Archive for the ‘Gold IRA’ Category

Types of Gold Investing

by IRA Rollover in Gold, Gold Bullion, Gold Investing, Gold IRA with Comments Off on Types of Gold Investing

If you are thinking of buying gold as a retirement investment there are a few ways you can accomplish that goal.  Some buy gold as a hedge against inflation while others are investing in gold for retirement.  With both you’ll have security and wealth that inflation and fickle economies can’t touch.

Buying Gold Stocks

Gold stocks are actually shares in working gold mines.  This can be a lucrative investment, especially if the mine runs smoothly and finds some great veins of gold that require minimal expenditure to extract.  There are some risks to gold stocks because their value depends on how well the mine does.  Like any other type of stock, you can monitor it closely and sell at a profit if the company appears to be in trouble.

If you decide to invest in gold stocks you should make sure that you deal with a licensed commodity broker that has a good reputation among his or her clients.  You should avoid those who try to pressure you into an investment during your first contact.

Mutual Funds

Mutual funds are a “basket” of investments that are comprised of several interests.  They may hold interests in several precious metals, including gold, as well as other commodities such as oil, grains, or technology.  Mutual funds generally do well because if one of the stocks performs poorly the others might be making money hand over fist.  This basket of investments spreads your funds across several strata of interests so that you can make consistent profits even if some of the stocks or commodities that comprise the basket don’t do well at times.

Mutual funds are considered a conservative investment because of their generally consistent returns.  Many people over the age of 50 like mutual funds because they are generally low risk and allow them to invest in gold, other precious metals, and many profitable commodities.

Gold Bars and Bullion

When investing in physical gold and silver you’ll have several options.  Both come in bars or ingots as well as in bullion form such as coins.  If you’re using it for a gold backed IRA account you must buy certified purity in an approved form.  Bullion is a bulk quantity of a precious metal that can come in bars that are stamped with their purity content after having been melted and cast.  Bullion coins are not used as legal tender but kept as assets.  Several countries around the world produce bullion coins but those made in the U.S. are guaranteed as to quality, purity, and weight.

There are many reputable gold bullion dealers that you can buy bars or coins from.  If you’re considering buying bullion you can shop around for dealers who charge the lowest premiums and who have the most satisfied clientele base.

Collectible Coins

Often called numismatic coins, these assets are valued according to their condition and how rare they are.  You can buy a US gold double eagle (face value of $20) from 1877-1907.  These are 90% gold and weight .9675 ounces.  When you buy such coins you will be paying not only for the gold content but for the rarity and collectability.  You usually end up paying much more for numismatic coins than you would for a similar weight in a gold bullion coin or bar.  You are gambling that your coin will rise in value due to its rarity.

Numismatic coins are not eligible for inclusion in a gold back IRA.  Their value is also tied to what people will pay for them beyond the gold content.  Since you are paying much more for a numismatic coin than for a non-collectible gold bullion coin, you must consider the chances of getting your investment back before you buy them.  A numismatic coin that costs you $2500 today may sell for much less if you have to liquidate for any reason.

Gold as a Hedge against Inflation

Gold will always have value no matter which form you buy it in.  People are using gold as a retirement investment specifically for that reason since it is not affected by whether the economy is doing well or poorly.  Whether you buy it for a gold IRA account or store it yourself on your premises or in a secure facility, you can be sure that your gold will never lose its value.  Gold is a foolproof way to preserve your wealth and build a secure retirement plan.

If you are thinking of buying gold as a retirement investment there are a few ways you can accomplish that goal.  Some buy gold as a hedge against inflation while others are investing in gold for retirement.

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Rules for Gold IRA

by IRA Rollover in Gold IRA, Gold IRA rollover with Comments Off on Rules for Gold IRA

Whether you are trying to decide what type of IRA to get or rolling over to a gold IRA, there are rules that you must adhere to in order not to incur costly penalties.  You need to learn and obey those rules or retain a custodian to help you.  Just retaining a gold IRA company isn’t enough because most of them just buy the gold that you order and make sure that it reaches an approved storage facility.

