The Thrift Savings Plan (TSP) cannot hold gold, but you can move TSP money into a gold IRA by direct rollover with $0 tax. That door opens after you leave federal service, or from age 59 1/2 while you still work. A rollover moves retirement money between accounts and keeps its tax break. A gold IRA owns real metal in a vault, and a direct rollover means the TSP pays the new IRA, never you.
The harder question is whether a gold IRA rollover makes sense for you. The TSP is one of the cheapest plans in the country, and it carries protections a gold IRA lacks.
A gold IRA rollover can start from 6 kinds of account; this page covers the TSP for federal employees and uniformed services members. It prices the costs in dollars, then covers the 6 protections you give up, the 7 steps, the tax traps and the "TSP Playbook" case.
SafeOunce sells no metal and takes no referral fees. Every TSP rule below cites the regulation or the TSP's own booklet.
Can You Buy Gold in the TSP?#
You cannot buy gold in the TSP, because it offers no gold coins, no gold bars and no gold ETF. Its menu has 5 individual funds (G, F, C, S and I) and 11 L Funds, which are ready-made mixes of the 5. It also has a mutual fund window, an option to buy outside mutual funds for extra fees.
Gold-mining funds in the window are paper exposure, not metal. To own metal, you must first move TSP money out to an IRA.
Why the TSP holds no coins or bars#
The TSP holds no metal because its funds hold only Treasury securities and stock and bond index funds. A Treasury security is a loan to the US government; an index fund owns all the stocks or bonds in a market index.
The 5 individual TSP funds and their 2025 costs are listed below.
- G Fund: Treasury securities specially issued to the TSP; 0.034%.
- F Fund: a bond index fund; 0.035%.
- C Fund: stocks of large US companies; 0.035%.
- S Fund: stocks of small and mid-size US companies; 0.051%.
- I Fund: international stocks; 0.048%.
The 11 L Funds cost about 0.03% to 0.04% a year (TSP booklet "Fund Information", TSPLF14, May 2026). An expense of 0.035% is 35 cents a year per $1,000 invested. The TSP's investment-options page does not mention gold, silver or any other metal (read September 29, 2026).
Gold-mining funds in the TSP mutual fund window#
The TSP mutual fund window lets you put up to 25% of your balance into outside mutual funds for $132 a year plus $28.75 a trade. The window's funds can include ones that own gold-mining shares, which are stock in companies that mine gold. A mutual fund pools investors' money; a per-trade fee is charged on each buy or sell.
The window's terms, from "TSP Mutual Fund Window Overview" (TSPFS28, June 2025), are shown below.
| Rule | Amount | Source |
|---|---|---|
| Minimum first transfer | $10,000 | TSPFS28 (June 2025) |
| Balance you need | At least $40,000 | TSPFS28 |
| Most you can hold in the window | 25% of your TSP balance "at any time" | TSPFS28 |
| Yearly fees | $37 administrative + $95 maintenance = $132, taken from your TSP funds | TSPFS28 |
| Per-trade fee | $28.75 for each purchase or sale | TSPFS28 |
| The fact sheet's example | A $10,000 first transfer arrives as $9,868, after the $132 | TSPFS28 |
On $75,000 (25% of a $300,000 balance), the window's $132 a year is 0.18%, before the chosen fund's own expenses.
An independent site, TSP Folio, counts 12 funds in an "Equity Precious Metals" category in the window; the list is undated, and the TSP shows it only after login. These funds own mining shares, which swing more than gold itself, and none holds coins for you. The TSP warns that window funds "aren't vetted by a plan fiduciary": no one legally bound to act in your interest has checked them.
What Is a TSP to Gold IRA Rollover?#
A TSP to gold IRA rollover is a payment from your Thrift Savings Plan straight to a self-directed IRA custodian. The custodian, a trust company or bank, then buys IRA-eligible gold, silver, platinum or palladium and stores it in a depository, a private vault. In a self-directed IRA, you choose the investments.
Four parties handle your money, as listed below.
- The TSP record keeper: keeps TSP accounts and pays the money out (ThriftLine: 1-877-968-3778).
- The IRA custodian: holds the IRA, pays the dealer and files tax forms. It does not vet the dealer: custodians "generally do not evaluate the quality or legitimacy" of investments (SEC and NASAA alert).
- The precious metals dealer, often called a "gold IRA company": sells the metal and sets its price.
- The depository: the vault that stores the metal.
A gold IRA is an ordinary traditional or Roth IRA whose custodian allows vaulted metal; it is not a separate tax category.
When can TSP money leave for a gold IRA?#
TSP money can leave for a gold IRA after you leave federal service, or from age 59 1/2 while you still work. Separation from service means you have left your federal job.
The 2 ways TSP money can leave are listed below.
