Investing in Precious Metals IRA: Restrictions and Benefits

Investing in a Precious Metals IRA is a great way to diversify your retirement savings and protect your wealth. According to the IRS, you can't receive a distribution of your gold IRA until you're 59½ years old. At that time, you will have to pay the income taxes due for any withdrawals and you can liquidate the metals in your account in exchange for cash or take physical possession of them without penalty. If you withdraw money early, you'll be subject to penalties from the IRS.

Assigned storage (also known as combined storage) is where the precious metal assets in your IRA are stored along with other precious metals that are owned by multiple account holders. A representative of your precious metals company may be able to tell you about the properties of these metals and their place in the market, but they are not financial advisors. The funds can be added to your IRA through a transfer between IRA custodians, a transfer between retirement accounts, or as a new cash deposit in a new IRA account. Precious metals are a popular choice for people who want to diversify their savings because of the historically inverse relationship between the value of precious metals and the value of paper assets.

See the previous section of this page for information on the IRS standards for metals used in an IRA. If you want to invest in physical precious metals to save for retirement, make sure that they meet all the requirements established by the IRS to be included in an IRA. Alternatively, you can start looking at precious metal IRA companies to decide who you want to work with. Regardless of how you withdraw from your precious metals IRA, Allegiance Gold works to make the transaction easy, secure and fast.

Roth Gold IRAs are self-managed IRAs with after-tax contributions, increasing the tax benefit until you retire. Many believe that precious metals such as gold and silver can serve as a buffer against more volatile assets, such as stocks and other paper assets. In each situation, your depositary buys the precious metals on your behalf and organizes delivery to a third-party depositary that specializes in the protection of precious metals. In addition to having a different type of asset, a precious metals IRA is mostly identical to a standard IRA.