GOP budget plan has a surprise among list of cuts for federal employees

[mahatmakanejeeves]

GOP budget plan has a surprise among list of cuts for federal employees

The Fed Page

By Joe Davidson Columnist March 29 at 6:47 PM
@JoeDavidsonWP

At budget time, federal employees have come to expect a familiar series of hits from Republicans — shots that can ricochet off the public.
....

Among the policy retreads, there was a surprise in the House package. ... Republicans want to make the most popular employee investment fund in the Thrift Savings Plan (TSP) worthless. To save $32 billion over 10 years, House Republicans propose changing the fund’s interest-rate calculation, because, the resolution says, “those who participate in the G Fund are rewarded with a long-term rate on what is essentially a short-term security.”

Going after the TSP “is a new one,” said Kim Weaver, a TSP spokeswoman who has seen “nothing like this before.”
....

The fund’s current annualized interest rate is 1.88 percent. Adopting the House plan would result in a precipitous interest-rate drop to an annualized 0.01 percent, according to the TSP. ... About 4.3 million people, including current and former federal civilians and members of the military, are invested in the G Fund. If the House gets its way, “it would mean their investment is virtually worthless,” Weaver said.

ETA: full disclosure: I have money in the TSP, and I think a little bit of it is in the G Fund.

[-none]

1. We need to find a way to get a better grade of Republican in Congress

And no, voting for DINO's isn't the answer either. That only helps the Republicans screw us over.

[Romeo.lima333]

2. that's easy just dont let republicans or indepedents vote

[-none]

3. Become like them then?

The real problem is that Liberals, Centralist and most on the left are more honest and empathic than those on the Right.
We just can't lie and cheat as a way of life, as they do. And that is a disadvantage in our current version of politics.

[elleng]

6. Quite right, -none.

Welcome.

[Downwinder]

4. at 1.88 it is losing to inflation.

[elleng]

5. SWEET of them!

For those interested, G Fund: Government Securities Investment Fund

The G Fund's investment objective is to produce a rate of return that is higher than inflation while avoiding exposure to credit (default) risk and market price fluctuations.

The G Fund invests exclusively in a nonmarketable short-term U.S. Treasury security that is specially issued to the TSP. The earnings consist entirely of interest income on the security.

https://www.tsp.gov/investmentfunds/fundsheets/fundPerformance_G.shtml

I may have had some of my TSP funds in G, as might have my husband. Our TSPs have been liquidated, I took mine years ago, to pay for daughter's college tuition, and my husband's was distributed to his beneficiaries, after his death. TSP is a great system, so of course repugs will do what they can to ruin it for government employees, we bad guys!