---
kind: "section"
citation: "5 U.S.C. § 8432a"
title: "5"
title_heading: "Government Organization and Employees"
number: "8432a"
heading: "Payment of lost earnings"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/5/8432a"
units:
  - "Part III — Employees"
  - "Subpart G — Insurance and Annuities"
  - "Chapter 84 — Federal Employees’ Retirement System"
  - "Subchapter III — Thrift Savings Plan"
---

# §8432a. Payment of lost earnings

- (a)
  - (1) The [Executive Director](/usc/5/8401.md?p=13) shall prescribe regulations under which an employing [agency](/usc/5/3132.md?p=a-1) shall be required to [pay](/usc/5/7511.md?p=a-4) to the Thrift Savings [Fund](/usc/5/8401.md?p=6) amounts representing lost [earnings](/usc/5/8401.md?p=10) resulting from errors (including errors of omission) made by such [agency](/usc/5/3132.md?p=a-1) in carrying out this subchapter, subject to [paragraph (2)](#a-2).
  - (2) If the error involves an employing [agency](/usc/5/3132.md?p=a-1)’s failure to deduct from [basic pay](/usc/5/8401.md?p=4) contributions (in whole or in part) on behalf of an individual in accordance with [section 8432(a)](/usc/5/8432.md?p=a), the regulations shall not provide for the payment of any lost [earnings](/usc/5/8401.md?p=10) which would be attributable to—
    - (A) the contributions that the [agency](/usc/5/3132.md?p=a-1) failed to deduct from [basic pay](/usc/5/8401.md?p=4) in accordance with [section 8432(a)](/usc/5/8432.md?p=a); or
    - (B) any related contributions under [section 8432(c)(2)](/usc/5/8432.md?p=c-2) that the employing [agency](/usc/5/3132.md?p=a-1) is not required (by statute or otherwise) to make up.
- (b) The regulations—
  - (1) shall include—
    - (A) procedures for computing lost [earnings](/usc/5/8401.md?p=10); and
    - (B) procedures under which amounts paid to the Thrift Savings [Fund](/usc/5/8401.md?p=6) under this section shall be credited to appropriate [accounts](/usc/5/8401.md?p=1);
  - (2) may provide for exceptions from the requirements of this section to the extent that correction of an error is not administratively feasible;
  - (3) may require an employing [agency](/usc/5/3132.md?p=a-1) to reimburse the Thrift Savings [Fund](/usc/5/8401.md?p=6) for costs incurred by the Thrift Savings [Fund](/usc/5/8401.md?p=6) in implementing corrections of employing [agency](/usc/5/3132.md?p=a-1) errors under this section; and
  - (4) may include such other provisions as the [Executive Director](/usc/5/8401.md?p=13) determines appropriate to carry out this section.
- (c) Any amounts required to be paid by an employing [agency](/usc/5/3132.md?p=a-1) under this section shall be paid from the appropriation or [fund](/usc/5/8401.md?p=6) available to the employing [agency](/usc/5/3132.md?p=a-1) for payment of salaries of the participant’s [office](/usc/5/5402.md?p=3) or establishment. If a participant in the legislative branch is paid by the Chief Administrative Officer of the House of Representatives, the Chief Administrative Officer may [pay](/usc/5/7511.md?p=a-4) from the applicable [accounts](/usc/5/8401.md?p=1) of the House of Representatives the amount required to be paid to correct errors relating to the Thrift Savings [Fund](/usc/5/8401.md?p=6) that otherwise would be paid from the appropriation or [fund](/usc/5/8401.md?p=6) used to [pay](/usc/5/7511.md?p=a-4) the participant.

## Source credit

(Added Pub. L. 101–335, § 2(a)(1), July 17, 1990, 104 Stat. 319; amended Pub. L. 104–186, title II, § 215(17), Aug. 20, 1996, 110 Stat. 1746.)

## Notes

### Editorial Notes

### Amendments

1996—Subsec. (c). Pub. L. 104–186 substituted “Chief Administrative Officer of the House of Representatives, the Chief Administrative Officer may pay from the applicable accounts” for “Clerk of the House of Representatives, the Clerk may pay from the contingent fund”.

### Statutory Notes and Related Subsidiaries

### Effective Date

Pub. L. 101–335, § 2(b), July 17, 1990, 104 Stat. 320, provided that: “The amendments made by this section [enacting this section] shall apply with respect to lost earnings attributable to errors made before, on, or after the date of enactment of this Act [July 17, 1990].”
