Can I contribute to the federal government TSP (like 401K) and put money into a Roth IRA?

Answer 1

Yes. A TSP is only one form of retirement investment. A ROTH IRA is your best bet once you are already saving enough to get the match from Uncle Sam. (I'm a government contractor and I know some individuals that get as much as a 15% match...FREE MONEY)
Once you are maxining your TSP for a full match, I'd open a ROTH IRA as soon as you can and make your $4,000 investment. (if you can...$5,000 if you are over 50)
Also, you have until April 15th 2007 to make your ROTH IRA contribution for 2006...so save as much as you can before you start working on the $4,000 investment for 2007.
ROTH IRAs ROCK!

Answer 2

I even have the two a Roth IRA and a 401K. A 401K is a huge element to have, especially if your organization grants any matching on it. It additionally facilitates you to fund it pre-tax, which may be a amazing bonus. the clarification I actually have a Roth IRA besides is via the fact even nonetheless the money does get taxed now, it won't get taxed once you withdraw it once you retire. Assuming that tax expenditures stay the comparable or enhance via the time you retire, you're greater suitable off paying tax now on the small volume you put in somewhat than the vast volume it with a bit of luck will become. Having a Roth IRA, or classic IRA for that depend, additionally grants the liberty to verify on despite money you opt to take a place in. maximum 401Ks in basic terms provide you a definite volume of money as concepts (mine provides me 10 to illustrate). it may be greater suitable to take a place in a Roth IRA now somewhat than later through fact it does have a cutoff the place if your salary is over a definite volume consistent with year, you may no longer contibute. verify which incorporate your investment employer for the quite volume.

Answer 3

Yes