Paperwork Errors at TSP

by Micah Shilanski
(Anchorage, AK)

What happens if TSP makes a paperwork mistake and puts someone else’s name as your beneficiary?

What Happened: TSP put the wrong name as a beneficiary

How it Was Caught: During a meeting with Micah Shilanski

How to Avoid It: Double check your beneficiary designations - and review at least annually.

The Story:

One time when I was meeting with a federal employee, I looked at his TSP statement. I noticed that the person named as his beneficiary on the statement was not his wife. And it wasn’t his children. Hmm…

I asked him about it – and he said he didn’t even know who that person was.

We called TSP together, and come to find out – that he had never even filled out a beneficiary form.

TSP had accidentally associated someone else’s beneficiary form with his account.

The lady on the phone from TSP was quite embarrassed – but I was relieved. Thank goodness we had discovered TSP’s error while the federal employee was alive. It would have been an absolute nightmare to deal with if it was discovered after they passed away.

Moral of the story - be sure to double check your beneficiary forms and review them often.