I’ve downloaded the proposed military pay table for 2011 and added the calculation to determine what percentage of your basic pay you need to allot to the TSP to max it out in 2011.
An 8 year O-3 would allot 25.2% of his or her basic pay. A 14 year E-7 would allot 35.1%.
Think this is unlikely? Certainly if you’ve lived on 100% of your pay to this point. But, on the other hand, if you live on two incomes or if your accustomed to living below your means, this might be possible for you.
I welcome your comments on this chart and the idea of maxing out your TSP in 2011.
Note: If we get the 1.9% increase, I’ll upload the new chart. This is the worst case scenario for 2011.