
The TSP can’t hold physical gold, so a TSP to Gold IRA rollover moves eligible money into a self-directed IRA that can. You’re able to make this change once you leave federal service, or at age 59½ while you’re still working. Use a direct rollover, and you’ll owe no income tax or penalty on the move.
Below, you’ll see who qualifies, how each step works, how the taxes work for traditional and Roth money, and what a Gold IRA costs compared with keeping your savings in the TSP.
Key takeaways
- You can move your TSP into a Gold IRA once you leave federal service or turn 59½.
- A direct rollover means you won’t owe tax or a penalty on the move.
- You have the option to move part of your balance into gold and leave the rest in the TSP.
Who can move a TSP to a Gold IRA?
After you’ve separated from federal service, there’s no age requirement, so you can roll over your TSP whenever you’re ready.
If you’re still working, you can roll money over once you reach age 59½. The TSP allows up to four age-59½ in-service withdrawals each calendar year, and each one needs to be at least $1,000, so you can spread a rollover across more than one request if you’d like.
Either way, if you’re a married FERS employee or a member of the uniformed services, your spouse will usually need to sign a notarized consent form before the withdrawal goes through.
Pros and cons of moving your TSP to gold
If you’re trying to decide if a Gold IRA is a good idea, here are some things to consider:
Pros of a Gold IRA
- Diversify from the stock market and the U.S. dollar
- Own a tangible asset with limited supply
- Hedge against inflation
Cons of a Gold IRA
- Gold or other precious metals don’t generate income
- Prices can be volatile
- Storage fees to hold your metals
Since the TSP lets you take a partial withdrawal of $1,000 or more and leave the rest in your account, you don’t have to choose one or the other. You can keep most of your retirement savings in the TSP’s low-cost funds and move a smaller share into gold and silver. Depending on your goals, you may want to hold 5% to 10% of your portfolio in gold and other precious metals.
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Steps to roll your TSP into a Gold IRA
A Gold IRA follows the same tax rules as a regular IRA, so you’ll still have the benefit of tax-deferred or tax-free status with your account depending on if you have a traditional or Roth IRA.
Here are the steps:
Step 1: Choose a Gold IRA company
Decide on a Gold IRA company. This is the dealer that helps you decide which gold, silver, platinum or palladium to buy and then sells the metals to your IRA. Consider the company’s number of years in business, reviews and experience with Gold IRAs.
Ask how they’ll help with the transfer. In 2025, Gold IRAs made up about 21% of Swiss America’s sales.
Step 2: Open a self-directed IRA with a custodian
Next, you’ll choose a precious metals custodian. The custodian manages your IRA, keeps the account’s records, sends your statements and handles IRS reporting.
To open your account, you’ll fill out the custodian’s application, share your ID and list the TSP balance you plan to roll over.
Step 3: Request a direct rollover
Log in to TSP My Account and go to “Withdrawals and Rollovers Out” to request your withdrawal. Choose a direct rollover and enter the account details your custodian gives you. The TSP then sends the money to your custodian, so nothing is withheld and you won’t owe tax or a penalty.
On our podcast, The Secret War on Cash, we explained how long a typical rollover takes. Opening the new account usually takes a day or two, and moving the money from a retirement plan takes about another week, so you can often go from opening the account to buying metals in under two weeks:
Step 4: Choose IRS-approved metals
Once your TSP funds are in your self-directed IRA, you can buy your metals. You’ll work with your dealer to pick coins and bars that qualify, then direct your custodian to buy them on your behalf.
You can choose coins from a government mint or bars from an approved refiner, and the IRS sets minimum purity levels for each metal:
- Gold: 99.5% pure (the American Gold Eagle is an exception)
- Silver: 99.9% pure
- Platinum and palladium: 99.95% pure
Step 5: Store your metals at an approved depository
Your dealer ships the metals directly to the depository your custodian uses, where they’re stored and insured for as long as they stay in your IRA.
Direct vs. indirect TSP rollovers
How do the rollover options compare?
| Option | How it works | Taxes | Best for |
| Direct TSP → Traditional Gold IRA | The TSP sends traditional money straight to your custodian | No tax now. Withdrawals are taxed as income in retirement | Most people rolling over traditional TSP money |
| Direct Roth TSP → Roth Gold IRA | The TSP sends Roth money straight to your Roth IRA custodian | No tax now. Qualified withdrawals are tax-free | Roth TSP savers |
| Traditional TSP → Roth Gold IRA | Traditional money moves into a Roth IRA | A taxable conversion. The amount counts as income that year | Savers who can pay the tax now and want tax-free withdrawals later |
With an indirect rollover, the TSP pays the money to you, and you have 60 days to deposit it in your Gold IRA. According to the TSP’s tax booklet, if you take $10,000 through an indirect rollover, you’ll receive $8,000 after the withholding. To roll over the full $10,000, you’d deposit the $8,000 plus $2,000 from other savings within 60 days, or the missing $2,000 is taxed as a withdrawal.
The Swiss America team doesn’t recommend this approach because it’s easy to come up short and owe tax on the difference.
Taxes and IRS rules for a TSP rollover
There are a few rules to be aware of if you’re rolling over funds.
Age-55 rule
If you leave federal service in or after the year you turn 55, you can take money out of your TSP without the 10% early withdrawal penalty. This exception only covers money that stays in the TSP. Once you roll it into an IRA, withdrawals before age 59½ have the 10% penalty plus income tax, unless another IRS exception applies.
Roth 5-year rule
If you roll Roth TSP money into a Roth Gold IRA, your years in the TSP don’t count toward the Roth IRA’s 5-year rule. The 5-year clock starts on January 1 of the year you first put money into any Roth IRA. If the Roth Gold IRA is your first Roth IRA, the clock starts the year you do the rollover.
TSP fees vs. Gold IRA fees
In 2025, the C Fund’s expenses were 35 cents for every $1,000 invested, or $35 a year on $100,000. That cost is a percentage, so it grows as your balance grows, while Gold IRA fees are flat amounts that stay the same.
Here’s a comparison at a few balances using GoldStar Trust Company‘s fee schedule with commingled storage:
| Fee | TSP (C Fund) | Gold IRA (GoldStar Trust Company) |
| Setup | None | $50 one-time |
| Annual expenses or maintenance | $0.35 per $1,000 invested | $90 |
| Storage | N/A | $125 per year |
| Yearly cost on $100,000 | $35 | $215 |
| Yearly cost on $500,000 | $175 | $215 |
| Yearly cost on $1,000,000 | $350 | $215 |
| Buy, sell or exchange | No fee | No fee |
Your dealer also charges a premium over the spot price of gold, which varies by coin or bar, so ask for the details before you buy.
Final thoughts on moving your TSP to gold
We’re happy to answer your questions about the TSP rules as you decide how much to move.
To learn more, connect with our team today!
TSP to Gold IRA: FAQs
Can I roll my TSP into a Gold IRA?
Yes, once you’ve left federal service or turned 59½.
Does the TSP have a gold fund?
No. The G, F, C, S and I Funds hold government securities, bonds and stock index funds, and the L Funds are mixes of those five, so none of them hold gold. The mutual fund window gives you more choices, but it doesn’t hold physical metal either.
The information in this post is for informational purposes only and should not be considered tax or legal advice. Please consult with your own tax professionals before making any decisions or taking action based on this information.