FY 14 Force Management Program (RIF, VSP, TERA)

[booze]

Where can I find more info on delaying my DOS? I may be interested in this as my approval for VSP caught me a bit off guard.

Ask your commander. Not sure what the manning situation is where you are, but your leadership is probably interested in keeping folks around. I was asked about a month after my VSP approval if I would be willing to extend beyond my DOS if it was offered.

[deaddebate]

Didn't see this posted anywhere, so FYI for anybody interested, take a read:

AIR FORCE PERSONNEL CENTER INSTRUCTION 36-110, 11 JULY 2014, FORCE SHAPING BOARDS

https://static.e-publishing.af.mil/production/1/afpc/publication/afpci36-110/afpci36-110.pdf

[FBomb]

JQP is reporting on FB that folks who've been released under VSP and have already left AD aren't being paid the separation pay. For those who left under the FY 14 program, have you all received yours?

[tunes]

resurrecting the thread...seems AFPC/MPF still have no clue whats going on. Spent an hour this morning trying to get my IRR/TAMP cards since I couldn't get them at my last base since I went on terminal > 90 days from separation. Spent an hour with the guy and then his supervisor and wouldnt budge on giving me the TAMP card even though I was quoting Title 10 to them where it said i got it even if I VSP'd and palace fronted....Still no IRR card..they told me to come back AFTER my separation date to get that....couldn't handle any more incompetence for the day.

edit: I did get my TAMP card after convincing them that my 1288 for my Palace Front was an agreement to join the reserves

Edited August 26, 2014 by tunes

[BONE WSO]

Tunes PM me your number and I will call you and give you the gouge I have on the program.

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[stick]

Mini thread revival because I'm angry. For all future VSP'ers from the guys at DFAS: (because it's too late for any FY14 guys)

BLUF: Max out your TSP allocation and live off of savings for your last 3-4 months on active duty to avoid a huge tax hit. After meeting with my accountant yesterday, I now know my inability to contribute VSP pay to TSP increased my tax bill $7,300.

Voluntary Separation Pay cannot be contributed to TSP.

Voluntary Separation Pay is authorized in Title 10 section 1175. The types of pay that can be contributed to TSP are basic pay as defined in 5 USC 8331(3); special and incentive pay as defined in 37 USC 5, and bonus as defined in 37 USC chapter 5. Vol. 7A, Table 51-1 lists the types of specific types of pay that can be contributed.

References:
5 CFR 1600.12: A uniformed service member may elect to contribute sums to the TSP from basic pay and special or incentive pay (including bonuses).

5 CFR 1690.1, Definitions:
Bonus contributions means contributions made by a participant from a bonus as defined in 37 U.S.C. chapter 5.
Special or incentive pay means pay payable as special or incentive pay under 37 U.S.C. chapter 5.
Basic pay means basic pay as defined in 5 U.S.C. 8331(3)

[Jaded]

If you're getting a job immediately after you separate, you could put as much as possible in your new 401k. Or, if you know early enough in the year you could max your TSP contribution for the year (plus IRA). It's kind of a first world problem; you're making so much money this year you have to pay more taxes.

[FUSEPLUG]

BLUF: Max out your TSP allocation and live off of savings for your last 3-4 months on active duty to avoid a huge tax hit. After meeting with my accountant yesterday, I now know my inability to contribute VSP pay to TSP increased my tax bill $7,300.

Is $17,500 the max for the Roth and Standard TSP combined? If I max out my Roth IRA ($5,500) does that mean I need to limit my Roth TSP contributions to $12,000?

[nunya]

No. 17,500 + 5,500.

[Warrior]

No. 17,500 + 5,500.

Checks

[Jughead]

Is $17,500 the max for the Roth and Standard TSP combined? If I max out my Roth IRA ($5,500) does that mean I need to limit my Roth TSP contributions to $12,000?

Those are two different questions.

IRAs (standard or Roth) have nothing to do with the TSP. Totally separate limits. Your contributions to a Roth IRA affect your contributions to a standard IRA (and vice-versa), since it's a single limit for ALL IRAs--so, NO to your second question.

Your Roth TSP and Standard TSP similarly share a single limit. That limit is also shared by any 401(k) (standard and/or Roth) you may contribute to (say, with your civilian employer the same year you separate)--so, YES to your first question.

Don't let the "Roth" label confuse you. You have two separate limits to worry about: IRAs, and TSP/401(k)/403(b)/etc.

[StealthDriver]

Hi all,

It's been years since I've been on the forms...so long actually that my old account was deactivated. Well, anyway, it's good to be back...the Active Duty Air Force Train Wreck that we are all seeing take place as we speak brought me back to the Forums ;). I'll cut to the chase with my Palace Chase question. Searched all through the previous posts but no joy.