- Separation from service: all or part of your balance; a partial payment must be at least $1,000 (5 CFR 1650.12).
- Age-based withdrawal: from 59 1/2 while you still work, up to 4 a year, each at least $1,000 unless you take it all (5 CFR 1650.31).
Four kinds of TSP payment cannot go straight into a gold IRA, as listed below.
- Required minimum distributions (RMDs): yearly withdrawals the tax law requires from age 73 or 75 (TSPBK26, April 2026).
- Life-expectancy installment payments: regular payments based on your life expectancy, which TSPBK26 says you are "not allowed to roll over".
- Financial hardship withdrawals: money taken while working to cover an emergency (IRS Publication 590-A).
- Balances under $200: paid out to you automatically after you leave (5 CFR 1650.11(c)).
Since May 15, 2024, the TSP no longer makes you wait 30 days between withdrawal requests (89 FR 18533); the current 5 CFR 1650.31 sets no waiting period (eCFR, read September 29, 2026).
Can you roll your TSP into a gold IRA while still working?#
Yes, once you reach age 59 1/2: the TSP allows 4 age-based withdrawals per calendar year while you still work. Each must be at least $1,000, unless it is a whole balance.
Under FERS and the uniformed services, your spouse must also consent to every in-service withdrawal (5 CFR 1650.62(c)). Plan rules for a rollover while still working differ for TSP, 401(k), 403(b) and 457(b) money.
Traditional, Roth and tax-exempt TSP balances#
Traditional TSP money goes to a traditional gold IRA and Roth TSP money goes to a Roth gold IRA. The TSP sends each balance type to only one institution per payment. Your traditional balance is pre-tax money, taxed when you take it out; your Roth balance is after-tax money. Tax-exempt contributions are pay earned in a combat zone, which was not taxed going in.
The table shows where each TSP balance can go.
| TSP balance | Where it can go | Note |
|---|---|---|
| Traditional | A traditional IRA (no tax) or a Roth IRA (a taxable conversion) | TSPBK26 lists "a traditional IRA, an eligible employer plan, a SIMPLE IRA, or a Roth IRA" |
| Roth | A Roth IRA only | The TSP's 5-year clock does not carry over (TSPBK26) |
| Tax-exempt (combat-zone) contributions | An IRA that accepts them | Rolled over "only if the IRA or plan accepts such funds" (5 CFR 1650.25(d)) |
A conversion moves pre-tax money into a Roth IRA, and you pay income tax on it that year. Roth TSP money needs a Roth gold IRA, where qualified withdrawals are tax-free.
Should You Move Your TSP Into a Gold IRA?#
Moving TSP money into a gold IRA makes sense only for the part you want in physical metal for years, after you price what you give up. That includes some of the lowest fees of any plan and the G Fund guarantee.
The dealer's cut goes by 3 names on this page, defined below.
- Spread (also called markup): what you pay above the metal's market value when you buy.
- Bid gap: how far below market value the dealer pays when you sell back.
- Round trip: both together, the loss if you buy and sell straight back.
The table matches 9 federal-worker situations to what usually fits.
| Your situation | What usually fits | The rule or number that decides it |
|---|---|---|
| Left federal service at 55 or later (50, or 25 years of service, in public safety jobs) and will spend this money before 59 1/2 | Keep the spending years in the TSP; move only the rest | $10,500 of penalties avoided on $105,000 (26 U.S.C. 72(t)(2)(A)(v), (t)(10)) |
| Still working and under 59 1/2 | Nothing can move yet | Only separation or an age-based withdrawal at 59 1/2 releases TSP money (5 CFR 1650.31) |
| Still working and 59 1/2 or older | Up to 4 in-service withdrawals a year; your spouse signs under FERS | 5 CFR 1650.31(c), 1650.62(c) |
| Your money sits in the G Fund because you cannot afford a loss | Think twice before swapping a government-backed fund for metal | G Fund principal is backed by the US government (TSPLF14); gold fell 26.1% from January 29 to July 16, 2026 (LBMA PM) |
| Unpaid TSP loan when you leave | Budget cash to roll the foreclosed amount by your tax deadline | TSPBK26 loan-foreclosure rule |
| Age 73 or older | The RMD comes out first | $100,000 requested with a $10,000 RMD: $90,000 can roll (TSPBK26) |
| Roth TSP money and no Roth IRA yet | Check for any Roth IRA you already own; without one, a new 5-year clock starts | TSPBK26; IRS Publication 590-B |
| You want gold price exposure only | The fund window (mining shares, $132 a year) or a gold ETF in an IRA | GLDM 0.10% a year; window fees (TSPFS28) |
| You want vaulted physical metal, have left federal service or are 59 1/2+, and can hold through price swings | A partial direct rollover to a self-directed gold IRA | Direct rollover = $0 tax (26 U.S.C. 3405(c)); gold must rise about 10.4% to break even after a 5% spread |
Numbers as of September 2026. Situations overlap; check every row that fits you.
