl said:

Nobody has addressed any tax withholding . Do they take out taxes? Once you get the total gross amount transferred to the savings account then make a new transaction or two in the savings acct to account for the federal and state withholding.

I assume that the small amount of increased annual income derived from this small monthly withdrawal does not increase our tax burden, hence no tax was withheld. We do have "extra" withholdings taken from my regular pension income.

volvogirl

volvogirl said:

Nobody has addressed any tax withholding . Do they take out taxes? Once you get the total gross amount transferred to the savings account then make a new transaction or two in the savings acct to account for the federal and state withholding.

Ok, sounds like you have it covered.

Jim_Harman

denlow

NotACPA

denlow

volvogirl said:

Nobody has addressed any tax withholding . Do they take out taxes? Once you get the total gross amount transferred to the savings account then make a new transaction or two in the savings acct to account for the federal and state withholding.

I believe that to be the case...amount is so small that it would not materially increase our adjusted gross income.

volvogirl

volvogirl said:

Nobody has addressed any tax withholding . Do they take out taxes? Once you get the total gross amount transferred to the savings account then make a new transaction or two in the savings acct to account for the federal and state withholding.

It may be too small to take out withholding but it will increase your AGI and may increase the taxable amount of any Social Security you or your spouse gets. It can affect a lot of things on your tax return.

Jim_Harman

Jim_Harman

volvogirl said:

Nobody has addressed any tax withholding . Do they take out taxes? Once you get the total gross amount transferred to the savings account then make a new transaction or two in the savings acct to account for the federal and state withholding.

I think also in the year you turn 70 1/2, if the withdrawal amount you have chosen is less than your RMD, it will be adjusted to match the RMD amount.

denlow