Understanding the TSP Rule of 55 The TSP Rule of 55 is a provision that allows federal employees to withdraw from their Thrift Savings Plan without a 10% early withdrawal penalty if they separate from service in or after the year they turn 55. This rule is designed to give flexibility for those who want to retire early. However, it only applies to TSP accounts—not IRAs or other plan... https://www.federalpensionadvisors.com/post/tsp-rule-of-55