What are the TSP fund choices and how low are the fees?

The federal Thrift Savings Plan offers a small, simple menu: individual index funds covering U.S. large-cap stocks (C Fund), small and mid-cap (S Fund), international (I Fund), bonds (F Fund), and government securities (G Fund), plus target-date Lifecycle (L) funds that blend them. The G Fund is unique in that it cannot lose value and pays a government-rate yield.

The TSP is renowned for having some of the lowest administrative fees of any retirement plan in the country, a fraction of what most 401(k) plans charge. A mutual fund window exists for those wanting more choices, but it carries extra fees. For most federal employees and service members, sticking with the core index funds or an L Fund captures the plan's biggest advantage: rock-bottom costs.