The table describes situations, not advice, and cannot say whether gold is a good investment for you. A fee-only planner (paid by you, not by commissions) or tax professional can check your numbers.
Whether a gold IRA is a good investment at all is a separate question with its own data.
What the TSP costs compared with a gold IRA#
On $300,000, the TSP C Fund costs about $105 a year (0.035%, 2025 expenses). A gold IRA costs $285 a year in custodian and storage fees on one published schedule (Equity Trust, Rev. 081726, as of September 2026), plus a dealer spread that usually costs far more.
The table shows 10 years of costs on $300,000, with gold and the balance flat and fees paid from outside.
| Where the $300,000 sits | Dealer cost (round trip) | Fees over 10 years | 10-year total |
|---|---|---|---|
| TSP C Fund (0.035% a year) | $0 | $1,050 | $1,050 |
| TSP G Fund (0.034% a year) | $0 | $1,020 | $1,020 |
| Gold IRA, 1 oz bullion coin (about 5.39% round trip) | $16,170 | $3,180 | $19,350 |
| Gold IRA at a 20% spread (about 23.7% lost if sold back, incl. the bid gap) | $71,100 | $3,180 | $74,280 |
| Gold IRA at a 33% spread (about 36.1% lost if sold back) | $108,300 | $3,180 | $111,480 |
SafeOunce computation, gold price flat (not a forecast). TSP expenses: TSPLF14 (May 2026). Round trip: SD Bullion 1 oz Gold Eagle, September 29, 2026. Fees: Equity Trust precious-metals-only schedule FS-0004-05 Rev. 081726, segregated storage: $50 setup + $285 a year + $280 at exit = $3,180. Equity Trust is named only as the source of a published schedule.
Segregated storage keeps your coins apart from other people's. A flat fee costs the same dollars at any balance: $285 is 0.57% of $50,000 but 0.095% of $300,000. Even so, it is 2.7 times the C Fund's $105, and the spread decides the answer.
Published gold IRA custodian fees run from $215 to $656 a year at $50,000 (as of September 2026).
How much more gold must earn to cover the extra cost#
To match the TSP after costs, gold in a gold IRA must earn about 0.6% a year more than your TSP fund over 10 years on bullion coins. After a 20% spread, it must earn about 2.2% a year more.
The table shows the extra yearly growth needed on the same inputs.
| Years held | Bullion coin (5.39% round trip) | 20% spread | 33% spread |
|---|---|---|---|
| 10 years | 0.59% a year | 2.21% a year | 3.18% a year |
| 5 years | 1.13% a year | 4.41% a year | 6.42% a year |
Method: extra cost = gold IRA cost minus TSP cost; required yearly growth = ((balance + extra cost) / balance)^(1/years) minus 1. Five-year fees: $1,755. SafeOunce computation.
Break-even is the rise gold needs before you can sell back without a loss, covering both the markup and the dealer's bid gap.
| Spread paid | Rise gold needs to break even |
|---|---|
| 2% | 7.1% |
| 5% | 10.4% |
| 10% | 16.6% |
| 20% | 31.1% |
| 33% | 56.6% |
SafeOunce computation, including the dealer's bid gap, as of September 2026.
To test your own quote, work out how much metal must rise to cover the markup and fees.
Cheaper ways to own gold with TSP money#
The cheapest gold exposure for most TSP savers is a gold ETF such as GLDM, at 0.10% a year, held in an IRA after a rollover. The other low-cost route is a mining-share fund in the TSP window, which leaves the rest of the TSP untouched.
A gold ETF is a fund that owns vaulted gold and trades like a stock; its expense ratio is its yearly cost as a percent.
The table compares 4 routes, as of September 2026.
| Route | What you own | Yearly cost | Minimum | Source |
|---|---|---|---|---|
| TSP mutual fund window | Mutual fund shares of mining companies | $132 + $28.75 a trade + the fund's own expense | $10,000 first transfer; $40,000 balance | TSPFS28 (June 2025) |
| Gold ETF in an IRA | Trust shares backed by bullion | GLDM 0.10%, IAU 0.25%, GLD 0.40% | Bought on the stock exchange | Fund 10-K filings |
| Fidelity IRA bullion | Gold Eagles, 1 oz Buffalos, bars | Buy fee 2.90% (under $10,000) to 0.99% ($100,000+); storage 0.50% a year ($15 minimum) | $1,000 IRA purchase | Fidelity FA-FEES-0926 |
| Self-directed gold IRA | Coins or bars in your name at a depository | $215 to $325 a year flat, plus the dealer spread | Set by each dealer | Metals custodian fee schedules |
A $285 flat custodian and storage fee costs less than GLDM's 0.10% only above $285,000.
