U.S. Representatives Eleanor Holmes Norton (D-DC) and Abigail Spanberger (D-VA) are asking the Government Accountability Office to review the new online Thrift Savings Plan (TSP) system after hearing voter complaints about it.
There were numerous complaints about various aspects of the plan, including account access, account balances, missing or incomplete information in their accounts, and hour-long wait times to reach customer service.
“I am deeply concerned about the widespread issues with the new TSP online system,” Norton said. “I continue to hear from voters daily about the many problems with the new system. I will continue to demand immediate solutions to the problems, but we need to understand how this debacle happened, which is why I am asking for a full review of the new system itself, its planning and its implementation, “said said Norton.
The Thrift Savings Plan (TSP) is a tax-deferred retirement savings and investment plan that provides federal employees with the same type of benefits as 401(k) plans. Through the TSP, federal employees have the opportunity to save a portion of their income for retirement, receive matching agency contributions, and reduce their current taxes.
“Over the past month, many dedicated Virginia federal employees and retirees have contacted my office about the challenges they are having with the TSP system. We need to know more about what’s wrong, why it’s happening, and how the TSP board intends to address these issues,” Spanberger said. “That is why we call for a thorough investigation into these outstanding issues. I would like to thank Congresswoman Norton for her partnership as we focus on greater accountability and transparency in this system — because Americans who have dedicated their careers to public service do not deserve to be excluded from their accounts. retirement.
The TSP had approximately 6.5 million participants and $838 billion in assets, making it the largest defined contribution plan in the world.
“We request that the Government Accountability Office conduct a thorough review of the new online Thrift Savings Plan (TSP) system, including planning, contracting and implementation, as well as oversight by the Federal Retirement Thrift Investment Board (FRTIB),” lawmakers wrote to GAO. “On June 1, 2022, FRTIB launched a new system with the aim of modernizing TSP’s record keeping, improving customer service and strengthening cybersecurity. Our offices have heard from constituents about widespread issues including account access, account balances, missing or incomplete information in their accounts, and hour-long wait times to reach customer service.