Which investment plan is available to active duty, guard, and reserve personnel for retirement income?

The Thrift Savings Plan (TSP) is specifically designed for federal employees and members of the uniformed services, including active duty, guard, and reserve personnel. This retirement savings and investment plan allows service members to save for retirement while providing tax advantages similar to those of private sector 401(k) plans.

The TSP offers both traditional and Roth options, enabling participants to choose how they wish to contribute and potentially receive matching contributions from the government, depending on service status and tenure. This makes it a valuable tool for service members aiming to build a secure retirement income, as it fosters disciplined savings and investment even amidst military service.

The other options, while related to retirement savings, do not specifically cater to military personnel or are not structured to provide the same benefits as the TSP for active duty and reserve forces. The pension plan is typically not universally available to all service members, as it often depends on years of service and specific branch regulations. The 401(k) plan is more tailored for civilian employment settings. A traditional IRA is available to anyone, but it does not offer the specific advantages and contributions tied to military service and the TSP.