Your Turn with Mike Causey

This week on Your Turn, Federal News Radio reporter Nicole Ogrysko discusses the past, present and future of the federal civil service, and Federal News Radio Senior Digital Editor Michael O'Connell explains how podcasts could help you get ahead in your federal career. August 22, 2018

Financial planner Arthur Stein, who has  many clients who are Thrift Savings Plan investors, even several TSP millionaires. He offers his insight on how to get the most out of your TSP.

Federal News Radio reporters Nicole Ogrysko and Jory Heckman join host Mike Causey on this week's Your Turn to discuss what’s happening and not happening with pay, shutdowns and appropriations on Capitol Hill.

Thanks to the Federal Employees Retirement System, the Civil Service Retirement System and Social Security retirement programs many people will have guaranteed lifetime payments worth $1 million to $2 million.

And that is in addition to their investments in the Thrift Savings Plan.

Tom O’Rourke, a Washington area attorney whose practice is limited to estates, trusts, tax and federal pension matters, said most active and retired feds are worth more than they think, “especially if you are entitled to receive a lifetime annuity at retirement.”

On this episode, O’Rourke talks about what feds and their survivors should be doing to maximize their cash benefits. These include things such as wills, powers-of-attorney (two kinds), trusts and the like to protect you and yours.

He also discusses the steps you need to take to minimize tax liabilities, and what you need to include as part of your estate plan.

You can listen to the show streaming on www.federalnewsradio.com or on 1500 AM in the D.C. area.

Your Turn airs live at 10 a.m. EDT Wednesdays on 1500 AM in the Washinton D.C. metro area and streaming nationwide at federalnewsradio.com. Remember all our Your Turn shows are archived on our homepage so you can listen later, listen again or recommend them to a  friend or coworker. See, you really are worth more than you thought.

Earlier this year President Donald Trump proposed a zero pay raise for January 2019. In its place would be a yet-to-come system that would give agencies more flexibility and cash to reward outstanding workers with outstanding raise.

FERS & CSRS: What's next?

So, how often do you look at your Thrift Savings Plan account balance, and does it affect your investment decisions?

Do the ups and downs of your TSP account keep you up at night? Are you financially nervous in the civil service, or do you think you have the wrong mix of funds in your retirement nest egg?

If so, financial planner Arthur Stein has the answers to your retirement questions.

Stein will discuss these and other TSP investing topics on the Your Turn radio show Wednesday at 10 a.m. Questions for him or Mike Causey can be sent before the show to [email protected] Listen at www.federalnewsradio.com or 1500 AM in the Washington, D.C. area.

Long ago a financial planner told me the key to success was to have a steady job, invest in any company 401K plan that is offered, get and stay married to the same person, buy a house in an up-and-coming neighborhood, live within your means and wait.

Tens of thousands of federal/postal workers and retirees fit the profile, except maybe for the one spouse rule.

Even so, the fact is that a lot of people fit the profile of somebody who has done very well financially, especially if they have been with one employer for 20 or 30 years, and if that employer offers a 401K plan, a generous company match and a retirement plan. Maybe they fit it better than they realize.

Estate attorney Thomas O’Rourke said the key tools in most estate plans include wills, powers of attorney, medical directives, and trusts. O’Rourke was the guest on this week’s episode of the Your Turn radio show and he talked about things you should be doing to plan for retirement, and how often you should review your plan. Tune in to the show Wednesdays at 10 a.m. at www.federalnewsradio.com or 1500 AM in the D.C. metro area.

When financial times get tough and a bull market rears its ugly head, many Thrift Savings Plan investors head for the safety of the bond index F Fund or, more likely, the super-safe never has a bad day G Fund. To many people, the U.S. Treasury-backed securities are the safest haven in an uncertain market.

During the Great Recession many TSP investors pulled out of the stock market (C, S and I funds) into the G Fund. Although the market bottomed out March 9, 2009, and rebounded with a vengeance, many investors never returned.

Certified financial planner Art Stein said there is safety and then there is “safety,” the latter actually used by people to mean a lack of volatility. Stein was the guest on this week’s episode of the Your Turn radio show and he discussed the price that investors pay for safety.

Tune in to the show Wednesdays at 10 a.m. at www.federalnewsradio.com or 1500 AM in the D.C. metro area.

The Trump administration has submitted a legislative package that would, among other things, eliminate cost-of-living adjustments for current and future workers retiring under the Federal Employees Retirement System.

Under the White House plan, the employee contribution to the FERS program would also rise one percent each year, over each of the next six years. It also proposes eliminating the FERS supplement which is a payment workers now get if they retire before age 62, when they are eligible for Social Security.

So what are the odds any of the proposed changes will happen this year? John Hatton, deputy director for Advocacy of the National Association of Active and Retired Federal Employees outlines the proposals and talks about their chances on this week’s Your Turn radio show. Listen live at 10 a.m. EDT Wednesdays on www.federalnewsradio.com or at 1500 AM in the D.C. area.