Sponsors (25)
The bill makes it easier and faster for federal employees to move TSP funds to brokerage retirement accounts—improving convenience and account management—but introduces implementation costs, operational burdens, and risks of transfer errors that require careful oversight.
Federal employees with TSP accounts can electronically transfer funds to qualified brokerage retirement plans more quickly and with less paperwork, making it easier to consolidate accounts and manage investments.
Taxpayers and Congress gain improved visibility because the bill requires a report to Congress on implementation, which enhances transparency and oversight of the new electronic-transfer authority.
Taxpayers and federal employees may bear administrative and IT implementation costs for the new electronic-transfer capability, either through taxpayer funds or charges to TSP operations.
Federal employees could face increased risk of errors or improper transfers if electronic safeguards and procedures are insufficient or not fully tested.
The FRTIB Executive Director and Treasury will take on a new administrative duty to design and oversee the transfer process, which may divert staff time and attention from other priorities.
Based on analysis of 2 sections of legislative text.
Permits electronic transfers from individual TSP accounts to qualified brokerage retirement plans and requires an implementation report to Congress, effective one year after enactment.
Allows participants in the Thrift Savings Plan (TSP) to electronically transfer money from their individual TSP accounts to a qualified brokerage retirement plan once the individual provides required information to the Federal Retirement Thrift Investment Board (FRTIB). The law requires the FRTIB Executive Director, working with the Treasury Secretary, to send Congress a plan for implementing the electronic-transfer authority by the same one-year deadline. The change takes effect one year after enactment and only applies when transfers are already permitted by law; it simply enables electronic execution of such transfers and sets a reporting requirement to Congress to guide implementation.
Official title: To provide for the electronic transfer of amounts from Thrift Savings Fund accounts to qualified retirement plans, and for other purposes.
Introduced June 9, 2026 by Mike Bost · Last progress June 9, 2026