Military life is unique: deployments, transfers, and combat tours are just a few of the challenges active duty service members face. In addition to the stresses inherent to a life of frequent changes and demanding conditions, service members face obstacles in preparing for retirement.
Just as private sector employees are encouraged to take advantage of their company’s 401(k); federal employees can find benefit in participating in the Thrift Savings Plan (TSP), “a retirement savings plan created by the Federal Employee's Retirement System Act of 1986 for current or retired employees of the federal civil service. Similar to 401(k) plans, a TSP can hold a variety of traditional investments and may be allocated in a way that best meets your financial needs. Educational websites such as Military.com
can help you navigate your options.
Active duty service members can also have a traditional
IRA Alternative investments, such as tax liens, real estate, private equity, and private lending, can be a complement to the traditional investments in your TSP and may offer additional diversity to your overall retirement goals. It is also possible to do a custodian to custodian transfer or a rollover from a TSP into an IRA if you choose to leave military or government service.
Equity Trust offers a wide range of online, on demand educational products related to alternative investments – including a client community forum, and online account management. All of these features can help you manage your savings and increase your knowledge without being tied to a specific location or schedule.
If you are interested in adding an IRA to your retirement planning strategy, our Senior Account Executives can help you with the appropriate paperwork for opening an account.