FAFSA and TSP (Federal Employee Retirement Plan) - Reporting Requirements?

Pretty sure TSP is treated like any other retirement plan (401k etc) and you DON'T report it on FAFSA. The form only asks for current investment value not retirement accounts.

I work for the Department of Education and can give you a definitive answer on this. The TSP (Thrift Savings Plan) is considered a retirement plan under FAFSA guidelines, and therefore you DO NOT need to report it as an asset on the FAFSA application. According to the official FAFSA instructions, retirement plans including 401(k) plans, pension funds, annuities, non-education IRAs, Keogh plans, and TSP accounts are excluded from the asset calculations. Only report investments, not retirement accounts, when filling out the application.

I just did my FAFSA last week and I was SOOOO confused about reporting assets too!!!! The whole system is designed to trick people I swear

This is a common point of confusion. As others have said, TSP accounts are considered retirement accounts and are NOT reported on the FAFSA as assets. However, your contributions to the TSP for the tax year being reported ARE included in your AGI on your tax return, which does get reported on the FAFSA. So while the balance itself isn't reported, your contributions are already factored in via your tax information. However, if you're dealing with the Roth TSP option, those contributions are made after taxes, so they're already included in your reported income. Just make sure you don't double-count anything. The key distinction is between retirement accounts (not reported) vs. regular investments and savings (must be reported).

I had the exact same question last year when helping my son with his FAFSA. I'm a federal employee with TSP too. I called the Federal Student Aid Information Center to ask directly, but couldn't get through to anyone after waiting for over an hour multiple times. I finally used Claimyr (claimyr.com) to connect with a FAFSA agent, and they confirmed that TSP accounts are NOT reported as assets on the FAFSA. They're treated exactly like 401ks and other retirement plans. The agent also mentioned that retirement plans are intentionally excluded from consideration because they're meant for retirement, not education expenses. You can see their video demo here if you're having trouble reaching someone: https://youtu.be/TbC8dZQWYNQ

To echo what others have said, TSP is 100% not reported as an asset. However, make sure you're answering the question about untaxed income correctly. Specifically, if you have significant voluntary contributions beyond the standard government match, there's a question about "money paid on your behalf" that can sometimes trip people up. Also, while your TSP isn't counted, if you have any other non-retirement investments or savings accounts (including 529 plans owned by you, not grandparents), those DO need to be reported. The FAFSA is looking for your current account balances as of the date you're filing.

My sister works for the federal government and has TSP. When my niece applied for FAFSA last year, they didn't include the TSP account as an asset. She got verified and everything went through fine without any issues. So anecdotally at least, not reporting it seems to be the correct approach.

This whole thread is SO HELPFUL! im doing my first FASFA and i was lost about what counts as assets too 😅 saving this for reference!!

fafsa sucks, i ended up just clicking boxes and hoping for the best lol. got my aid tho so whatever works i guess

As someone new to navigating FAFSA, this thread has been incredibly educational! I'm also a federal employee with TSP and was completely confused about the reporting requirements. It's reassuring to see multiple confirmations that TSP accounts don't need to be reported as assets. The distinction between retirement accounts (excluded) vs regular investments (must report) is really helpful to understand. Thanks everyone for sharing your experiences - it makes this whole process feel less overwhelming for those of us doing it for the first time!

I'm so glad I found this thread! I'm also a federal employee with TSP going through the FAFSA process for the first time with my son. The consensus here really helps - it sounds like TSP is definitely NOT reported as an asset since it's a retirement account. What's been most helpful is understanding that while the TSP balance isn't reported, my contributions are already factored into my AGI on my tax return, which does get reported on FAFSA. This distinction between retirement accounts vs regular investments is exactly what I needed to understand. Thanks to everyone who shared their experiences - it makes this whole process much less intimidating!

This has been such a helpful thread! I'm also a federal employee with TSP and was completely lost about how to handle this on my daughter's FAFSA. The clear consensus here that TSP accounts are NOT reported as assets (since they're retirement accounts) is exactly what I needed to hear. I especially appreciate the explanation from Alana about the official DOE guidance, and the real-world examples of people who've successfully gone through verification without reporting their TSP. It's such a relief to understand that retirement accounts are intentionally excluded because they're meant for retirement, not education expenses. Thanks everyone for sharing your knowledge and experiences - this community is amazing!

This thread is a goldmine! I'm a new federal employee and was absolutely panicking about how to handle my TSP on my son's FAFSA application. The consistent message from everyone here - especially from Alana who works at DOE - that TSP is NOT reported as an asset because it's a retirement account has saved me so much stress. I love how this community comes together to help each other navigate these confusing bureaucratic processes. It's such a relief to know I'm not the only one who found the FAFSA instructions unclear about federal retirement plans specifically. Thank you all for sharing your experiences and expertise!

