A gold IRA is a type of individual retirement account that allows investors to hold physical gold or other precious metals, unlike standard IRAs. To keep gold in an IRA, you must create a self-directed account, managed by a specialized custodian who handles and stores the metal. A gold IRA is a retirement account that allows people to invest in physical gold. They are often used to diversify savings and create a hedge against inflation.
Like other IRAs, these accounts also offer valuable tax benefits. To withdraw money from a gold IRA account without penalty, you'll need to be at least 59.5 years old. Once you reach that age, you can withdraw and take possession of your gold investments or liquidate those assets, withdrawing their cash value instead. Gold IRAs are a specific type of self-directed IRA that allows you to invest in physical gold and other precious metals such as silver, platinum and palladium.
Investing in a gold IRA requires the service of a custodian, a broker for buying gold, and an approved depositary to store gold. Like other self-directed IRAs, gold IRAs can be traditional or Roth. There are currently a variety of precious metals that meet minimum purity requirements that are acceptable for inclusion in a gold IRA account. Fortunately, gold IRA companies make it easy to meet these requirements and add precious metals to their retirement savings.
However, since gold IRAs are a type of self-directed IRA, they can maintain alternative investments as long as they comply with IRS regulations. Gold IRAs are normally defined as “alternative investments”, meaning that they are not traded on a public exchange and require special experience to value them. With a designated IRA specialist, Allegiance Gold staff members can help you determine if your account is eligible for transfer. While there are fewer companies offering gold IRAs than other types of IRAs, there are still several options.
Allegiance Gold offers a simplified process with a senior portfolio manager and an IRA specialist helping you through the process. IRA rules with gold prevent people from seizing precious metals from their IRAs, which means you can't store the metal in a safe in your home. Gold IRA companies vary in experience, service and costs, so be sure to compare your options and compare your options before proceeding with opening an account. During his tenure as director of the Mint, Moy says that there was little demand for gold IRA accounts because they involved a very complicated transaction that only the most persistent investors were willing to make.
For a gold IRA, you need a broker to buy the gold and a custodian to create and manage the account. When you turn 72, you'll be required to accept the minimum distributions (RMDs) required from a traditional gold IRA (but not a Roth one). Even if you're opening a gold IRA account, it's important to note that you can't deposit funds directly into your account with gold bars or coins you own.