Once you separate from federal service, you can no longer contribute to your Thrift Savings Plan. Your existing balance stays invested and continues growing based on how it's allocated, but no new money can go in. Continued retirement saving after that point typically happens through an IRA, which is also where a TSP balance can be rolled over.
Video Transcript
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Once you separate from federal service, your relationship with TSP changes in a few important ways.
One of the most significant ways is that you can no longer contribute to it. You can't put any more money into your TSP after you leave federal service. What's already in there will keep growing based on how it's invested, but you can't add to it.
If you want to keep saving for retirement after you stop working, you'd need to do that through an IRA, and that would also give you the option to roll your TSP over into that same account.
If you're still a few years away from retirement, this is worth factoring into how aggressively you're contributing now, while that window is still open.
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