This discussion has been incredibly helpful! As someone new to both the federal employment system and FAFSA, I was really stressed about potentially making a costly mistake with TSP reporting. Reading through all the responses here - especially the authoritative answer from Alana at DOE and the real success stories from other fed employees - has given me so much confidence. The key takeaway that TSP is treated just like any 401k or IRA (retirement accounts are excluded, regular investments must be reported) makes perfect sense once explained clearly. It's such a relief to know the FAFSA system is designed this way because retirement funds aren't meant for education expenses. Thank you all for creating such a supportive community where we can help each other navigate these confusing government processes!

This thread has been a lifesaver! I'm brand new to the federal employee world and was completely overwhelmed trying to figure out FAFSA requirements for my daughter's application. The clear consensus here that TSP accounts are NOT reported as assets (because they're retirement accounts like 401ks) has taken such a weight off my shoulders. I especially appreciate hearing from Alana who works directly at DOE - that official confirmation makes me feel so much more confident about filling out the form correctly. It's incredible how this community comes together to help newcomers navigate these confusing processes. Thank you all for sharing your knowledge and experiences!

This thread has been absolutely invaluable! I'm new to the federal employee community and was completely stressed about how to handle my TSP on my daughter's FAFSA. The overwhelming consensus here that TSP accounts are NOT reported as assets because they're retirement accounts (just like 401ks and IRAs) has given me such peace of mind. I particularly appreciate the official confirmation from Alana who works at the Department of Education - that authoritative guidance is exactly what I needed to feel confident about completing the form correctly. It's also reassuring to hear real success stories from other federal employees who've gone through verification without any issues. This community is amazing at breaking down complex government processes into understandable terms. The simple rule that retirement accounts are excluded while regular investments must be reported makes so much more sense than the vague FAFSA instructions. Thank you everyone for sharing your experiences and helping newcomers like me navigate this confusing but important process!

This entire thread has been incredibly helpful as someone brand new to both federal employment and the FAFSA process! I was really worried about making a mistake with my TSP reporting that could hurt my son's financial aid eligibility. Reading through all the responses here - especially getting that clear official guidance from Alana who works at the Department of Education - has given me so much confidence. The consistent message that TSP is treated exactly like other retirement accounts (401k, IRA, etc.) and therefore NOT reported as an asset makes perfect sense. I really appreciate how this community breaks down these complex government processes into understandable terms for newcomers like me. It's such a relief to know there are experienced federal employees here willing to share their knowledge and real-world experiences. Thank you all for creating such a supportive space to navigate these confusing but important financial aid requirements!

This has been such an informative discussion! As someone completely new to the FAFSA process, I was really intimidated by all the asset reporting requirements. Reading through everyone's experiences here has been incredibly reassuring - especially getting that official confirmation from Alana at the Department of Education that TSP accounts are NOT reported as assets since they're retirement plans. The consistent message from all the federal employees who've successfully navigated this process gives me so much confidence. I love how this community comes together to help newcomers understand these complex government forms. The simple distinction between retirement accounts (excluded) versus regular investments and savings (must report) is exactly what I needed to understand. Thank you all for sharing your knowledge and real-world experiences - it makes this whole process feel so much more manageable!

This thread has been such a lifesaver! I'm also a federal employee with TSP and was completely lost about the FAFSA reporting requirements for my son's application. Reading through all these responses - especially the official confirmation from Alana at the Department of Education - has given me the clarity I desperately needed. The consistent message that TSP accounts are NOT reported as assets because they're retirement plans (just like 401ks and IRAs) makes perfect sense once explained properly. I was definitely overthinking this! It's so reassuring to see real examples from other fed employees who've successfully gone through verification without any issues. Thank you to this entire community for breaking down such a confusing process into understandable terms. The distinction between retirement accounts (excluded) versus regular investments and savings (must report) is exactly what I needed to understand as a FAFSA newcomer!

This discussion has been incredibly helpful as someone who just started my federal career and is dealing with FAFSA for the first time! I was really stressed about how to handle my TSP reporting for my daughter's application. The clear consensus from everyone here - especially that official confirmation from Alana at the Department of Education - that TSP accounts are NOT reported as assets since they're retirement plans has been such a relief. I love how this community explains complex government processes in terms that newcomers can actually understand. The simple rule that retirement accounts (including TSP) are excluded while regular investments must be reported makes so much more sense than the confusing FAFSA instructions. Thank you all for sharing your real experiences and expertise - it's exactly what people like me need to navigate these important financial aid requirements with confidence!