Thanks to the Taxpayer Relief Act of 1997, which expanded the precious metal holdings allowed in IRAs to one, a half, a quarter, or a tenth of an ounce of US gold coins and one ounce of silver coins minted by the US Treasury, as well as certain foreign coins. Just as with silver, not all gold bars are eligible for a Gold IRA account
.
Approved gold investments must fall under a pre-approved list (as described above) and be pure 24-carat gold bars (1 ounce — 400 ounce). For more information, see IRS publications 590-A %26 590-B. To be eligible for IRA investments, a gold bar product must meet the minimum purity requirement for IRA gold, which is set at a purity of 0.995. In other words, a gold coin or gold bar must have a purity of at least 0.995% to be deposited into an IRA
.
The Internal Revenue Service (IRS) is the government agency responsible for setting guidelines for IRA-approved precious metal products. For a gold coin or gold bar to be allowed in an IRA, it must meet the purity criteria. Gold bars must be included. It is even stricter for other precious metals
.
It must be silver. There are currently a wide variety of precious metals that meet the minimum purity requirements that are acceptable for inclusion in a Gold IRA account. Here’s a brief overview of some of the most popular IRA-approved gold coins and bars, and what makes them unique. This allows investors to protect their portfolio from inflation while generating retirement savings tax-free or tax-free by using gold as an alternative investment within an IRA
.
Money deposited into a traditional IRA is deductible up to the allowed annual limits, while cash in a Roth IRA grows tax-free and can be withdrawn tax-free in retirement. Precious metals IRAs are usually self-directed IRAs, a type of IRA in which the custodian bank allows you to manage more diverse investments in the account. Investing in gold as part of an IRA not only protects some of your retirement assets from the depreciating effects of inflation on paper currencies, but also gives you the opportunity to earn a significant return on your investment over the long term. Of course, you can buy IRA-approved gold outside of an IRA and keep it in your home or anywhere else
.
While there are vaults like this, gold bars are much more accessible than the everyday gold owner can imagine. To open a self-reliant retirement account and fund it with your precious metal assets, you need to find an IRA custody manager or IRA trustee who is qualified and willing to store the physical precious metal on your behalf. To invest in precious metals via a self-directed IRA, you must set up a valid IRA and have cash in the IRA. First, the account isn’t backed by dollars like a 401k account or any other type of retirement account, so the continued depreciation of the dollar won’t adversely affect the value of the
gold held in your IRA.
Investing in gold as part of a precious metals IRA can benefit retired investors in several ways. Scottsdale Bullion %26 Coin has simplified the process of setting up a gold and silver IRA
in six easy steps.