The Gold IRA Rollover Guide For Smart Investors
- A Brief History Of Gold
- Why Is Gold A Safe Strategy For Retirement?
- Getting Started With A Gold Investment
- What Is A Precious Metals IRA?
- Factors To Consider Before Choosing An IRA Company
- The Best Gold IRA Companies Reviewed
- #1. Regal Assets
- #2. American Bullion
- #3. Goldmoney
- Frequently Asked Questions (FAQ)
- Our Top Recommendation
A Brief History Of Gold
Last Update November 30th, 2019 Gold, although no longer used as money by most people, has been held for centuries and represents a store of wealth for most people. Kings, monarchs and governments alike have and still do value Gold due to its infallible nature and symbolism in culture, jewelry and art. The first gold coin was minted in Lydia in 6th century Turkey.
Although gold coins were eventually debased and diluted by the governments which circulated them using bronze and copper, man has always turned back to gold in its purest form. Eventually, private bankers offered to hold other people’s gold in exchange for paper notes for safekeeping and peace of mind. Wealthy kingdoms and monarchs started issuing their own fiat currencies completely backed by gold. The times of monarchs soon transitioned to governments and now we have established central banks all over the globe. As history shows, wealth moves in cycles and as currencies inflate, gold has a tendency to rise in value.
In the United States, gold has been linked to the dollar ever since The Gold Standard was introduced. Since gold officially went off of The Gold Standard in 1971, it has been considered an asset in its own right. This is the greatest wealth transfer in history, therefore it’s the greatest opportunity in history.
If you pull out a $100 bill from your pocket, would you imagine that the value of the paper money costs $100? Not a chance! However, a 10 oz bar of gold from the 1600s still holds 10 oz worth of value in 2020, which has tremendous value. Gold stands the true test of time. Billionaires and governments have been hoarding it for decades.
The Gold Standard
When the dollar was backed by gold, it gave the U.S. dollar solidity and stability for the economy. But ever since The Gold Standard was scrapped, the dollar has depreciated to where it is right now. (There’s still hope though.)
One of the top reasons why the dollar is losing value is inflation. The government decided to completely remove the U.S. dollar from gold, which was its robust protection against market instability. Continuous expenditures and a growing national debt with interest to pay continues to force the government to print more paper money to stay afloat. A declining interest rate is also a vital health sign of the economy. If this trend continues, your $100 today could soon be equal to $40.00 or even less.
As the dollar depreciates, that same value is really NOT LOST but MOVED to another asset such as gold.
Why Invest In Gold Now?
Better be ready, because the world is about to witness another grand precious metals boom!
According to several financial analysts, billionaires, and sophisticated investors, gold could easily reach up to $5,000 an ounce! Make sure to perform your due diligence if there is any truth to it.
Start your investigation with these key factors:
- Abolishment Of The Gold Standard
- The Size Of The US Government
- The Size Of Governments Around The World
- Interest Rate
Look closely at the relationship between these statistics and the purchasing power of the U.S. dollar. Gold’s value has endured for centuries while the world reserve currency changes practically every century.
Why Is Gold A Safe Strategy For Retirement?
You have to agree that the strength of the U. S dollar has increasingly been of concern, and if the value of the dollar was to depreciate completely investors would not be prepared. No one can now only rely on paper money; as a matter of fact, the dollar is now valued at 90% less than what it used to be. The value of the dollar has plummeted as a result of the dollar being taken off of The Gold Standard in 1971. Over the last few years of the economic downturn, many people have made some sober realizations including, not being able to rely on the stock market, real estate, social security and many others. But the most critical question is, if we cannot rely on the dollar, then what precisely is the dependable alternative investment?
Well, to be honest, gold is the answer. If you are an avid investor, then you must have realized that the value of gold has continued to go up, and has held value for several thousands of years. You may think we are only talking about purchasing gold for investment purposes, but no! We are also talking about using gold as an insurance vehicle against any financial crisis, such as a stock market crash. Historically, physical gold has been an excellent hedge against inflation and is a proven safe haven from economic inflation. Bottomline: gold is a financial asset that does not depend on credit to function.
