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Should we use our TSP to pay for our new home in full or have a mortgage?
Great question. My big concern with using your TSP is that you have to pay taxes on any traditional TSP withdrawals. This means that if you take out a huge chunk of your TSP in one year then it could bump you into a much higher tax bracket.
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I am a practicing financial planner, but I'm not your financial planner. Please consult with your own tax, legal and financial advisors for personalized advice.