THE FIRST STEP

The rules for setting up a precious metals IRA are slightly different than a traditional account. The first step is to designate an IRA custodian that’s familiar with precious metals IRAs. Working with a reputable dealer like GoldinWealth can make this step easy. A specialist can hold your hand and walk you through the different metals, and procedures involved in setting up a precious metals IRA. They can also help expedite the process by working closely with the precious metals IRA custodian.

Once you’ve chosen a qualified IRA custodian, you will need to open a self-directed IRA account with that company. This account can be either a traditional IRA that is tax deferred until withdrawal, or a Roth IRA that is pre-taxed and then grows tax free. If you would like to designate a representative to facilitate your precious metals trades, make sure to include that information on your account forms. Finally, make sure to sign and date your application to avoid any processing delays. You’re now ready for the next step, funding your IRA.

Funding Your IRA

Once you’ve established your account, you have several funding options. You can begin funding your account as part of your annual IRA contribution up to the legal limits set by the IRS. You can also transfer funds from a previously established IRA/401-K to your new account.

An IRA transfer may take up to a month to complete. If you are doing a rollover from a previously established 401-K, just be aware that IRA guidelines give you 60 days to complete the rollover before you are assessed taxes and a penalty. The IRS also currently allows one rollover per year, per account. The rollover process typically takes one to two weeks.

While most traditional IRAs charge an annual fee until a minimum balance is reached, precious metals IRAs have a slightly different fee structure. Some will require a small set-up fee to open your account. There is also an annual fee covering secure storage and insurance, which may be payable in advance for the first year. Fees may be paid from your account or via credit card. Once your account is initially set-up, thereafter, it is billed annually; usually in January.

Buying Your Metals

Currently the law states that your IRA can contain gold and silver coins, rounds, and bars as well as platinum, palladium and other platinum group metals. There are purity requirements for the bullion that can be held. Gold must be at least 99.5% pure and silver and platinum must be 99.9% pure. This means that coins such as Kruggerands and “numismatic” or collectible gold and silver cannot be held in a precious metals IRA.

Your GoldinWealth precious metals specialist can let you know more in regard to the types of precious metals that are allowed to be held in your IRA.

Final Thoughts

Working with a reputable precious metals dealer can be very helpful when setting up your account. GoldinWealth can help connect you with a precious metals IRA custodian. If you are more comfortable with doing your own research, there are several key questions to ask.

1. What is the fee structure?
2. What forms of metal are permitted in your account?
3. Do they offer online account access?
4. How often will you receive comprehensive account statements?

Over the years, precious metals have been protection against currency fluctuations, inflation, and monetary policy uncertainty. Opening a precious metals IRA is a smart, safe and simple way to diversify your holdings, when adding pure physical gold and silver to your retirement accounts.