If you’re in the Thrift Savings Plan (TSP) as a federal employee or member of the armed forces, you’ve probably had the same thought many disciplined savers eventually have: “Is there a way to add precious metals to this?”
The practical reality is that the TSP isn’t designed for direct ownership of physical bullion. Its entire structure centers on a compact selection of broad-market funds, not individual assets that require special custody and storage.
Even so, it can still be possible to incorporate physical precious metals into your retirement approach by moving eligible TSP assets into a self-directed IRA after you leave service, and in limited cases through qualifying in-service withdrawal options.
Below is a plain-English breakdown of how the TSP is built, why bullion isn’t on the menu, and what a compliant transition generally looks like if you want metals held under retirement rules.
Key Takeaways
- The TSP does not allow direct ownership of physical bullion, because it’s built around a limited, low-cost fund menu rather than individual assets.
- The TSP does not allow direct ownership of physical bullion, because it’s built around a limited, low-cost fund menu rather than individual assets.
- A direct rollover (TSP → IRA custodian) is usually the cleanest method because it avoids you taking possession of the funds and reduces tax/withholding risk.
- Some people may qualify for limited in-service withdrawal options, but eligibility depends on the plan rules and your specific situation.
- Only certain coins and bars qualify for IRA ownership, so product selection must follow IRS eligibility standards to avoid compliance issues.
- Metals held in an IRA generally must be stored with an approved third-party depository under qualified custody; “home storage” pitches should be treated cautiously and verified with tax counsel.
- The decision on how much to allocate to metals should be based on your retirement timeline, current stock/bond exposure, and whether you want metals primarily for hedging, diversification, or both.
Understanding the TSP: A Simple Overview
The Thrift Savings Plan is the federal government’s employer-sponsored retirement program, similar in concept to a private-sector 401(k). Contributions typically come directly from pay, the account can grow with tax benefits depending on the type of contributions, and participants choose investments from the options the plan provides.
That curated lineup is intentionally narrow. Most participants select from the core funds or choose Lifecycle funds that automatically adjust the risk profile over time. That simplicity and low-cost design is also the reason physical bullion isn’t offered, because the plan is built for broad exposure rather than specialty assets.
TSP Contribution Limits Explained
Why Physical Gold Isn’t Available Inside the TSP
Bullion is a “real asset” that brings operational requirements most retirement plans are not built to manage. Physical metals require third-party custody, regulated storage, insurance coverage, inventory accounting, and a controlled chain of transport. The TSP, by design, avoids those complexities by offering a limited set of funds intended to provide broad market exposure at low cost.
So if your goal is actual coins or bars held under retirement rules, the typical solution isn’t hunting for a bullion feature inside the plan. Instead, many investors explore moving eligible funds into a self-directed IRA that supports precious metals, then purchasing IRA-eligible metals through that structure with proper storage.
Ways to Gain Gold Exposure Within a TSP (Without Rolling Over)
Within the standard TSP lineup, you cannot directly purchase physical bullion. The core funds also are not a brokerage platform where you can freely buy popular metal ETFs or individual securities, because the investment choices are pre-constructed funds.
Some participants who qualify can access the Mutual Fund Window, which may expand the number of mutual fund choices available. That option typically adds extra costs, restrictions, and still doesn’t create the same outcome as owning physical metals held in retirement custody. If your intention is physical bullion stored correctly for retirement purposes, the common route is a rollover into a metals-capable IRA rather than trying to stretch the TSP menu beyond what it was built to do.
Step-by-Step Guide to Moving TSP Funds Into a Gold IRA
Important Rollover Rules to Know Before Transferring Your TSP
The biggest avoidable problems tend to come from indirect rollovers, where you receive the distribution first and then try to redeposit it. That method can introduce withholding, deadlines, and unnecessary tax exposure if a single step is missed.
A direct rollover usually means the transfer goes straight from the TSP to the receiving IRA custodian, which reduces the chance of accidental tax consequences. It also generally avoids the stress of managing short deadlines tied to redepositing funds.
An indirect rollover generally means the money is paid to you first. If the timing is missed or withholding is mishandled, some or all of the distribution may become taxable, and penalties may apply depending on your age and circumstances.
Comparing TSP, Traditional IRA, and Gold IRA Options
Each account type is built for a different purpose. The TSP prioritizes low fees and simplicity with a constrained investment lineup, which limits customization but keeps costs predictable. A Traditional IRA usually offers broader access to market investments like stocks, ETFs, and mutual funds depending on the provider. A metals-capable self-directed IRA adds the ability to hold physical bullion under retirement rules, but it also introduces extra administration steps, custody requirements, and storage fees.
| Account Type | Who it’s for | Investment flexibility | Can hold physical bullion? | Best fit when… |
|---|---|---|---|---|
| TSP | Federal employees & service members | Low-cost, limited menu of funds | No | You want simple, broad exposure with low fees |
| Traditional IRA | Anyone with earned income (eligibility rules apply) | Typically broad access to stocks, ETFs, funds | Usually no (unless structured as self-directed metals IRA) | You want more choices than a workplace plan |
| Self-directed IRA (metals-capable) | Investors who want alternatives like bullion | High flexibility, more moving parts | Yes (with eligible metals + approved storage) | You want physical metals held properly for retirement |
| Gold IRA (precious metals IRA) | A self-directed IRA focused on bullion | More fees than index funds, but unique diversification | Yes | Your priority is a hedge with physical ownership inside an IRA |
Owning Physical Gold vs. Gold Funds for TSP Participants
When people say they “want gold,” they might mean physical bullion or they might mean market-based exposure. Physical bullion refers to coins or bars owned through a metals-capable IRA and stored under third-party custody, while paper exposure usually refers to investments tied to gold markets such as mining shares or commodity-linked vehicles.