Outside an IRA, gold ETFs are taxed as collectibles, at up to 28% on gains. Inside an IRA that rate never applies, and traditional IRA withdrawals are taxed as ordinary income (26 U.S.C. 1(h)).
Fidelity sells bullion inside its ordinary IRAs, with no gold IRA company involved. The costs of a Fidelity gold IRA are compared with a rollover in their own guide.
What Do You Give Up When You Roll the TSP Into a Gold IRA? 6 TSP Protections#
Rolling TSP money into a gold IRA can cost you 6 federal-plan protections that a gold IRA does not offer. The first 3 are penalty-free access after leaving at 55 (50 in public safety jobs), the G Fund guarantee and TSP loans. The other 3 are your spouse's annuity rights, the TSP's creditor shield and very low fees.
The TSP's booklet "Tax Rules about TSP Payments" (TSPBK26, April 2026) describes the first one. Read it before you sign.
1. Penalty-free withdrawals after leaving at 55 (50 for public safety jobs)#
TSP money you take after leaving federal service in or after the year you turn 55 carries no 10% early-withdrawal penalty. The same money loses that shelter once it sits in any IRA. The early-withdrawal penalty is a 10% extra tax on retirement money taken before 59 1/2.
The tax code's "qualified public safety employee" list (26 U.S.C. 72(t)(10)(B)(ii)) names these federal jobs, listed below.
- Federal law enforcement officers and customs and border protection officers
- Federal firefighters and air traffic controllers
- Nuclear materials couriers
- US Capitol Police and Supreme Court Police
- State Department diplomatic security special agents
The table shows 2 worked examples.
| Situation | Money needed before 59 1/2 | Penalty from the TSP | Penalty from a gold IRA |
|---|---|---|---|
| You leave at 56 with $400,000 and spend $30,000 a year | $105,000 | $0 | Up to $10,500 |
| A federal law enforcement officer retires at 50 and spends $40,000 a year | $380,000 | $0 | Up to $38,000 |
SafeOunce computation, 10% of the amount needed.
Keep the spending years in the TSP and roll the rest. Once rolled, the money follows the IRA early withdrawal penalty rules and their exceptions.
2. The G Fund's guaranteed principal#
The TSP's G Fund cannot lose principal, because it holds Treasury securities issued only to the TSP and the US government backs them. Physical gold has no such floor. Principal is the money you put in.
Gold fell 26.1% in 2026, from a record LBMA PM price of $5,405.00 on January 29 to $3,993.55 on July 16. It stood at $4,144.55 on September 28. The LBMA PM price is the daily London afternoon benchmark for gold.
3. TSP loans#
The TSP can lend you money from your own account while you work for the government. An IRA, including a gold IRA, can never make you a loan.
Federal law says a TSP loan is not "an assignment or alienation" of your account (5 U.S.C. 8437(e)(2)). IRS Notice 2020-62 says "IRAs may not provide loans." Pledging IRA metal as security for a loan counts as a withdrawal of the pledged part (26 U.S.C. 408(e)(4)). An unpaid loan when you leave has its own rule.
4. Your spouse's annuity rights#
Your spouse has a legal right to a survivor annuity from your TSP if you are married under FERS or the uniformed services. Your spouse must also sign before most payments, but both rights end once the money reaches an IRA. A joint and survivor annuity pays you for life, then keeps paying your spouse.
Full withdrawals need consent only when your vested balance, the part that is fully yours, is over $3,500 (1650.61(a)). CSRS, the older Civil Service Retirement System, gives the spouse notice, not a veto (1650.61(b)). Step 3 shows every case.
5. The TSP's shield from creditors#
Federal law bars creditors from seizing TSP money in most cases, while an IRA's protection outside bankruptcy depends on your state's law. A creditor is a person or company you owe money to.
ERISA, the 1974 law behind most private-sector plans, "does not cover plans established or maintained by governmental entities" (US Department of Labor). In federal bankruptcy, the IRA exemption, the amount you may keep, is $1,711,975 for cases filed on or after April 1, 2025. Rollover money from employer plans and its earnings stay protected from creditors on top of that cap (11 U.S.C. 522(n)).
Outside bankruptcy, state law decides. Keep the rollover in its own IRA, with the Form 1099-R and Form 5498 that prove its source. How rollover money stays protected from creditors in bankruptcy, and where state law takes over, is covered in detail.
6. Some of the lowest fees of any retirement plan#
The 5 individual TSP funds cost 0.034% to 0.051% a year (2025 expenses), which is 34 to 51 cents per $1,000. Almost any gold IRA costs more to hold.
