SEPP from TSP

L1: SEPP from TSPI am retiring at 52 from FERS under VERA/VSIP.MyDOB is 3/16/1963. I want to start SEPP from my TSP with first monthly payment beginning 15 October 2015.
I want to use the amount provided by the minimum distributioncategory determined by the calculator on this site. Ithen want to choose the monthly distribution option from TSP to provide that amount in monthly payments.I do not want to choose the option that relies on TSP making calculations based onlife expectancy for SEPP because it is a greater amount than the minimum amount provided by this site’s calculator. Is this a correct assumption?
Other Questions:
On whatTSP balanceshould I base calculations? Current balance?Balance as of December 31st 2014?
When should I do a re-calculation for the next year’s SEPP amount? Whichbalance should I use for that calculation?
How forgiving is the IRS if I make a mistake in calculations?2015-07-21 21:28, By: Gunny, IP: [96.231.34.12]

L2: SEPP from TSPYou can only use one of the 3 methods in RR 2002-62, and a life annuity is not one of those. I would also avoid the RMD method because it produces an annual distribution about 1/3 less than the other two fixed dollar methods.
Your account balance cannot be for a date after which you still made contributions to the plan or any matching contributions were made to the plan. You must also be sure that there is no matching or any other contribution made to the plan after your 72t distributions begin. Noting those two requirements, you can use any recent balance that you can document such as with a month end statement. When you determine the balance and the 72t distribution, if it is more than you need after figuring in inflation and unexpected expenses prior to 59.5, see if you can roll the excess balance over to an IRA and then use the balance after that rollover for your calculations. The IRA can serve as a safety margin if you ever need more money.
Another reason not to use the RMD method is that you will have to do a new calculation each year, do that is 8 times the risk that you will mess up with one of them and bust the plan. The IRS is also used to seeing the same amount distributed each year and the RMD method will result in a change every year. Finally, using a fixed dollar method will still allow you to change over to the RMD method if you find later on that you do not need distributions of the size you are receiving.
If you make an error and the IRS notices it, there is a good chance they will bust your plan. If you are off by a couple dollars they will probably let it pass, but you should triple check your calculations and make your distribution correct to within a few cents to be sure.2015-07-22 03:05, By: Alan S, IP: [160.3.87.235]