Paper exposure can be easy to trade, but it carries business risk, management risk, and market structure risk. Physical bullion removes company-specific exposure, but it introduces custody rules, storage costs, and additional logistics that should be considered as part of the decision.
Determining the Right Gold Allocation for Your Portfolio
No single percentage fits every investor because the “right” allocation depends on your reason for adding metals and your broader plan. Many people think in ranges based on time to retirement, how concentrated their portfolio already is in equities and bonds, and how strongly they want a hedge versus a diversifier.
If you are focused on reducing the stress of market swings, a smaller allocation may still provide meaningful peace of mind. If you are using metals as a core hedge against paper assets, you may consider a larger allocation, but it should still align with your liquidity needs and long-term retirement strategy.
Reputable Providers to Help With Your TSP to Gold IRA Rollover
Augusta tends to emphasize clarity before capital moves, which can help when navigating TSP-to-IRA transitions.
Clients often start with a private education session that breaks down pricing spreads, storage selections, audit practices, and the custodian’s role.
Teams are specialized, so forms, product selection, and shipment logistics are handled by staff with narrow expertise rather than a single generalist.
The firm supports both gold and silver and maintains ongoing support after the account is funded.
Best for: Serious investors moving at least $50k who want deeper education and structured guidance before committing. It also fits those who value continued access to specialists after the rollover is complete.
Pros & Cons of Augusta Precious Metals
Pros
Cons
Goldco is generally built around process coordination, which matters when multiple institutions and forms are involved. A single coordinator typically guides the sequence, confirms payee formatting, and aligns shipping to the vault once metals are selected. Inventory focuses on recognizable bullion from major mints and accredited refiners, which can help keep pricing and resale straightforward. Goldco supports both gold and silver and tends to communicate the rollover sequence in practical terms.
Best for: Serious investors who want one accountable guide and a steady, step-by-step path. It’s a strong match for investors who prefer recognizability and easy resale over niche releases.
Pros & Cons of Goldco
Pros
Cons
American Hartford Gold is often selected by investors who want a more accessible entry point and frequent promotional offers. The firm sources well-known coins and bars, including prior-year issues, which can help balance premiums without sacrificing recognizability. Direct transfers are emphasized to reduce timing pressure and withholding complications, and communication is typically responsive through vault confirmation. The company supports both gold and silver, which helps for future flexibility.
Best for: Investors building a position in measured steps. It also fits buyers who value quick responses and promotions that may reduce early costs.
Pros & Cons of AHG
Pros
Cons
Common Questions About TSP Rollovers
Can I buy physical gold inside my TSP?
No. The TSP provides a defined set of fund choices and does not allow direct bullion ownership. If you want physical metals held under retirement custody rules, the usual approach is using a rollover to a metals-capable self-directed IRA.
Can I roll my TSP to an IRA while I’m still employed?
In some cases, yes, depending on the plan’s in-service withdrawal rules and your eligibility. Confirm your options directly through the plan and consider tax guidance before initiating movement.
What’s the difference between a direct rollover and an indirect rollover?
A direct rollover moves money from the TSP to the receiving IRA custodian without being paid to you. An indirect rollover pays you first, which can involve withholding and strict redeposit deadlines. If your goal is to reduce friction and tax risk, direct rollover is typically preferred.
Does the “one rollover per year” rule apply to TSP rollovers?
That rule is usually discussed in the IRA-to-IRA context, while employer-plan rollovers follow a different framework. If you want the simplest route, use a direct rollover and confirm any nuances for your specific situation.
If I roll to a Gold IRA, can I store the metals at home?
Use caution. Most compliant precious-metals IRA setups use third-party storage at an approved depository under qualified custody. If “home storage” is presented as easy or automatic, verify the structure with qualified tax counsel before acting.
Final Thoughts
The TSP is intentionally built around simplicity and low costs, which is why it does not allow direct ownership of physical bullion inside the plan.
If your objective is retirement-held metals under proper custody, the typical approach is opening a self-directed IRA that supports precious metals, using a direct rollover for eligible TSP assets, purchasing IRA-eligible coins or bars, and storing them through an approved depository.
Direct rollovers generally reduce timing risk and withholding issues, and careful product selection helps avoid compliance problems that can create taxes or penalties.
If you’re ready to explore reputable assistance, the three firms above offer distinct strengths depending on what you value.
Augusta Precious Metals is best for serious investors with a $50k minimum who want premium education and structured guidance before funding.
Goldco is often a fit for buyers who want one accountable guide and a steady, step-by-step process focused on recognizable, liquid bullion.
Next Step: Pull the investor kits or set up short education calls with a few well-reviewed precious-metals IRA firms so you can compare fees, custodian partners, and depository choices in a clear side-by-side way.