Types of Gold Allowed in an IRA

Most people unfamiliar with the rules think that you can buy any type of gold for an IRA.  However, only certain types of gold are allowed.  You can only add bullion or gold bars that come from accredited manufacturers like Nymex, LBMA, or MLE.  The gold must be at least .999% pure.  This rule, like most of the other rules about a gold IRA, is intended to protect the investor and insure that their assets are no inferior products that could compromise the wealth they are accumulating.

You may add bullion coins to your IRA but they must be distributed by certain countries and meet the standards of purity of gold bars.  The Canadian Gold Maple Leaf is allowed but South African Krugerrands are not because they don’t meet purity standards.  One tenth, one quarter, one half and one ounce U.S. gold coins are allowed but the only coins specifically permitted to be included in a gold IRA are American Gold Eagle coins of those denominations.

Gold IRA – No Collectibles Allowed!

No collectible coins other than proof American Eagles are allowed to be included in a gold IRA.  You often see advertisements for coins made of gold or other precious metals that are touted as ideal investments.  You can buy them if you like but collectible coins cannot be part of your gold IRA.  There is nothing to stop you from buying them and storing them yourself for future sale but they can’t be part of your gold IRA.  This is because collectible coins do not hold their value like gold bullion coins and they do not meet the purity standards for a gold IRA.

If you do buy unapproved gold for your IRA the IRS will consider it a withdrawal will charge you income tax on the value.  Worse, if you do this and you’re under 59.5 years you’ll also incur an additional 10% penalty.  So be careful to stick to the rules or the IRS will make it very painful.

Gold IRA – Administrative Rules

You have to have a custodian for your gold IRA or open it as a self directed IRA.  If you don’t want to administer your own IRA, choose a custodian carefully.  You need one that knows the rules and will make sure that your gold is stored safely.  Most custodians work with approved major depositories that meet federal security and safety standards.

If you don’t want a custodian and elect to open a self directed gold IRA you will have to find your own federally approved storage facility and arrange shipments accordingly.

Gold IRA – Time limits

If you’re rolling over a traditional or Roth IRA into a gold IRA you have to do so within 60 days or it counts as a withdrawal and is taxable.  If you go over the 60 days you won’t be able to access your assets for an entire year so consider your choices and timing carefully.

Gold IRA – Funding Restrictions

Any IRA has funding restrictions.  You can only put $5,000 a year into a gold IRA; you’ll have to plan to build up the funds throughout the year and watch your purchases carefully unless you want to make the entire deposit at once.

The only time you can put more than $5,000 in your gold IRA is when it is a transfer or rollover.  So if you have $30,000 in your IRA and are rolling it over into gold that is an allowable deposit.  However, you can’t put that same amount of gold into an established gold IRA all at once, it has to be made over a period of 6 years.

Opening your Gold IRA

Be sure you talk to several custodians or understand how much responsibility is involved in a self directed gold IRA and make your decision accordingly.  Plan how you’ll buy the gold, how you can structure your budget to make maximum contributions, and how you’ll time those deposits.

Above all, diversify your assets and don’t depend exclusively on gold for your retirement savings.  You are allowed to have more than one IRA or you can use an employer sponsored 401K to help diversify your assets with stocks, bonds, mutual funds, commodities, and other allowable financial products.  Although gold is the ideal way to protect your money from inflation and fickle economies, diversifying your assets will help insure that you can retire to a lifestyle that is comfortable and rewarding.

Self Directed IRA for Gold

by IRA Rollover in Gold IRA, Gold IRA rollover, Self Directed IRA with Comments Off on Self Directed IRA for Gold

Any financial advisor will tell you that you should diversify your investments and one of the best ways to do that is with a self directed IRA. One of the main advantage to a self directed IRA is that you choose how your assets are invested and make your own decisions on those investments.  This is why these accounts are becoming very popular.  Investors can diversify their assets, control the way they grow, and don’t have to be subjected to the ups and downs of the stock market.

