The rules and regulations of an Individual Retirement Account (IRA) are fairly straightforward. But when it comes to a Gold IRA, things get a little more complicated.
What is a Gold IRA?
A Gold IRA is an individual retirement account that invests in physical gold. In other words, you buy gold bars or coins and store them with a custodian — usually a bank or broker — who keeps them in its vault. You can then sell back your bullion at any time for the current market price of gold and put the proceeds into another investment or use them to pay bills.
Who Can Open a Gold IRA?
You can open a Gold IRA if you meet certain requirements: You must have earned income, be under 70-1/2 years old and have U.S.-based income sources, such as wages from employment or self-employment, interest and dividends from investments held outside an employer-sponsored retirement plan. You can also open a Gold IRA if you have had an existing traditional or Roth IRA for at least five years and you have taken a distribution from that account.
What Are The Benefits Of Opening a Gold IRA?
Your gold bullion is held in safekeeping by a custodian, so it’s easy to buy and sell.
Your investment can grow tax-deferred, and you can use the proceeds to diversify your retirement portfolio.
You also have the option of purchasing a gold or silver IRA certificate or holding physical bullion.
How To Open A Gold IRA?
If you’re interested in opening a Gold IRA, the first step is to find a Gold IRA company. You can do so by contacting your current financial institution or by shopping around online for one that offers gold bullion IRAs. Once you choose an institution and sign up for a Gold IRA, they will send you information on how to fund it with precious metals—typically through a wire transfer from your bank account.
You can then choose how much money you want to invest, and the company will deliver your gold or silver. Once you’ve purchased your metals, you’ll be able to hold them in any form that suits your needs: as coins or bars, for example.
Conclusion
Gold and silver are a great way to diversify your retirement portfolio. You can include them as part of a traditional IRA or a Roth IRA, or even open up an entirely new account dedicated solely to precious metals. The best part about investing in gold and silver is that it allows you to invest in the future of currency, not just paper assets—and that’s something no other investment can offer!