FINRA tells TSP savers: "The expenses for TSP funds are generally among the lowest. Compare those to the fees and expenses of a new plan or IRA."
Metals custodians charge $215 to $325 a year in flat fees (as of September 2026), before any spread; see the 10-year cost table.
How to Roll Over a TSP to a Gold IRA in 7 Steps#
A TSP to gold IRA rollover takes 7 steps. The step that protects you from taxes is step 6: a direct rollover paid to the new custodian, never to you.
The 7 steps are listed below in the order you do them.
- Confirm the TSP will pay you out.
- Decide which balance and how much to move.
- Get your spouse's signature if you are FERS or uniformed services.
- Choose the custodian and the gold IRA company separately.
- Open a self-directed IRA at a metals custodian.
- Request a direct rollover from the TSP.
- Buy IRA-eligible metal, then check your statement.
The metal goes to a depository, never your home: IRA gold kept at home is a taxable distribution of its cost (McNulty v. Commissioner, 157 T.C. No. 10 (2021)). A home storage gold IRA was the setup the Tax Court taxed in McNulty.
Step 1: Confirm the TSP will pay you out#
Log in to My Account, your online TSP account at tsp.gov, or call the ThriftLine (1-877-968-3778), and confirm that you can take a withdrawal. You qualify after separation, or for an age-based withdrawal from 59 1/2.
Check these 4 items before you go further.
- Ask whether an RMD is due this year; the TSP pays it out first.
- Check any TSP loan balance.
- Check how much of your money is traditional, Roth and tax-exempt.
- Read "Tax Rules about TSP Payments" (TSPBK26, April 2026), the TSP's rollover tax notice.
The booklet says you usually submit your "distribution or withdrawal request in My Account", so follow the instructions there.
Step 2: Decide which balance and how much to move#
Decide the dollar amount and the balance type before you call anyone, because the TSP will not send one balance type to two different IRAs in the same payment.
Step 3: Get your spouse's signature if you are FERS or uniformed services#
Have your spouse sign the withdrawal request before you submit it if you are married and covered by FERS or the uniformed services. The TSP regulation requires that consent for partial and in-service withdrawals.
The table shows when a spouse must sign.
| Withdrawal | FERS or uniformed-services spouse | Rule |
|---|---|---|
| Partial withdrawal after separation | Must consent, at any amount | 5 CFR 1650.61(a), (c)(2) |
| Full withdrawal | Must consent if the vested balance is over $3,500, unless you buy the joint annuity | 5 CFR 1650.61 |
| In-service withdrawal (from 59 1/2) | Must consent, at any balance | 5 CFR 1650.62(c) |
Under CSRS, the TSP only notifies your spouse. Otherwise the request must be "signed by his or her spouse" (5 CFR 1650.61(c)(4)); follow My Account's instructions for how. A salesperson cannot waive this step.
Step 4: Choose the custodian and the gold IRA company separately#
Choose the IRA custodian and the gold IRA company (the metals dealer) as two separate decisions. The custodian holds your account, while the dealer sets the price you pay for the metal. The questions to ask when you choose a gold IRA company are the same whoever calls you.
Get these 5 numbers in writing before any TSP money moves.
- The price per coin and its percent over spot, the metal's current market price.
- The dealer's buy-back bid today, the price the dealer pays you.
- All yearly custodian and storage fees.
- All exit fees.
- The cancellation window and what starts it.
The CFTC, the federal commodities regulator, says bullion typically sells for 5% to 10% over spot (CFTC release 8215-20, August 4, 2020). Numismatic coins, collector coins priced for rarity, sell for 40% to 200% over spot, and the CFTC calls "semi-numismatic" "a made-up industry term". How dealers set gold IRA markups decides most of what a TSP rollover costs.
A dealer that will not put these 5 numbers in writing has answered your question.
Step 5: Open a self-directed IRA at a metals custodian#
Open a self-directed IRA of the same tax type as the TSP money, at a custodian that holds precious metals. Use a traditional IRA for a traditional balance and a Roth IRA for a Roth balance.
Fees and storage choices differ among gold IRA custodians.
Ask the custodian for the exact payee name, the account number, and the address or wire details the TSP needs. The payee is the name the payment is made out to, usually "[Custodian] FBO [your name] IRA". FBO means "for the benefit of": the money belongs to your IRA, not to you.
You can revoke, or cancel, a new IRA for at least 7 days after opening it (Treas. Reg. 1.408-6). That right runs against the custodian, not the dealer.
Step 6: Request a direct rollover from the TSP#
Choose a direct rollover in your TSP withdrawal request, and give the custodian's payee name. The TSP then pays the custodian and withholds nothing. Keep copies of all rollover paperwork.
A payment made out to you personally starts 20% withholding and a 60-day clock (TSPBK26). Withholding is tax the TSP sends to the IRS in advance. Each field of the custodian's form and the rest of the rollover paperwork is explained line by line.