In fact, there are over $100 billion invested in self directed IRAs and the number of accounts being opened is on the rise.  After the last big market upset in 2008 when so many lost so much of their retirement savings, the idea of being in control gained popularity.  A self directed IRA is not managed by a custodian familiar with the market that will give you advice or make decisions about your investments.  You’re the one responsible for that and frankly, it can be a lot of work.  You are required to have a custodian that is connected with a trust bank but all they do is make sure you have the proper paperwork and give you a valuation of your account each year.  How your investments grow—or shrink—is entirely up to you!

Of course, you can hire someone to help you if you know you can’t make the decisions to your advantage.  Most people choose a self directed IRA because they want control over their own wealth but many take the advice of experts until they feel that they have enough experience to go it alone.

Self directed IRA for gold

One of the advantages of a self directed IRA is that you have more options about the types of assets you can acquire and invest in.  You might choose stocks, real estate, bonds, or precious metals like gold or silver.  All your assets must to adhere to certain federal rules so you can’t invest in collectibles like art or personal property or life insurance.

A traditional 401K or IRA is also limited in the type of investments that can be made.  With one of those accounts you can choose to be aggressive or opt for more conservative investments for long term steady growth.  The problem is that you usually don’t have that many choices and if you pick the wrong advisor it could be poorly managed.  When you have self directed IRA you’re in control and can choose where the money is invested.

One of the options people are excited about is a self directed IRA for gold.  Gold approved for use in an IRA comes in various weights so that it’s affordable for people of all means.

Are There Restrictions?

There are not as many restrictions with a self directed IRA as there are with traditional IRAs.  One of the great advantages of this type of account is the liquidity.  In a traditional IRA the custodian can take up to 30 days to release any money you ask for so in an emergency you may be in real trouble.  With a self directed IRA you have access to the money you need in a couple of days because you are in charge of it.

Invest in what you believe in

You can invest in real estate that can benefit others while it brings you profits.  You can invest in new technology that can better society, or do something you love and invest in horses or other livestock.  You can invest in a cause you believe in.  The only drawback is that you can make bad investments but if you make the right decisions you can get some very good returns.

Self Directed IRA – Fees

Self directed IRAs have higher fees than traditional IRAs.  You might pay to open the account, an annual fee of several hundred dollars, holding fees for each asset and transaction fees for investments in real estate.

Be Careful How Much You Invest

It’s important to keep some money in your self directed IRA for the purpose of maintaining your investments.  For instance, if you have invested in real estate such as a property that needs a new plumbing system, the money for that must be paid from the IRA account.  If you’ve spent all your money buying the property you won’t have any to do repairs because you are not allowed use your personal funds to maintain an asset in your IRA.  All the profits from that property must go into the IRA account, not into your pocket or any other account.

Best Self Directed IRA for Precious Metals

With an IRA that uses precious metals you won’t have any costs other than storage.  Your gold and other precious metals are stored in federally approved vaults that are insured and secure.  You don’t have to maintain the metal, repair it, feed it, or worry about it.  A self directed IRA for gold is something you should consider, especially if you want to be safe from the fickle behavior of paper currency.

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Is Investing in Gold Right for You?

by IRA Rollover in Gold Investing, Gold IRA with Comments Off on Is Investing in Gold Right for You?

The public has been bombarded in the past few years with ads about investing in gold—on the television, in print, on the radio and even on billboards.  They encourage gold investment and at the same time they advertise that they give the highest rates if you want to sell your gold jewelry, coins, or ingots.  If you haven’t yet bought gold or other precious metals you might be wondering if this is a passing fad, the sign of economic panic, or just another campaign to encourage hysteria and thus enrich the coffers of dealers in gold.  As you watch the economy getting worse and gold prices rise higher you might wonder if gold investing could protect your savings.