Just got the call that the Reserve unit I applied to has hired me. I've got a meeting with my ISR this week. Back during this last round of RIF's our OG office notified a few of us that our Core AFSC's were still showing our previous MAJCOM's designator. We looked at getting it fixed, but it wasn't fixed in time. Long story short...I wasn't RIF'd anyway.

Now it's time for some Palace Chase action and I'm wondering if my Core AFSC is also the same thing AFPC uses for Palace Chase. If so...I might just let it ride as that AFSC probably has a higher chance of Palace Chase approval for me.

So big picture question is: does AFPC go off of our Core AFSC for these purposes.

Thanks a ton!

StealthDriver

[chim richalds]

Go on prda or pull your surf and look for your rdtm code, that is what makes you eligible or not. Many of us carried the 11m label but were flying with acc and AFSOC and got paroled. Good luck

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Edited September 7, 2014 by chim richalds

[StealthDriver]

Thanks! Good info. On a side note, do you know if as an ART you can claim out of state Residency? Just wasn't sure if you can do that for Tax purposes like we do on AD.

Thanks again!

StealthDriver.

[NotADude]

Is $17,500 the max for the Roth and Standard TSP combined? If I max out my Roth IRA ($5,500) does that mean I need to limit my Roth TSP contributions to $12,000?

Although, one issue I ran into was the only way you can contribute to TSP is via allotment. So even if you have excess cash you'd like to dump in prior to the end of the year to alleviate your tax liability with VSP, you're limited by your base and incentive pay. (And you can only contribute 92% of base pay and 100% of incentive pay). ALSO, whatever you contribute while deployed (tax-free) doesn't count towards your $17.5K annual limit, so if you're thinking ahead, max out your contributions while deployed, since you can't do it retroactively. Things I wish I'd known 1 year ago...And no, I have no idea why they make it that $&@!ing difficult.

Posted from the NEW Baseops.net App!

[mcbush]

ALSO, whatever you contribute while deployed (tax-free) doesn't count towards your $17.5K annual limit, so if you're thinking ahead, max out your contributions while deployed, since you can't do it retroactively.

Note that this is only true for traditional contributions, not Roth.

[Jughead]

ALSO, whatever you contribute while deployed (tax-free) doesn't count towards your $17.5K annual limit, so if you're thinking ahead, max out your contributions while deployed, since you can't do it retroactively. Things I wish I'd known 1 year ago...And no, I have no idea why they make it that $&@!ing difficult.

Note that this is only true for traditional contributions, not Roth.

Further note, tax-exempt contributions do have a limit ($52K for 2014), and that is shared with the elective deferral limit ($17.5K for 2014). In other words, the total of your tax-exempt & elective deferrals cannot exceed the $52K limit. BL, if you're truly maxing your contributions (and have a high enough tax-exempt income for this to be a factor), be careful not to make more than $34.5K of tax-exempt contributions, or you will lose the ability to make a corresponding amount of elective deferrals (thus paying more tax for the same amount of total TSP contribution).

Don't blame the AF or even DoD for it being "$&@!ing difficult"--that's tax law & IRS policy making at work. I doubt CZTE money was originally considered when these various limits were created (the upper limit was designed to limit employer contributions), but that's how they've been applied to the uniformed version of the TSP.

ETA:

one issue I ran into was the only way you can contribute to TSP is via allotment.

Generally true (IRS rules again, not USAF). One exception that I've ops checked twice: if you deploy late enough in the month that that month's contribution doesn't get made properly (due to CZTE status not being applied in time), you can "write a check" to pay in the missing contribution. In IRS-speak, that option is allowed when a contribution is not made via the normal payroll deduction due to employer error, which is how the delay in getting CZTE started is treated for this purpose. Edited September 11, 2014 by Jughead

[BONE WSO]

VSP Update: Separated on 26 September, Final Pay deposited yesterday and VSP paid out today!

[tunes]

VSP Update: Separated on 26 September, Final Pay deposited yesterday and VSP paid out today!

Niiiice hopefully us 29ers will have it by weeks end

[MooseAg03]

Jealous...

[casemac]

Also a 26 sep vsp'er. Do not have my final pay as of yet but did get my nice Vsp check.

[lossofclocklossofdata]

VSP Update: Separated on 26 September, Final Pay deposited yesterday and VSP paid out today!

Did they pay out from different accounts? I received 58k today from the Indy location, but it's the same account that my normal pay comes from. Not sure if they were lumped together or if I haven't received my normal last pay check yet?

[stick]

My VSP and final pay came from the same Indy account, but in separate chunks.

According to Dover Finance, all VSP calculations were done at DFAS and your final paycheck was calculated at your individual base to include any sold leave.

[tunes]

I got my vsp payout today but haven't gotten my final check yet

[chim richalds]

I too received my $58k today, I wish all jobs I quit could end up like this

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