The TSP reports a direct rollover on Form 1099-R with code G, which marks a direct rollover that is not taxed.
Step 7: Buy IRA-eligible metal, then check your statement#
Sign the custodian's purchase direction only after the TSP money shows in your gold IRA, and only for metal that is IRA-eligible under 26 U.S.C. 408(m)(3). A purchase direction is your written order telling the custodian what to buy.
The tax code allows 2 routes. Route A covers named US coins, such as the American Gold Eagle. Route B covers bullion (bars and coins valued for their metal) at a minimum fineness, or purity: gold .995, silver .999, platinum and palladium .9995. The IRS keeps "no list of approved investments". The full list of precious metals the tax code allows shows each coin's legal route.
Metal should post to the depository within about 28 days, a benchmark from the delivery rule for financed metal sales (Commodity Exchange Act 2(c)(2)(D)). Later is a warning sign.
Check these 3 items once the metal is bought.
- Match the coins and quantities to the invoice.
- Expect a first statement below what you paid: it values metal without the markup.
- Look for code G and $0 taxable on the TSP's Form 1099-R next January.
Why your first gold IRA statement shows less than you paid is a matter of valuation, not loss.
How Do You Avoid Taxes and Penalties on a TSP Rollover to Gold?#
You avoid taxes and penalties on a TSP rollover to gold with a direct rollover, no payment in your own name and metal bought only by the custodian.
3 rules keep a TSP rollover from being taxed when the money moves.
- Use a direct rollover: 0% is withheld (26 U.S.C. 401(a)(31), 3405(c)(2)).
- Meet the 60-day rollover deadline if a payment reaches you: deposit the full amount, withheld 20% included (26 U.S.C. 402(c)(3)(A)).
- Keep it cash in, cash out: never buy coins with the payment (26 U.S.C. 408(a)(1)).
Done this way, you owe no tax at the time of the rollover; the traditional gold IRA stays tax-deferred. If a payment does reach you (a 60-day rollover), the rollover deadline calculator counts the 60 days and flags holidays.
The 5 TSP rollover mistakes that cost the most are shown below, with the fix for each.
| Mistake | Rule | Result | Fix |
|---|---|---|---|
| Spouse did not sign (FERS, uniformed services) | 5 CFR 1650.61 | Request rejected; delay | Get the signature first (Step 3) |
| One request split between 2 IRAs | 5 CFR 1650.25(b) | Request rejected | One institution per balance type per request |
| RMD rolled over | IRS Publication 590-B | 6% excess-contribution tax for each year it stays | Take the RMD first |
| Age-55 money rolled, then needed before 59 1/2 | 26 U.S.C. 72(t)(3)(A) | 10% penalty | Keep the spending years in the TSP |
| Coins bought with the TSP check | 26 U.S.C. 408(a)(1); Lemishow | Not a rollover; taxable | Only the custodian buys metal |
The 20% withholding trap with TSP numbers#
The TSP must withhold 20% for federal tax if it pays you instead of your IRA custodian. You must replace that 20% from savings within 60 days, or pay tax on it.
The table shows a $200,000 traditional TSP payment made out to you, in the 22% tax bracket, the rate on your top dollars of income.
| Option | What reaches the IRA | Tax if you left federal service at 57 | Tax if you left at 52 |
|---|---|---|---|
| A: Deposit only the $160,000 check | $160,000 | $8,800 (22% of $40,000; no 10%, the age-55 rule covers the TSP payment) | $12,800 ($8,800 + a $4,000 penalty) |
| B: Deposit $160,000 + $40,000 from savings within 60 days | $200,000 | $0; the $40,000 withheld comes back as a tax credit when you file | $0; same credit |
| C: Direct rollover | $200,000 | $0 withheld, $0 tax | $0 withheld, $0 tax |
SafeOunce computation, federal tax only.
A tax credit is an amount subtracted from the tax you owe. State income tax can make the withholding trap worse in Option A.
The 20% withholding trap is the main reason to choose a direct rollover. IRA withdrawals, by contrast, default to 10% withholding, not 20%.
Why you cannot buy coins with a TSP check#
You cannot cash a TSP check, buy gold coins and put the coins into an IRA. An IRA accepts only cash, and a rollover must carry the money itself into the IRA. A contribution is money you put into an IRA.
In Lemishow v. Commissioner, 110 T.C. 110 (1998), a taxpayer used plan cash to buy stock and deposited the stock; the Tax Court said that was not a rollover. In Estate of Caan v. Commissioner, 161 T.C. No. 6 (2023), the court said the IRS "cannot waive the same property requirement" for IRAs. The IRA version of this rule, the same-property trap, sank the Caan estate's rollover.
