This article explains the TSP Rule of 55, a provision that benefits federal employees planning for early retirement. Under this rule, employees who separate from federal service in the year they turn 55 or older can withdraw from their TSP without paying the standard 10% early withdrawal penalty. Understanding this rule can be crucial for retirement planning, as it provides flexibility for accessing funds without additional costs. The article highlights key eligibility factors and the importance of financial planning to make the most of this retirement option.