Just half the world’s population is responsible for 50% of the gold sales in 2011.  India and China account for half of all gold sales in the second quarter of that year and it makes you wonder if they know something that Americans don’t see.   These cultures look at gold not only as a source of wealth but as an expression of love, the perfect gift, and as a status symbol.  India prizes gold above all other material wealth and even the poor save what they can to buy miniscule pieces of it.  It’s not at all unusual to see nearly everyone on any random street decked in gold.  But how does this apply to the average investor and is it a good idea to get involved in gold investing?

Gold is The Most Stable Commodity in any Economy

If you look at economies that have both thrived and fallen in the past few thousand years you’ll see that gold (and other precious metals) have been the standard of wealth.  Whenever people could, they bought gold whether it was small coins or large bars.  Gold was used to back and stabilize currency.  When governments removed the requirement that gold back that currency, you got inflation, deflation, and hyperinflation.

Myanmar (formerly Burma) is an excellent example of paper based currency.  In 1948 its government began printing money that was not backed by any commodity and inflation soared.  A cup of rice cost more cash than a person could comfortably carry.  Since most currency is no longer backed by a commodity such as gold, that scenario may rear its ugly head again in the near future.

Those who hold gold will have buying power in even the most dire of economies.  Gold never loses value.  The same amount of gold that bought an acre of land in the 16th century will still buy that much land in the 21st century.

Gold Supply and Demand

Many people think that since demand is high there will be more mines opened and more gold will come onto the market, devaluing their own holdings.  However, gold mining is not a simple industry.  Most of the accessible gold has been found already and whatever is left in the bowels of the earth is much harder to find and recover.  This is one reason that the price stays high and demand is never quite satisfied.  There is little danger of the supply of gold ever meeting the demand, which makes gold investing a very smart way to maintain and grow one’s wealth.

Gold investing can be easy and even economical.  Many investors with average incomes have a savings plan that enables them to buy gold bullion or smaller ingots on a quarterly basis.

If you are within ten years of retirement, gold investment is an excellent way to protect your retirement dollars from inflation and rapidly changing economies.  You can do this through a gold IRA or choose to retain physical possession of it with, of course, proper and secure storage.

There are so many advantages to owning gold yourself or including it in a retirement account.  Gold gives you security and a foolproof hedge against inflation.  Your future will be more secure and your wealth more stable by investing in gold.

Investment in Gold is an important decision and to make your decision easier we have reviewed all the Top Gold Companies

Gold stocks vs. Physical gold

by IRA Rollover in Gold IRA, Gold Stocks Vs Physical Gold with Comments Off on Gold stocks vs. Physical gold

If you’ve decided to invest in gold you’re now confronted with the question of gold stocks vs. physical gold.  Which one is right for you?

What are Gold Stocks?

Buying gold stocks is much like buying shares in any other stock.  You buy gold stocks through a broker just as you would purchase stocks in any other company.  This gives you partial ownership in a company that develops mines, recovers gold, or refines it.  The value of your gold stocks is not tied to the spot price of gold or the actual market value of gold but depend on the profits of the company in which you’ve invested.

Just like any other stock, you receive dividends on the profits or take a loss when it doesn’t do well. Some call gold stocks “paper gold”.  Gold stocks can add value to your portfolio but, like any other business, you are wagering that the company will do well and increase your own wealth.

You should consider the difference between paper gold and physical gold before you decide where to invest your hard earned money.

buy physical gold

Gold Stocks vs. Physical Gold

Gold stocks can’t be lost or stolen like physical gold but it can lose its value depending on how the company prospers.  If your mining company goes out of business or suffers from a natural disaster or labor dispute, your gold stocks will lose value as the company does.  Physical gold can be kept in a secure location such as a fireproof home safe or a box at your bank.  If you buy physical gold for an IRA it is stored in federally approved vaults that are safe and secure.

