In the United States, retirement for federal employees is a three-legged stool. Federal employees are entitled to Social Security benefits as all Americans are, the federal employee annuity, and the thrift savings plans (TSP). The TSP offers federal employees the opportunity to invest in their own retirement with the added bonus of matching funds from the federal government. The program is designed to bolster the federal government’s revenues in the present and pay out later. There are many advantages to a TSP, but you have to be careful.