23500 26: What It Means for TSP Contributions in 2025-2026

If you’ve come across the term “23500 26”, it refers to the 2025 IRS elective deferral limit for the Thrift Savings Plan (TSP) $23,500 divided over 26 pay periods in the calendar year. This comes out to $904 per pay period, a figure federal employees under FERS (Federal Employees Retirement System) should target to maximise TSP contributions and receive the full agency match without exceeding limits too early.

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TSP Contribution Limit 2025: Breakdown

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As of 2025, the IRS elective deferral limit for regular TSP contributions is $23,500. For those under FERS, it’s critical to avoid reaching this limit before year-end doing so would stop Agency Matching Contributions, which are only paid during pay periods with active employee contributions.

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To ensure you don’t miss out:

• Contribute $904 per pay period over 26 periods.
  
  
• Update your contribution election in myPay between December 1–7, 2024.
  
  
• The election becomes effective December 15, 2024 (first pay period of 2025).
  
  
• Changes will appear in your Leave and Earnings Statement (LES) starting January 3, 2025.
  
  

If you miss the December 7 deadline, use the TSP Elective Deferral Calculator to adjust your per-period amount.

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What About Roth TSP? Does 23500 Include Roth Contributions?

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Yes the $23,500 limit includes both Traditional (pre-tax) and Roth (after-tax) contributions. You can split your contributions between the two, but the total cannot exceed $23,500.

Additionally, your agency match is always deposited into the Traditional TSP, even if all your personal contributions go into Roth.

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TSP Catch-Up Contributions for 2025

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If you’re age 50 or older (or turning 50 during 2025), you’re eligible to make Catch-up Contributions beyond the standard $23,500 limit.

• Standard Catch-up Limit: $7,500
• Enhanced Catch-up (Ages 60–63): $11,250

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To contribute the full amount, update your myPay TSP election between December 1–7, 2024.

From 2021 onward, TSP spillover rules allow one single election. Any contributions above $23,500 will automatically count toward catch-up limits.

Note for Age 64: Be sure to lower your contribution amount at the start of the year you turn 64, if you had previously increased it under the enhanced catch-up limits.

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Agency Contributions: What You’re Entitled To

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Regardless of how much you contribute:

• You receive an automatic 1% contribution each pay period.
  
  
• If you contribute at least 5% of your basic pay, you’ll receive an additional 4% match totalling a maximum agency contribution of 5% per period.
  
  

But to keep receiving these, you must actively contribute during each pay period don’t front-load!

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TSP Calculator

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Does $23,500 include Roth TSP?

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The 7,000 limit is for IRAs, either traditional or roth, and the TSP limit is 23,500 either traditional or roth. They do not interact so if you have both an ira and a tsp you can contribute 30,500

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Final Thoughts: Why 23500 26 Matters for TSP Strategy

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Understanding how “23500 26” fits into your TSP planning can help you:

• Maximise federal match opportunities
  
  
• Avoid contribution timing errors
  
  
• Strategically plan Roth vs. Traditional inputs