Gold stocks are very affordable for most people, sometimes less than $100 per share.  If you are experienced at trading you can time the market so that you buy low then sell at a nice profit.  The problem is that no matter how much money you make, all you have is paper.  When you buy gold stocks you buy paper and are compensated with paper.  Paper money can be worth a lot or worth nothing, depending on how the economy is doing.

Physical gold is a real, tangible asset that you can hold in your hand and its value does not depend on how well the market is doing.  Gold will buy the same goods today that it did a century ago.  You would need one paper dollar today to buy the candy bar that cost a 15¢ in twenty years ago!

Won’t I Make Money with Gold Stocks?

Of course you can make money with gold stocks!  However, it is a riskier investment than physical gold and the returns are less.

Between 2006 and 2011 gold bullion gained 120% while mining company stocks only gained 55%-70% in value.  When the market spiraled down in 2008 most stocks lost value but gold stayed above its 2006 levels.  The gap between stocks and gold bullion was as much as 80% between 2008 and 2009.  As you can see, you can make money when you buy gold stocks but these paper assets just don’t gain or retain the value that gold does.

Liquidity Issues

Another thing to consider is liquidity.  If you want to get out of gold stocks or put your wealth in a safer, less volatile place than the stock market it can take quite a while to sell gold stocks.  Most of the investors who sell stocks, including gold stocks, do so when they become afraid of the market’s ups and downs.  All that selling makes it difficult to sell your own stocks.

Physical gold has always sold quickly.  If you want to liquidate the gold that you are holding or storing you can usually do so immediately.  If the economy collapses, you can use your gold to buy goods but no one will trade goods for your paper stock certificates.

Which Investment is Right for Me? 

While there is a big difference between paper gold and physical gold, every investor has his or her own unique circumstances.  Gold stocks may be the right thing for you at this time but remember the old adage about not putting all your eggs in one basket.  Gold stocks can make you a tidy profit in the short term but you should balance those stocks with other investments.  Buying real gold that you can hold or store is also a good investment.  No one has ever made a bad investment when they bought real gold nor have they lost money because its value declined.  When it comes to gold stocks vs. physical gold, you may well decide that real gold should make up the bulk of your precious metals investments.

How to do – Pension Rollover to IRA

by IRA Rollover in Gold IRA, Retirement with Comments Off on How to do – Pension Rollover to IRA

It’s not hard to do a pension rollover to IRA and there are many reasons why you should do so.

One of the most important reasons for pension rollover to IRA is the instability of the economy.  Pension are paid by the company you work for and with the volatility of the economic climate combined with a low GDP and consumer fears, many companies are suffering financially.  Your pension is a promise from the people you work for that they will pay you a monthly stipend after you retire but how do you know they will be able to keep that promise?  If a mega-monster corporation like GM can fail so can your company and it can take your hard-earned pension with it.

Retirement pension

One advantage of a pension rollover to IRA is that you are in control of the money and how it grows.  You can invest it any way you wish.  Remember how many employees of Enron lost their entire pensions when their fund administrators invested their money in company stocks?  You’ll be in control of your retirement funds and can leave it up to your broker or take a hand in some or all of the decisions.  You can even invest in precious metals if you like in order to have more stability.

There are two things you can do with your pension—roll it over to a traditional IRA or a Roth.  If you want to pay taxes now and avoid possibly higher taxes later you can choose a Roth.  A traditional IRA will give you tax deductions now and you’ll pay taxes as you withdraw the money.

You must ask for a transfer from the pension plan’s administrator then fill it out and wait for it to be processed.  Start the process of opening your choice of IRA while you’re waiting.  After your pension is cashed out the administrator will send it to you minus about 20% for taxes then you have 60 days in which to deposit it into your new IRA account.  Be sure that your administrator has your pension set up so that as it accrues in the future, it is deposited into your IRA.