Getting Started With A Gold Investment
Unlike most other investments which may be affected negatively by inflation especially through the printing of more paper currency, gold and other precious metals work as a hedge against inflation. Since the supply of gold is limited (just like bitcoin), it maintains its value regardless of the overall performance of the economy. Many people have chosen physical precious metals as a fallback measure just to safeguard their investment portfolios. Furthermore, these types of independent alternative assets are less vulnerable to downturns in the market.
A rollover is a transfer of assets to a new company, where a notable share of the legwork is usually done by the new company contacting the old company directly.
If you have a Roth IRA, for instance, confirm with your existing investment management firm to see if they offer rollovers into precious metal investments.
If they do, carry out some research on your investment management company to gauge their level of expertise in independent Precious Metals IRAs.
If they don’t, and you are interested in an IRA or 401k to Precious Metals IRA rollover, consider moving your investment portfolio to a company that is better equipped or qualified to handle those kinds of investment options. The steps for choosing a reliable custodian are straightforward.
Always remember that a general rollover is typically required to be disclosed and reported to the Internal Revenue Service while transfers are more flexible and can fly under the radar. Furthermore, such rollovers can close quickly within sixty days, and concerning difficulty and time, are often entirely trouble-free for the investor.
What Is A Precious Metals IRA?
If you already own a large sum of physical gold, converting it into a secure retirement account such as a Precious Metals IRA, or more commonly known, a Gold IRA is effortless. This is important especially if the setup charges are very low and the process is simplified with the custodian you choose to do business with. Most people are not aware that they can legally own more than one IRA account, so they end up missing out on further investment opportunities.
A Precious Metals IRA may have certain tax advantages and typically includes:
The traditional IRA & 401K is at significant risk because of the current economic downturn, so diversification is important. To safeguard your financial future, take a closer look at rolling over an ordinary IRA or 401k into a self-directed physical precious metals backed IRA.
Historically, gold has weathered economic downturns gracefully. Physical gold offers true diversification, solid protection and outstanding profit potential. Anyone with a retirement account facing high risk could undoubtedly benefit from a rollover into precious metals, but again this is a decision that needs proper consideration and rigorous research before taking the plunge. Get in touch with a trustworthy precious metals custodian such as Regal Assets that can assist you with establishing a retirement account at the highest levels of security efficiently and effectively.
What Precious Metals Can I Store In My Gold IRA?
Before 1997, the law only allowed American Silver and Gold Eagles within a Gold IRA. But the approval of the Tax Payer Relief Act of 1997 permitted diversification of a Gold IRA among several other precious metals. Today, the placement of gold bullion and bars, silver bullion and bars, palladium bullion and bars, and platinum bullion and bars in Gold IRA portfolios is permitted.
The most common gold investment allowable within an IRA is the American Gold Eagle bullion. This coin was introduced to America in early 1986 and was specifically designed to compete with the Gold Canadian Maple Leaf. Today the Gold American Buffalo, Gold Austrian Philharmonic, Gold South African Krugerrand, Gold Britannia, Gold Chinese Panda and Gold Australian Kangaroo coins are also allowable investments within a Gold IRA.
Restricted gold investments within an IRA include the Mexican 50 Peso Gold Bullion coin, and also rare coins such as the Saint Gaudens, Liberty Head, British Sovereign and Swiss Franc, just to mention a few.
Factors To Consider Before Choosing An IRA Company
Before you settle for an IRA Company consider the following factors:
Insurance: Working with a company that has FDIC insurance is critical because this means the company is legitimate and if in any case, a calamity befalls the company you will be sure of getting your investment back.
License: The law requires all IRA custodians to be correctly licensed by the Internal Revenue Service; so, you have to ensure that the company you want to work with has the necessary license to do business.
Online reviews: People write about their personal experiences with companies online, so if you are looking for a reliable custodian with an excellent reputation then it is essential that you visit online review sites and perform due diligence.
If in any case, you find no reviews, chances are that the company is new and is therefore not a good option. But if there are reviews, make sure they’re positive and from real people.
