Crossing the $1 trillion mark, the Thrift Savings Plan (TSP) hit a milestone that changes the game for federal employee retirement. Years of steady contributions and solid market performance contributed to its success. Sticking to disciplined investing transformed regular savings into serious long-term wealth.
Now, with the C Fund topping $100 per share for the first time, many account balances are seeing an added lift — a clear sign of strength across the plan’s investment options.
TSP: A Key Retirement Resource for Federal Employees
The Thrift Savings Plan is the largest single defined-contribution plan in the United States, operating similarly to a private-sector 401(k) but specifically designed for federal employees and members of the uniformed services. It allows participants to set aside part of their salary for retirement, often with agency matching contributions, while benefiting from investment options that are both low-cost and easy to navigate.
The scale is massive, ranking it among the largest retirement plans worldwide. That size pays off for participants as well. With over $1 trillion in assets, the TSP uses its size to drive down costs and keep investment options competitive.
For federal employees, it remains the foundation of retirement planning.
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The Numbers Behind the Milestone: A Closer Look at TSP Assets
By June 2025, the Thrift Savings Plan’s assets hit $1.006 trillion — a new all-time high. More than 7.2 million participants are now enrolled in the plan, a testament to its significant growth and the steady pace of that growth over the years.
According to the Federal Retirement Thrift Investment Board’s June 2025 Participant Activity Report, which tracks TSP participation and balances across FERS and CSRS civilian employees, BRS and legacy military participants, and beneficiary accounts, the May 2025 figures show:
- Average balance across all TSP participant accounts: $134,633
- Average for Federal Employees Retirement System (FERS) participants: $196,668
That gap highlights the power of matching contributions. For FERS participants, staying the course and letting those contributions compound over time has made a clear difference.
What This Means for TSP Participants
Hitting the $1 trillion mark reinforces the TSP retirement plan's strength and stability as a retirement savings vehicle. For federal employees, it is a sign that their contributions are part of a well-managed, large-scale plan with the resources to weather market shifts.
The plan’s growth also reflects the rising value of its investment options, including the C Fund, which recently topped $100 per share, and the potential for continued long-term gains.
While past performance is not always an indicator of future outcomes, this milestone highlights an important opportunity: Stay invested and leverage the TSP's low costs and diverse options for long-term growth.
Making the Most of the TSP’s Momentum
The TSP’s $1 trillion milestone is more than a headline. It signals the plan’s enduring role in helping federal employees build lasting retirement security. Now is a good time to take stock: Review how much you contribute, look closely at your investment mix, and confirm that your long-term approach still matches your goals.
Small adjustments made today can strengthen both growth potential and stability over time. For advice tailored to your personal situation, reach out to the team at Serving Those Who Serve at [email protected].
The Thrift Savings Plan (TSP) is a retirement savings and investment plan for Federal employees and members of the uniformed services, including the Ready Reserve. The TSP is a defined contribution plan, meaning that the retirement income you receive from your TSP account will depend on how much you (and your agency or service, if you're eligible to receive agency or service contributions) put into your account during your working years and the earnings accumulated over that time. The Federal Retirement Thrift Investment Board (FRTIB) administers the TSP.
The information has been obtained from sources considered reliable but we do not guarantee that the foregoing material is accurate or complete. Any opinions are those of Serving Those Who Serve writers and not necessarily those of RJFS or Raymond James. Any information is not a complete summary or statement of all available data necessary for making an investment decision and does not constitute a recommendation. Investing involves risk and you may incur a profit or loss regardless of strategy suggested. Every investor’s situation is unique and you should consider your investment goals, risk tolerance, and time horizon before making any investment or financial decision. Prior to making an investment decision, please consult with your financial advisor about your individual situation. While we are familiar with the tax provisions of the issues presented herein, as Financial Advisors of RJFS, we are not qualified to render advice on tax or legal matters. You should discuss tax or legal matters with the appropriate professional. **
