Five steps to a sustainable retirement through the Thrift Savings Plan (TSP)

Are your retirement savings funding the climate crisis through the Thrift Savings Plan (TSP)? If you don’t know, you’re not alone. The TSP invests more than $700 billion on behalf of over 6 million civilian and military plan participants, but very few know which companies they are funding with their retirement dollars. Using this toolkit, you will learn how to lower your financial risks from unsustainable investments and maybe even help your co-workers do the same.


1
Learn about the financial risks of unsustainable investments

Unsustainable investments could put your 401(k) at risk

There is a widespread myth that investing sustainably means sacrificing returns. But if anything, the evidence suggests the opposite is true. Learn more

Financial risks of unsustainable investments

The TSP is fueling the climate crisis

The TSP invests over $35 billion in fossil fuel companies which are fueling the climate crisis. We can't meet the goals of the Paris Climate Agreement and limit global warming to 1.5˚C while expanding coal, oil, and gas. Learn more

Asset managers are investing in the climate crisis

2
Know what you own

Now that you have uncovered the risk associated with unsustainable retirement investments, it’s time to find out if your investments are exposed to these risks.

Find your investments

To start, log in to your TSP account to look up what fund(s) you are currently invested. Write your fund(s) down then continue to the next step.

Find your fund grades

Now visit our TSP analysis to look up the fossil fuel grades for your investments.

G Fund
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F Fund
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* Bond fund results are currently unavailable. Check back soon.




3
Take action

Consider the self-directed option

In 2022, the TSP added a "mutual fund window", also known as a self-directed option. This gives plan participants access to a wider range of fund options, including climate-safe sustainable funds.

Take note: The self-directed option comes with higher fees, limits on who can use it, and limits on how much can be invested. More broadly, plans that offer self-directed options usually see only between 1 and 2% of plan assets invested through them. Self-directed retirement options shift the practical responsibility for risk management from the plan to the participant. At best, it’s a band-aid that doesn’t address the climate risk facing the vast majority of the plan's assets.

You can use our Fossil Free Funds database to find mutual funds that avoid fossil fuel investments. Some, though not all, of these funds may be available through the TSP mutual fund window.


4
Become a change agent

Contact the TSP plan administrator

The Federal Retirement Thrift Investment Board (FRTIB) is the TSP plan administrator, charged by law to administer the TSP solely in the interest of the participants and beneficiaries. Here’s an email we have written for you to get started.

Email your co-workers and form a coalition

If you’re writing to someone in power, advocating on behalf of 20 or even 10 people carries a lot more weight than just one. One way to spur interest would be to share the results from our tools with your fellow employees. All plan participants are offered the same basket of mutual funds as you are, so they are probably asking the same questions are you are right now.


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Join the movement

Now it is time to join the movement by advocating your power to invest in an economy that is based on justice and sustainability.

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