It is very important to deposit your pension in your new IRA within the 60 day window.  If not, you’ll have to pay income tax on it even if you deposit it on the 61st day.

It’s not a complicated process to convert your pension to an IRA and can make a huge difference in the kind of lifestyle you have to look forward to in retirement.  Doing a pension rollover to IRA can help make your golden years stress free and financially stable.

How to Invest in an IRA

by IRA Rollover in Gold IRA with Comments Off on How to Invest in an IRA

If you’re wondering how to invest in an IRA, you have a lot of options.  What works for one person, though, may not be right for another so you must assess your own needs and expectations when deciding how to choose assets for your IRA.

The younger you are the more aggressive you can be and the more risks you can take.  High risk/high return investments are fine when you are in your 20s and 30s but if you’re over 40 you’ll probably want to begin to be more conservative.  Be sure you are comfortable with it—if a trade would make you worried or lose sleep, don’t do it.

You can invest in any security that is publicly traded such as bonds, mutual funds, and stocks.  Many like mutual funds because it gives them a large “basket” of assets from around the world—a start-up in Kentucky, an established oil field in the Middle East, a manufacturer in Germany, etc.

Bonds can be a real asset, too, if you choose carefully.  Buying a bond is nothing more than loaning money and having it paid back with interest.  If you buy a $1,000 bond from the government, they are borrowing that money from you.  When the bond becomes due, you will get the face value of the bond plus interest accrued.  Unfortunately, government bonds aren’t paying much interest right now.  The upside is that they are considered a very safe investment.  Bonds are also issued by publicly traded companies and usually pay much high interest than government bonds.

Investing in stocks can be very lucrative if you know which ones are likely to gain value.  For example, those who invested in a little start-up company run by a kid named Bill Gates were very, very happy with the returns on their initial investment!  There aren’t too many of us that will luck into that type of stock but there are hundreds of other stocks that will help your IRA grow.  The stock market can be stressful so if you aren’t comfortable with your level of knowledge you may want to let your broker help you with your

invest in gold

decisions.

Then there are precious metals, an investment for people who want to avoid inflation, deflation and hyperinflation.  You can buy gold, platinum, silver, or palladium for your IRA and know that it will never lose value.  A dollar’s worth of gold will always be worth a dollar.  Whereas to buy the same dollar of merchandise in 2012 as you did in 2008, you would need about $1.40.  Gold and other precious metals protect you from the instability of currency.

It’s important to decide which types of assets you want in your IRA.  Depending on your temperament, your knowledge of the market, or your access to financial advice, there are many choices you can make.  But in deciding how to invest in an IRA you should definitely consider investing part of your funds in inflation-proof assets like gold and other precious metals.

Can you have an IRA and a 401K?

by IRA Rollover in 401k, Gold IRA, Roth IRA with Comments Off on Can you have an IRA and a 401K?

If you are planning to save for your retirement you will inevitably ask can you have an IRA and a 401K at the same time.  Yes, you can, but there are important differences in the two accounts and many strategies you can use to optimize your funds.  In fact, many people get both types of accounts so that they can save and invest more in anticipation of an enjoyable and well-funded retirement.

There is a difference between the two accounts.  A 401K is an employer sponsored plan in which your employer contributes to the 401k roth irafund, sometimes matching your own contributions dollar for dollar.  This means you get up to twice as much in the account.  If you open an IRA you are the sole contributor.  As you can imagine, having both types of accounts means you have more security and many people see the logic of legally saving and investing every cent they can to insure a comfortable retirement.

There are legal federal restrictions on the amount that can be contributed to both types of accounts, depending on your income.  You can contribute more if you are 50 or over but less if you make over $122,000 as a single taxpayer.  Married couples who make a combined income of more than $179,000 cannot contribute to a Roth IRA.  You should check with a financial advisor to determine your contribution limits; you may not be subject to limitations on any retirement account if you are a low or moderate income taxpayer.

