Get Your TSP Match

The short version

Under the Blended Retirement System (BRS), the government puts money into your Thrift Savings Plan, and that includes drilling Guard and Reserve members. Contribute 5% of your drill pay and the government adds up to 5% on top. Leaving that on the table is leaving free money behind.

The 5% match, on drill pay too

BRS gives you an automatic 1% government contribution plus up to 4% in matching, for a total of 5% when you contribute at least 5% yourself. For Guard and Reserve members, this rides on your inactive-duty (drill) pay and your active-duty pay alike.

How the match works

• 1% automatic contribution, even if you put in nothing.
• Up to 4% match when you contribute 5%.
• Counts on drill pay and active-duty pay.

The fine print

• Matching starts after 2 years of service (for those who entered on or after Jan 1, 2018).
• You must contribute to get the match; aim for at least 5%.
• Contributions continue toward 26 years of service.

Contribute at least 5% of your drill pay. The government 5% is a 100% return before your investments earn a dime.

Source: DoD BRS; TSP

Make sure you are actually getting it

Drill pay is irregular, so check your LES and TSP statements to confirm the match is flowing. Set your contribution as a percentage so it scales with each drill and active-duty period. If you opted into BRS or joined after 2018, confirm your matching clock and election in MyPay.

Where to put it

For most younger members, a low-cost, age-appropriate Lifecycle (L) fund is a simple, diversified default. The point is less about picking funds and more about capturing the full match and letting time and compounding work across a long Guard or Reserve career.

Smart moves

• Set contributions to at least 5% as a percentage.
• Consider Roth TSP, especially in low-tax or combat-zone years.
• Use an L fund if you do not want to manage allocations.

Combat-zone pay into a Roth TSP goes in tax-free and comes out tax-free, a rare and powerful combo.

Source: TSP

Do this now

1. Set your TSP contribution to at least 5% of drill pay in MyPay.
2. Confirm the match is showing on your LES and TSP statements.
3. Pick a fund (an L fund is a fine default).
4. Revisit after 2 years of service when matching begins, if it has not already.

FAQ

Do reservists really get a TSP match?

Yes, under BRS. The 1% automatic and up to 4% matching apply to drill (inactive-duty) pay and active-duty pay.

When does matching start?

After two years of service for members who entered on or after January 1, 2018. Those who opted into BRS got matching upon opting in.

How much should I contribute?

At least 5% to capture the full government match. More if you can.

Roth or traditional?

Roth TSP is attractive in low-income or combat-zone years; traditional lowers your taxable income now. Many split the difference.

Sources & links

• DoD, Blended Retirement System: militarypay.defense.gov
• TSP, contributions and matching: tsp.gov
• Military OneSource, Blended Retirement System: militaryonesource.mil