An individual Retirement Account, or “gold IRA“, allows investors to invest in physical gold coins and bullion through tax-compliant custodians and depository facilities. Step one in starting one should be to locate an IRS-approved custodian/depository facility.
Precious metals make an excellent addition to any investment portfolio, offering stability, ease of understanding and the possibility for long-term value appreciation.
How do I open an IRA?
An Individual Retirement Account (IRA) can store physical precious metals like gold bullion and coins through a self-directed IRA (SDIRA). Unfortunately, most retirement account providers do not offer physical metal investment options within their accounts, so to invest in physical metals you will need to work with an SDIRA company that specializes in this investment vehicle.
This type of IRA provides investors with an advantageous way to diversify their portfolio with hard assets and protect themselves from inflation. But before making any decisions involving hard asset investments, it’s vitally important that investors understand all associated risks.
American Bullion’s experts at American Bullion provide expert guidance throughout the rollover process to ensure it takes place according to IRS rules, so your retirement accounts remain tax-deferred and secure.
What are the fees?
Gold-backed IRAs typically involve storage and insurance costs that may not always be fully disclosed on company websites; as a result, to determine these fees may require reaching out via e-mail or phone call to find out about them.
Keep in mind, though, that while precious metals may be an attractive investment during economic turmoil, they might not always provide as much safety. Investors interested in physical precious metal investments should focus on coins over bars.
Self-directed IRAs are usually the ideal way to hold gold. Investors can purchase precious metals directly through a custodian who then stores it safely at an IRS-approved depository, providing investors with both tax deferral and tax free status on physical gold investments. Investors should exercise caution when considering other methods for opening an IRA such as investing in precious metal ETFs or mutual funds.
How do I sell my gold?
When selling coins or bullion from your Gold IRA, make sure you work with an IRA-approved dealer and purchase items which meet IRS standards – otherwise they could count as distributions, incurring an IRS 10% penalty if you are under age 59.5.
Reputable dealers will guide you through every step of liquidating, transferring or rolling over precious metals to avoid legal complications and comply with IRS regulations.
Be sure to choose a dealer with low storage and transportation fees to keep costs under control. American Hartford Gold provides lower shipping charges than other IRA companies and even provides loans to cover the cost of storing gold bars. Secure, insured transportation should always be arranged for, along with copies of all documentation related to your transaction – be sure to keep copies for your records!
How do I close an IRA?
Add precious metals to an IRA as a means of diversifying a retirement portfolio is an increasingly popular trend. Gold tends to appreciate during financial crises and it’s tangible – you can hold and touch it! However, when purchasing precious metals IRAs it is crucial that reputable dealers are used. Look for membership of American Numismatic Association, Industry Council for Tangible Assets or Professional Numismatists Guild as trade organizations; COMEX, LBMA or NYMEX accreditation is preferred and ensure their gold originates from either national government mint or recognized refiner.
When choosing a dealer, keep in mind that any gold you purchase should be stored at an IRS-approved depository. Storing gold at home would constitute an illegal transaction subject to an IRS 10% fine; retired individuals can withdraw penalty-free withdrawals from an IRA but any liquidation proceeds will be subject to income taxes.
