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  1. says

    Masked Investor –

    Good Point.
    True, the TSP/401k loan is paid back with after-tax dollars, but you can always increase your 401k salary deferral (or contribute to a spousal IRA in some cases) to offset the tax costs.
    In my case (braces), I would take the additional $2500 I can not put in to an FSA in 2013 and increase my salary (TSP) deferral instead- Then borrow back the additional $2500 in TSP deferrals.

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