If you leave your employer you don’t want to leave your retirement funds with that employer.  You can convert that 401K to Roth IRA or a traditional IRA.  Transferring 401K to IRA accounts is a simple matter of contacting a broker, setting up an IRA, and completing the paperwork necessary to transfer the 401K funds into your new IRA.  You must put the funds from the 401K into the IRA within 60 days, however, or pay a hefty tax on it.  Completing the arrangement on day 61 can be very costly!

You can also convert 401K to gold in an IRA, which is what a lot of people are doing right now.  Faced with economic uncertainty, the threat of inflation, and a falling dollar there are many investors of all ages that are protecting their assets by buying gold.  The gold’s value is transferred to the IRA while the actual metal is stored in a federally approved, secure, and insured facility.  The value of that gold, unlike the dollars you invest, will never fall even though the price may fluctuate.  Gold will remain viable even if the dollar fails completely.

As you wonder can you have an IRA and a 401K at the same time you can be assured that both accounts can help your golden years be enjoyable and rewarding.

Precious Metals IRA – What You Need to Know

by IRA Rollover in Gold IRA, Precious Metals IRA with Comments Off on Precious Metals IRA – What You Need to Know

While many people understand that a gold backed IRA is a good idea, savvy investors know that expanding into a precious metals IRA is the best way to diversify. It’s always a good idea to diversify for maximum security.

Precious metals are one of the best investments available to those looking for a stable investment that is less likely to erode over time. Throughout history, precious metals have held their value fairly well and rarely shift much. This has made them the go-to for investors who want to ensure a return on investment. Gold, silver, palladium and platinum are the four metals most likely to hold their value over time.

Since money can be printed it is not considered a solid investment. The value can fluctuate greatly and paper money may even lose all value. However, metal is a physical asset that cannot be printed or multiplied so it is not likely to lose its value.

Understanding Precious Metals

Gold and silver IRA accounts were the most common for years, but you can now add platinum and palladium to your investments through a precious metals IRA. If you currently hold a gold backed IRA, you may be able to switch it without setting up a whole new account.

Each investment is represented by actual metal which is held in a secure depository and insured. In many cases, should you choose to in the future, you can cash out by requesting real metal in the form of coins or ingots.

Investing in Gold

A very well known metal, gold has been used by nearly all civilizations to represent things of value. Only certain forms of gold are permitted in a gold IRA. The gold must be a certain purity. While it depends on the IRA provider as to which gold types are permitted, the following are commonly used:

  • American Eagle Coins
  • Canadian Maple Leaf Coins
  • Austrian Philharmonic Coins
  • Gold Bars from Approved Refiners

Where the gold is purchased and where it is held will depend on where you are setting up your gold and silver IRA.

Investing in Silver

Silver is considered to be a good, stable investment, though it is worth less than gold. The difference in price may be preferable for those looking to invest in a silver IRA account, with less money available. Like gold, the quality of the real silver backing the IRA is important.

Generally, Canadian Maple Leaf, Austrian Philharmonic and American Eagle silver coins are used to back the IRAs. Bars are usually 100 oz, but this may vary, depending on where you have set up your account.

Investing in Platinum

Platinum isn’t just for wedding rings and jewelry anymore. It’s also a worthy investment for anyone looking to the future. When it comes to platinum, your precious metals IRA will be backed by coins or bars from an accredited source. Coins may be Australian Koala, Canadian Maple Leaf or American Eagle.

Investing in Palladium

This rare, white precious metal is a unique addition to IRA accounts and can bring the value up considerably. Most IRAs will only accept bars from specific, accredited refiners, unlike the other metals, which are also available in the form of coins.

Gold vs. Silver: What’s the Difference?

If you are trying to decide between a gold IRA and a silver IRA, you may need a bit more information. Some people make their investment according to their preferred metal, but if you are looking at monetary stability, gold wins out.