Does the once-a-year rollover limit apply to a TSP rollover?#
No: the one-rollover-per-year limit covers only IRA-to-IRA 60-day rollovers. A rollover from the TSP and a direct transfer between IRA custodians do not count (IRS Announcements 2014-15 and 2014-32).
The one-rollover-per-year rule matters later, if you move IRA money by check.
Special Cases: RMDs, Roth TSP, Loans and Split Rollovers#
Four situations change a TSP rollover: a required minimum distribution year, Roth TSP money, an unpaid TSP loan and a plan to split one balance between 2 IRAs.
Rolling over TSP money in an RMD year#
The TSP pays your required minimum distribution first in a year when you owe one, and only the rest can go to a gold IRA. An RMD can never be rolled over.
RMDs start at 73 if you were born 1951 to 1958 and at 75 if born in 1960 or later (proposed IRS rules say 73 for 1959). A rolled RMD is an excess contribution, taxed 6% for each year it stays (IRS Publication 590-B).
In the gold IRA, the RMD rules start at 73 or 75 and can be met in cash or coins.
Roth TSP money and the 5-year clock#
Roth TSP money can go only to a Roth IRA. Its 5-year clock for tax-free earnings starts over, counted from the first year you put money into any Roth IRA.
If you made Roth in-plan conversions inside the TSP, payments that include converted money "pull from the oldest conversion first" (TSPBK26, April 2026).
Leaving federal service with an unpaid TSP loan#
You can still roll a foreclosed TSP loan into a gold IRA with your own cash, until your tax-filing deadline including extensions. A loan foreclosure happens when the TSP closes an unpaid loan after you leave and treats the balance as paid out to you.
Splitting TSP money between a gold IRA and another IRA#
Use two separate requests, or one rollover followed by a transfer, to put part of your traditional TSP balance in a gold IRA and part in a regular IRA. One payment cannot go to two institutions (5 CFR 1650.25(b)).
The 2 workarounds are listed below.
- Two withdrawal requests: each goes to one custodian. While you still work, each counts toward your 4 a year (5 CFR 1650.31(c)).
- One rollover, then a transfer: roll everything to one IRA, then move part by trustee-to-trustee transfer, which moves money straight between IRA custodians. A transfer is not a rollover: no 60-day clock and no once-a-year limit (IRS Publication 590-A).
Sales Pitches Aimed at TSP Savers: The "TSP Playbook" Case#
Federal regulators have punished Red Rock Secured, a gold seller that marketed "The #1 TSP Playbook" to TSP savers. It charged 91.89% to 129.97% over its own cost for coins sold into IRAs. A markup over cost is how much more you pay than the dealer paid.
The SEC says clients heard Red Rock "charged one to five percent", while "premium" coins carried markups "typically 120 to 130 percent above Red Rock's cost". At least 950 people paid over $69 million for coins worth about $30 million. Both agencies charged the firm on May 15, 2023.
The CFTC enforcement action ended in a consent order (a court order the firm agreed to) on April 23, 2024 (CFTC 8898-24). It totals $56,334,313.90: $38,984,313.90 in restitution (money ordered paid back), $5.1 million in disgorgement (profits given up) and a $12.25 million penalty. SEC final judgments total more than $76.4 million. The SEC's May 7, 2024 release (LR-25996) says the firm "now operates under the name American Coin Co."
Red Rock's marketing also left out the G Fund's government backing. An order is not money repaid: in collection, Anthony Spencer was held in contempt on February 7, 2025, and a writ of continuing garnishment followed on August 19, 2025. The amounts paid to victims are not public. The BBB rated Red Rock D- (as of September 29, 2026).
A second CFTC case, against Regal Assets (CFTC 8791-23), involved money from "IRAs, 401(k) plans, and/or the U.S. Government Thrift Savings Plans": over $21 million from over 120 customers. The court entered default judgments, used when a defendant does not defend, of about $49.2 million on October 15, 2024. Both were fraud cases, the kind behind the 11 signs of gold IRA scams.
4 lines should stop any call about your TSP; each matches a tactic regulators documented.
- "Your TSP could be frozen or seized." The frozen-account scare appears in the Safeguard Metals and Fisher Capital cases.
- "Move your G Fund money into premium coins." The switch to "premium" coins appears in the Red Rock, Metals.com and Lear Capital cases.
- "The custodian's statement undervalues your coins." Red Rock's line; statements show market value without the markup.
- "No fees" or "free silver." FINRA's TSP page says: "Be wary of 'Free' or 'No Fee' claims."
Every CFTC, SEC and state case is in the enforcement actions tracker.
How Long Does a TSP to Gold IRA Rollover Take, and Which Tax Forms Follow?#
No law or TSP rule fixes how long a TSP to gold IRA rollover takes. The fixed dates are your 7-day right to revoke the new IRA, the 60-day limit if a payment reaches you, and the tax-form deadlines.