How To Choose The Best Gold IRA Company
When purchasing gold and other precious metals, the IRA company you choose to be your custodian holds immense significance. Your custodian acts as your guardian and is responsible for numerous things including:
- Setting up your independent IRA
- Rolling over your current IRA into a Gold IRA without tax penalties
- Providing a safe storage facility for your gold
- Buying gold and other precious metals that are IRS-approved on your behalf
- Delivering superior customer service
The Simple Stress-Free 4 Step Gold IRA Rollover Process:
2. Speak with a customer service representative
3. Fund your account
4. Order your gold bullion and bars
“I have never been a gold bug, it is just an asset that, like everything else in life, has its time and place. And that time is now.” – Paul Tudor Jones, Founder, Tudor Investment Corporation
The Best Gold IRA Companies Reviewed
By starting an investment in precious metals within a Gold IRA, you are acquiring safe alternative assets in your portfolio. You are not only making gold a part of your lifestyle, but also are ensuring your hard-earned money is safe and secure from a volatile economic environment.
#1. Regal Assets
Regal Assets is a premier precious metals company that has done over a hundred million in retirement account transfers for clients worldwide. Regal Assets is an official member of the Forbes Finance Council and maintains an A+ rating with the BBB. Their experienced customer service staff is far superior to other custodians and is willing to answer all questions and provide clarity without being pushy or aggressive.
Why Invest With Regal Assets?
- The highest rating profile in the precious metal industry for 9 years in a row.
- Offers the option of storing retirement accounts overseas without taxes or penalties.
- First company in the entire industry to offer a live video tape of when client’s metals arrive at the depository for retirement accounts.
- Fully guarantees 7-day shipping for direct purchases to give the client peace of mind of their transaction.
- Featured in Forbes, Smart Money, and The Huffington Post.
Summary: Remember to always do your due diligence as an investor, however, it seems that Regal Assets has developed a virtually flawless platform for long-term precious metals investments.
REMEMBER: If you are investing more than $10,000, Regal Assets will cover the setup fees and storage charges for the full first year, saving you upwards of $300 compared to what you would have had to pay elsewhere.
Regal Assets Company Information:
Address: 200 West Highway 6, 4th Floor Waco, TX 76712
Free Gold Kit: www.regalassets.com/freegoldkit
Years in Business: 9 Years
Regal Assets is a proud member of the BBB and BCA and holds the highest rating a company can obtain from the BBB and BCA. Regal Assets has been a featured member of the BCA due to their high level of customer service. With a 5 star out of 5-star customer service review and over 711 reviews, Regal Assets has earned a preferred membership status with TrustLink. Inc. Magazine has ranked Regal Assets No. 20 in the United States for financial services landing Regal Assets on the Inc. Magazine 500 List, an exclusive ranking of the nation’s fastest-growing private companies. As an industry leader, Regal Assets has attracted the support and business of prominent figures and celebrities including Alan Thicke, Dennis Miller, Laura Ingraham, Jerry Doyle, Lars Larson, and Alan Colmes. Regal Assets has been featured in Smart Money, Forbes, Market Watch, Reuters, The Street, And the Hollywood Reporter.
Disclosure: The owners of this website may be paid for sales or leads generated from recommendations or links to various investment opportunities. We strongly recommend seeking the advice of your financial adviser before making any investment.
“I view gold as a currency, not a commodity. It’s importance as a currency will continue to increase as the major central banks around the world continue to print money.” – John Paulson, Founder of Paulson & Co.
#2. American Bullion
American Bullion is a pioneer in bringing the original Gold IRA into existence and is still leading retirement investors with teaching them how to build and protect their hard-earned assets. The company helps clients transfer existing IRAs or rollover their former 401k into a Gold IRA holding physical precious metals, tax-free and hassle-free.
American Bullion is a Royal Canadian Mint Registered Bullion DNA Dealer and a member of the American Numismatic Association (ANA).
Why Invest With American Bullion?
- Offers a wide array of precious metal coins and bars for purchase, insured and delivered securely to your chosen location.
- Works exclusively with the Delaware Depository to ensure compliance with IRS requirements.
