Can I move my TSP into gold?

What you would be giving up — first, because it matters

FACT. The TSP's expense ratios are among the lowest available anywhere, and the G Fund is a security no private plan can replicate: principal that does not fall, at intermediate Treasury rates. FACT. The TSP also allows penalty-free withdrawals if you separate during or after the year you turn 55 (age 50, or after 25 years of service, for public-safety and certain uniformed roles), which is earlier than the IRA's 59½. Moving everything out forfeits both. Most federal retirees who add metals move a portion and keep the TSP open.

• G Fund: no private equivalent — principal stability at Treasury rates
• Expense ratios materially lower than most IRAs
• Earlier penalty-free access after separation at 55, or 50 in certain roles

When a TSP is allowed to move

FACT. Separated and retired participants may roll over at any time, in full or in part. Still-employed participants gain access at 59½ through an age-based in-service withdrawal, which can be rolled directly to an IRA without tax. Hardship withdrawals cannot be rolled over. Check your current TSP forms or the online request — the process has been consolidated in recent years and the old paper form numbers no longer describe it reliably.

• Separated or retired: eligible, no age condition on the rollover itself
• Still serving and 59½ or older: age-based in-service withdrawal, rollable
• Hardship withdrawals: not eligible for rollover

Settle any TSP loan first

FACT. An outstanding TSP loan generally must be repaid after separation, or the unpaid balance is declared a taxable distribution — with the 10% additional tax if you are under the relevant age. Resolve the loan before starting a rollover so it does not quietly reduce the amount that moves and create a tax bill in the same year.

Doing it without tax or penalty

FACT. A direct rollover paid to the receiving custodian is not a distribution: no withholding, no 60-day clock, no penalty at any age. Traditional TSP dollars go to a traditional IRA untaxed. Roth TSP goes to a Roth IRA with tax-free treatment intact. Moving traditional TSP dollars into a Roth IRA is a conversion and is taxable as ordinary income in that year — a deliberate choice, not an accident to stumble into. Mixed balances are split pro-rata by source.

• Open the self-directed IRA first so the receiving account exists
• Request a direct rollover — never a cheque payable to you
• Select IRS-eligible bullion once funds settle; the depository holds it

What it costs, stated plainly

A custodian account fee, an annual depository storage fee, and a premium over the spot price on the bullion. Those costs are higher than the TSP's, which is exactly why this is a diversification decision about a portion rather than a wholesale move. Capstone works with Preferred Trust Company and GoldStar Trust Company — independent custodians holding the account, not us — and every figure is quoted in writing before you commit.

Whether you should, not just whether you can

Most federal households also hold a FERS annuity and, often, Social Security — two inflation-adjusted income streams that already do part of the job people hope metal will do. Because Capstone has licensed financial advisors on staff, the conversation can weigh the annuity, the TSP, a spouse's plan and your income needs together. If the answer is that you are already positioned sensibly, we would rather tell you that than process a rollover.

Reaching us

Capstone Metals is operated by TB Alternative Assets LLC, a California-registered company, and works with federal and military households across the United States by phone and text: (800) 200-9553, Monday to Friday, 7am to 4pm Pacific. Bring your TSP statement and we will map which dollars can move and what each step costs.