The table lists each fixed rule and form.
| Stage | Fixed rule or form | Source |
|---|---|---|
| New IRA opened | Right to revoke for at least 7 days | Treas. Reg. 1.408-6 |
| Direct rollover paid | No 60-day clock | 26 U.S.C. 401(a)(31), 3405(c) |
| Payment made out to you | 60 days, counted from the day after you receive it | 26 U.S.C. 402(c)(3)(A) |
| Metal bought | Should post to the depository within about 28 days (a benchmark) | Commodity Exchange Act 2(c)(2)(D) |
| Form 1099-R from the TSP | Box 2a $0; code G (code H for Roth TSP to Roth IRA); due by February 1, 2027 for a 2026 rollover | IRS Instructions for Forms 1099-R and 5498 |
| Form 5498 from the custodian | The rollover in box 2; the usual May 31 date falls on Memorial Day in 2027, so filing by June 1, 2027 is on time | IRS Instructions for Forms 1099-R and 5498 (2026), holiday rule |
Form 1099-R reports money paid out of a plan; its distribution code, a letter in box 7, names the kind of payment. Form 5498 reports money paid into an IRA. Ask the TSP and the custodian for their processing times in writing. Data on how long a gold IRA rollover takes is collected as providers publish it.
If the 1099-R shows a taxable amount you did not expect, call the ThriftLine before you file.
Every box on Forms 1099-R, 5498 and the other gold-related forms is decoded separately.
Which Other Retirement Accounts Can You Roll Into a Gold IRA?#
Besides the TSP, you can move a 401(k), a governmental 457(b), a 403(b), a pension lump sum or an existing IRA into a gold IRA. Each has one trap of its own. A governmental 457(b) serves state and local government workers, and a 403(b) serves teachers, nurses and nonprofit staff. A pension lump sum is a one-time payout instead of monthly checks.
| Source | Method | The trap | Guide |
|---|---|---|---|
| 401(k) | Direct rollover | The 20% withholding trap and the loss of the age-55 rule | 401(k) to gold IRA rollover |
| Governmental 457(b) | Direct rollover | Loses the 457(b)'s penalty-free access before 59 1/2 (IRS Notice 2020-62) | 457(b) to gold IRA rollover |
| 403(b) | Direct rollover | A 403(b)(7) custodial account cannot hold bullion itself (26 U.S.C. 403(b)(7)(A)) | 403(b) to gold IRA rollover |
| Pension lump sum | Direct rollover | Your spouse must consent in writing (26 U.S.C. 417(a)(2)) | pension to gold IRA rollover |
| Existing IRA | Trustee-to-trustee transfer | Not a rollover: no 60-day clock, no once-a-year limit | IRA to gold IRA transfer |
Questions federal employees ask about the TSP and gold#
Five questions federal employees often ask about the TSP and gold are answered below.
Is it better to leave money in the TSP or roll it over to an IRA?#
For most federal savers, leaving money in the TSP costs less. The 5 individual TSP funds charge 0.034% to 0.051% a year (2025 expenses). A gold IRA adds $215 to $325 a year in flat fees plus a dealer spread (as of September 2026). The decision table matches 9 situations to what usually fits.
What is the best thing to do with your TSP when you retire?#
There is no single best choice. For the metals question, the TSP lets you keep money in its funds, take all or part of it, or roll part into an IRA. Before moving any of it into gold, weigh the 6 TSP protections you would give up.
What is the downside of a gold IRA?#
A gold IRA has 3 main downsides: metal pays no interest or dividends, the spread and flat fees eat into returns, and traditional withdrawals are taxed as ordinary income. The 28% collectibles rate does not apply inside it (26 U.S.C. 1(h)). The pros, cons and real downsides are weighed with long-run return data.
What if you invested $10,000 in gold 20 years ago?#
Gold worth $10,000 at the LBMA PM price of $603.00 on September 28, 2006 was worth about $68,732 on September 28, 2026 (10.1% a year) before any costs. In a gold IRA with a 5% premium and $250 a year in fees (the performance page's assumptions), it reached about $49,929 (8.4% a year). With a 30% premium it reached about $37,529 (SafeOunce computation). Past returns do not predict future ones; the year-by-year table shows what $10,000 became after IRA costs.
Why does Dave Ramsey say not to invest in gold?#
Dave Ramsey says precious metals "don't produce anything, they don't pay dividends, and they don't earn interest," and that their prices swing hard (Ramsey Solutions, updated March 19, 2026). Inside an IRA those points still stand, but his 28% tax point does not: IRA withdrawals are taxed as ordinary income. Why Dave Ramsey and Warren Buffett say no to gold is answered point by point.