- Maintains a $1 billion policy in all-risk precious metals insurance underwritten by Lloyds of London.
- Carries all U.S. and European pre-1933 coins, as well as modern gold and silver bullion.
- Delivers millions of dollars’ worth of gold and silver monthly to clients.
Summary: American Bullion is a proven Gold IRA specialist and a leader in adding precious metals to individual retirement accounts. The company has a solid reputation and takes great pride in their customer service.
REMEMBER: Rollovers require approximately 10-15 business days to complete. The process is dependent on your current IRA or 401(k) custodian and their procedures for releasing your funds.
American Bullion Company Information:
Address: 12301 Wilshire Boulevard Suite 305, Los Angeles, CA 90025
Phone: +1 (800) GOLD-IRA (465-3472)
Years in Business: 10 Years
Risk Disclosure: Purchasing precious metals in bullion bars, coins, proof coins, and numismatic coins involves a degree of risk that should be carefully evaluated prior to investing any funds in a Gold IRA or making a cash purchase. American Bullion and its agents are not registered or licensed by any government agencies, and are not financial advisors or tax advisors. Past performance is not indicative of future results. Investors should do their due diligence before committing any money to purchase gold and other precious metals. If you have additional questions, please contact American Bullion.
Disclaimer: The owner of this website may be paid to recommend American Bullion. The content of this website, including the positive review of American Bullion, the negative review of its competitors, and any other information may not be independent or neutral.
Goldmoney is the world’s most trusted name in precious metals providing industry-leading security and unparalleled choice in terms of where and with whom you store your vaulted and insured precious metals. Upon opening a holding, you are assigned a personal Relationship Manager who can be reached via phone, live chat, email, and secure message directly from your Holding.
Goldmoney offers IRA and SIPP accounts for accumulating precious metal savings and deferring tax exposure. Holdings can be owned by individuals, joint owners, corporations, and trusts.
Why Invest With Goldmoney?
- Access to the world’s leading precious metals research.
- All client precious metals assets are segregated, fully-reserved (1:1), and securely stored in insured vaults around the world.
- Offers the lowest possible prices for dealing and storage while delivering the highest level of security and transparency.
- Precious metals are redeemable in bullion bars at vaults, or in a selection of coins and bars that can be shipped to clients via SchiffGold.
- Goldmoney clients have access to prepaid cards, free gold transfers, and multi-currency accounts in up to nine currencies.
Summary: A Goldmoney Holding is a great way to securely purchase precious metals owned in your name within insured vaults.
REMEMBER: There’s no minimum purchase amount and a holding only takes a few minutes to set up. Goldmoney has a minimum monthly storage fee of $10/month.
Goldmoney Company Information:
Address: 38 Avenue Road Toronto, Ontario M5R 2G2
Phone: +1 (855) 593-289
Years in Business: 18 Years
Disclosure: Goldmoney Inc is a Canadian company and a reporting issuer in the Provinces of Ontario, British Columbia and Alberta, Canada. The information contained in the Website provides a general overview of the Company. It is not intended to be a complete review of all matters concerning the Company. The Company has taken all reasonable care in producing and publishing information contained on this web site, and will endeavor to do so regularly. Material on this site may still contain technical or other inaccuracies, omissions, or typographical errors, for which the Company assumes no responsibility. The Company makes no representations nor provides any warranty as to the accuracy, currency, or completeness of such information. The contents of the Website may be revised by the Company at any time without prior notice. The information posted on the Website may be superseded by subsequent disclosures. In no event shall the Company be liable for any direct, indirect, consequential or other damages arising or connected with the use of this website or the information herein.
“People view gold as emotional, but when they demythologize it, when they look at it for what it is and the opportunity it represents, they’re going to say, ‘We really should own some of that.’ The question will then change to ‘Where do we get the gold?’” – Thomas Kaplan, chairman and chief investment officer of The Electrum Group LLC
Frequently Asked Questions (FAQ)
Yes, you can invest your retirement account into precious metals through a self-directed IRA account.
Using your existing IRA, Roth IRA or 401k, it is possible to move your funds through the use of a rollover into a Gold IRA or Precious Metals IRA. If the process is unclear, you may call your preferred custodian with any questions you may have.
