RAAUZYUW RUDIDFB1700 0761600-UUUU-RHMCSUU. ZNR UUUUU R 171600Z MAR 09 ZYB FM DFAS CLEVELAND OH TO AIG 4730 AIG 4676 AIG 4678 BT UNCLAS //N07220// MSGID/GENADMIN/MPO/CL CODE JFLF// SUBJ/THRIFT SAVINGS PLAN DEDUCTION FOR A SEPARATING MEMBER// MILITARY PAY ADVISORY 08/09// REF/A/DOC/CODE OF FEDERAL REGULATIONS/TITLE 5 CHAPTER VI PART 1604 SECTION 1604.4// AMPN/REF A IS THE CODE OF FEDERAL REGULATIONS THAT ADDRESSES CONTRIBUTIONS TO THRIFT SAVINGS PLAN FOR UNIFORMED SERVICES.// POC/GARY GABERDIEL/SHARONNE AYERS/CODE JFLAG/MPO-CLE/ TEL:216:522-5915/TEL:DSN: 580-5915// RMKS/1. THIS MILITARY PAY ADVISORY IS TO REITERATE PROCEDURES CONCERNING TSP AND TSP CATCH-UP DEDUCTIONS FOR MEMBERS SEPARATING FROM THE NAVY. NORMAL SEPARATION PROCESSING CAUSES THE MASTER MILITARY PAY ACCOUNT (MMPA) TO GO INTO A 'T' STATUS AT 10 DAYS PRIOR TO N7 ENTRY FOR DATE OF SEPARATION. TSP AND TSP CATCH-UP DEDUCTIONS WILL STOP EFFECTIVE THE END OF THE PREVIOUS MONTH. THE AMOUNT OF PAY CONTAINED ON THE NT LINE DOES NOT INCLUDE ANY REDUCTION FOR TSP AND TSP CATCH-UP IN THE FINAL MONTH OF SEPARATION. 2. AS SPECIFIED IN REF A, A MEMBER IS ENTITLED TO CONTRIBUTE TO TSP AND TSP CATCH-UP PROVIDED THERE IS A VALID ELECTION IN FORCE AND THE MEMBER IS IN RECEIPT OF BASIC PAY. IF THE MEMBER WISHES TO HAVE TSP OR TSP CATCH-UP WITHHELD FROM THEIR FINAL PAY ACCORDING TO THE TSP ELECTION IN FORCE, SEPARATING ACTIVITIES SHOULD CALCULATE THE ALLOWABLE TSP AND AGE CATCH-UP DEDUCTION IF APPLICABLE TAKING INTO CONSIDERATION THE PRORATION OF THE TSP DEDUCTION BASED UPON THE NUMBER OF ACTIVE DUTY DAYS IN THE SEPARATION MONTH AND REDUCE THE MEMBERS' PAY ACCORDINGLY. SEPARATION PAYMENTS AND LUMP SUM LEAVE ARE NOT ELIGIBLE CATEGORIES OF PAY FOR TSP CONTRIBUTIONS. 3. FORWARD THE FOLLOWING INFORMATION TO MPO-CL, FAX NUMBER 216-367-3593. ATTN: TSP OPERATIONS BRANCH: A. LAST FOUR SOCIAL SECURITY NUMBER B. MEMBERS FULL NAME C. RANK D. AMOUNT OF TSP AND TSP CATCH-UP IF APPLICABLE CALCULATED AND DEDUCTED FROM FINAL PAY 4. THE ABOVE INFORMATION MUST BE RECEIVED PRIOR TO THE MEMBERS MMPA GOING INTO A 'V' STATUS. MPO-CL WILL PROCESS ALL NECESSARY TRANSACTIONS TO POST THE COMPUTED TSP DEDUCTION TO MEMBER'S MMPA AND FORWARD THE AMOUNT TO THE MEMBER'S TSP ACCOUNT. 5. REQUEST WIDEST DISSEMINATION POSSIBLE.// BT #1700 NNNN