What is a Gold IRA?

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What is a Gold IRA

What is a Gold IRA?

The definition of a gold IRA is a simple term to explain. It ultimately means that it’s a specialized individual retirement account that gives investors the ability to own physical gold within their retirement investment vehicle.

As a gold IRA account holder, it gives you the ability to hold as much physical gold as you can possibly afford including coins and bullion made of silver, gold, platinum, and palladium. It gives the account holder the opportunity to purchase precious metals in physical form, which is the purest way to invest in gold and other precious metals.

What is a Gold IRA

You may already have a traditional IRA account. The gold IRA is a separate account from your traditional retirement investments. Regardless, the contribution limits and distribution rules are the same for a traditional IRA, Roth IRA, and gold IRA.

Are you looking to open a gold IRA now or in the near future? Contact your favorite IRA custodian or gold broker so they can help you get started.

Important Critical Takeaways about the Gold IRA

  • Your options for setting up a gold IRA account include an after-tax account or pre tax account, which provides two excellent options
  • Opening a self-directed IRA gives you the ability to purchase platinum, silver, palladium, and gold in IRS-approved forms including coins, bars, and rounds
  • When compared to ordinary IRA accounts, the gold IRA typically requires higher fees including precious metals storage and purchasing fees
  • The IRS caps the annual contribution limits just like a traditional or Roth IRA

How to Open a Gold IRA?

Personally, I want my readers to find it easier than ever to open a gold IRA when they’re finally ready to get started. To make life much easier for you, I’m going to break down the gold IRA account creation process in a simple step-by-step manner.

It includes the following:

1. Choosing a Gold Broker-Dealer

First, the most important thing to do is connect with one of the top gold brokers/gold dealers offering their services online. These experts will help you with the account creation process and walk you through it from start to finish.

Choosing a Gold Broker-Dealer

Not every company offers gold IRA services. My favorite companies in the IRA space include the following options:

  • Regal Assets
  • Augusta Precious Metals
  • Goldco
  • Birch Gold
  • Advantage Gold

I consider the companies mentioned above the best of the best. But they aren’t the only companies out there and you might want to consider some other options. Think about working with Lear Capital, Patriot Gold Group, Goldsilver.com, Cornerstone Bullion, Monex, APMEX, American Hartford Gold, Oxford Gold Group, and Gold Alliance to name a few excellent choices.

2. Set Up Your New Gold IRA Account

Did you take enough time out of your busy schedule to check out the recommended companies mentioned above? Did one or more stand out in the crowd?

At this stage of the game, you have to choose your gold IRA dealer before you can move on to the second step. So, please pick the company that you like to do business with before moving on. I highly recommend choosing one of my top five favorite recommendations above, because they are the best in the industry.

Once you’ve chosen your company to work with, you can do one of two things to get the account creation process underway.

You can:

  • Visit their website and fill out the online form
  • Visit their website and call the 800 number to speak with a qualified representative

In truth, if you don’t have any questions, you’re better off filling out the online form to get the ball rolling right away. This will expedite the account creation process because you’ll have filled out a large chunk of the paperwork before you ever talk to your account representative.

Or if you prefer, definitely give them a call to speak with a customer service representative or account creation specialist. They will walk you through the process step-by-step and alleviate all of your worries and anxieties.

3. Funding Your New Gold IRA Account

Funding your account is a lot easier than you think. You can accomplish this task a couple of different ways. Contact your account specialist and ask them if you qualify for a gold IRA rollover or gold IRA transfer.

Funding Your New Gold IRA Account

The difference between the two options include:

  • Gold IRA Rollover – a rollover lets you take all or some funds from an existing retirement account and roll them over into your new gold IRA account. Your custodian will send you the funds. You have 60 days to deposit the funds into your new account. Failure to do so will result in early withdrawal taxes and penalties.
  • Gold IRA Transfer – a transfer is actually easier than a rollover. Contact your account custodian and tell them how much you’d like to transfer into your new gold IRA account. They will handle everything for you, so you will not have to worry about early withdrawal penalties or fees.

Gold IRA Benefits

  • Diversifying your portfolio – one of the biggest reasons to open a gold IRA is to add more diversity to your portfolio. Investing in gold 1 oz bars, silver, platinum, and palladium is a great way to hedge your bets against stock market downturns.
  • Enormous Tax Breaks – the gold IRA tax benefits are phenomenal for account holders. You can either open a tax-deferred account or after-tax account. Either way, you have the option to grow your account exponentially without having to worry about paying taxes until you reach retirement age.
  • Precious Metals Liquidity Is Massive – the precious metals market is huge to say the least. You’ll never have trouble selling your precious metals. There are plenty of buyers out there looking to pay the going market rate. It’s much different than waiting months to find a buyer for your house, condo, car, or other asset.

Final Thoughts

As you can see, it isn’t difficult to learn how to open a gold IRA. And the gold IRA benefits are tremendous to say the least. Just choose a gold dealer, fill out the online form, fund your account, and begin picking your favorite precious metals investments.

Are you prepared to invest money? Read through my recommendations and choose a gold IRA company now.