Silver is frequently chosen by those who are looking for value at a lower cost. You get more metal for the amount you pay, since silver is not worth as much as gold. Silver prices tend to be based on supply and demand, which means the value can change quite a bit over the course of a year.

Gold, on the other hand, is valued for other reasons and does not rely much on supply and demand. If you can afford the premiums for gold, you will have a higher value investment. This will stand you in good stead over time.

Another reason gold is a better option is the fact that its value tends to hold more steadily than that of silver. In fact, when all other metals drop in value, it’s not uncommon for gold to rise. However, it is a good idea to diversify if you are worried about stability.

Investing in Precious Metals

Whether you are choosing a single metal account or a precious metals IRA, you have a few options for buying.

Self-Directed: This account type means that you choose where you want your funds to be invested. You have more control over everything and can specify the types of metal that you wish to invest in.

Traditional: If you have a traditional account, you may be able to roll it over. This is dependent on your gold ira company, but in most cases, it shouldn’t be an issue to move your monetary investments in an existing IRA to a precious metals IRA. Check that you will not have any tax issues before making the switch.

How Much to Invest

The amount to invest in your precious metals will depend on a few factors, including your budget, whether you want to build more equity for the future and how much you already have invested.

Take the time to understand all the risks and benefits before deciding which IRA to invest in. You may decide that a gold IRA is the best allotment of your funds. Or perhaps you want to branch out a bit more with a precious metals IRA. Either way, you will want to be fully informed before making any major decisions regarding your account. It’s not a bad idea to seek tax advice before investing.

If you are still debating which option to try, you might want to look into a gold and silver IRA where you can have both. Another option is the precious metals IRA, which is usually self-directed, allowing you to choose the metal amounts you prefer.

We have done a detailed survey of top Gold IRA companies and have reviewed them for you.

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The Rules That You Should Be Aware Of When It Comes To Gold IRAs

by IRA Rollover in Gold IRA with Comments Off on The Rules That You Should Be Aware Of When It Comes To Gold IRAs

Even the most savvy and knowledgeable accountants are having difficulty trying to stay updated with all of the new regulations that are tied to the contributions that individuals make into their IRAs. The Internal Revenue Service has devised these rules and it is critical that individuals make sure these rules are followed on their accounts. It does not matter whether they manage the account alone or with the help of someone else.

The Gold Coins And Silver Coins That Are Acceptable Investments

There are two types of coins that have been known for many years as being the most accepted forms of investment for those who are looking for physical IRAs. The two coins are:

  • American Gold Eagles
  • Silver Eagles

However, in the late 1990s, several other coins were added to the list. The criteria for these coins were that they had to be considered legal tender and the coins had to be over 99 percent pure. The coins that were added to the list were:

  • Austrian Philharmonics
  • Perth Mint Lunarsinvest in gold
  • Canadian Gold Maple Leaf
  • Australian Kangaroo Nuggets

Coins that are 90 percent or 91 percent pure are not considered investments according to the IRS regulations.

Investors also have the opportunity to purchase gold bullion bars. The bars that are the purest are the only ones that the IRS will consider as proper investments for IRAs. The list of approved gold bullion bars are:

  • One kilogram gold bars
  • Bars that weigh less than 10 grams
  • Bars that weigh less than 10 ounces

Where Can Physical IRAs Be Held?

If you purchase physical gold coins or silver coins for your IRA account these coins must be kept in a depository that is approved to hold physical IRA accounts. You cannot manage these accounts yourself. The accounts must be managed by a trustee of your choosing.

What Are Gold IRA Rollover Physical Accounts?

As an investor you will have the choice of rolling over your physical gold IRA account into another IRA account. You can then choose to manage the account alone or you can choose a custodian to continue managing your account. Many IRA accounts may not be able to accommodate the addition of a physical gold IRA account. It is pertinent that you discuss your options with your IRA trustee so you will know whether or not you have to open a new account for your physical gold IRA investments.