Eligible retirement accounts that can be used to invest in cryptocurrency include:
- Roth IRA
- Traditional IRA
- SEP IRA
- SIMPLE IRA
- Pension plans
- Various annuity plans
- TSP (Thrift Savings Plans)
A Gold IRA is a type of Individual Retirement Account (IRA) in which an investor can own physical gold, silver, platinum, palladium and other hard precious metals. These accounts are typically called "self-directed" or "alternative asset" individual retirement accounts.
Specifically, a Gold IRA rollover is the process of moving over funds from a 401k or employer-sponsored IRA into a physical Precious Metals IRA that supports tax-advantaged investments in the form of bullion, bars, coins, and jewelry. One can rollover any type of eligible retirement account into a Gold IRA including:
- Roth IRA
- Traditional IRA
- SEP IRA
- SIMPLE IRA
- Pension plans
- Various annuity plans
- TSP (Thrift Savings Plans)
Minimum investment amounts for IRA accounts range from $5,000 to $10,000. Fees will range based on how much you have to invest and the custodian you decide to invest with.
A rollover gives investors a wide range of investment options within alternative assets and minimizes the risk level of cash, stocks, bonds, CDs, ETFs, and mutual funds which largely depend on the value of the dollar.
A Bitcoin IRA is another popular option which many investors are looking at for holding cryptoassets within a secure blockchain backed retirement account.
Within a Gold IRA investors have the options of purchasing and storing the following precious metals:
You typically have the option of choosing between coins and bullion bars. Gold is the most commonly purchased out of all types of precious metals.
Historically, Gold is one of the oldest precious metals known to mankind and has been used as a store of value for thousands of years. Gold and metal smithing are largely responsible for the invention of coinage, which has been used by King Croesus of Lydia, the Greeks, Romans and countless civilizations as fair currency. Read more about the history of Gold here.
Gold is an intrinsically low-risk asset and possesses value during all types of economic conditions and financial crisis. Gold has been used as a dependable hedge against the dollar ever since the United Stated moved away from The Gold Standard and the Bretton Woods system. Gold is also used as jewelry, art, silverware, coinage, and within satellites and computer chips. Investors often prefer Gold as a long-term hedge against inflation to diversify their portfolio.
In recent times, Gold is known as a dependable alternative asset held by many billionaires and governments worldwide.
Gold is considered to be a safe haven in times of political or economic uncertainty. As an asset which is thousands of years old, with all of the uncertainty surrounding the value of the dollar, Gold is now a dependable asset which will hold value against systemic risk.
A Roth IRA is a tax-advantaged account which gives the investor the ability to tax their investment during the time of purchase so that the entire Roth IRA account is tax-free for withdrawals and liquidation.
Individual Retirement Accounts (IRAs) are extremely valuable for retirement investors, and you can do your part to make them as safe as possible. Although Gold and other precious metals do not pay dividends, a Gold IRA is considered a tax-friendly low-risk investment vehicle. Any dependable security held in an IRA such as cash, stocks, bonds, can be converted into gold coins and bullion with a rollover.
One can not completely eliminate risk, however, through proper research and a thorough understanding of investing and precious metals, it is possible to reach the financial goals you set for yourself. Like any other asset, timing the market is crucial for achieving a good long-term return.
The majority of 401k plans and investment companies do not allow individuals to directly purchase physical gold bullion or gold coins.
With a Gold IRA, as an investor, you have the option of owning physical precious metals such as gold, silver, platinum, and palladium in your IRA account. Most individuals with typical 401k, Roth IRA, or IRA accounts will need to rollover their existing retirement account into a Gold IRA if they want to own physical gold.
Commonly purchased types of physical gold bullion and gold coins include:
Depending on which IRA custodian you choose, your gold will be uniquely stored. Every custodian on this list will keep your precious metals in an ultra-secure location and you will have access to it anytime you want. Your custodian will have more information on how they secure your precious metals.
- With Regal Assets, your gold, silver, palladium and platinum bullion and coins are stored in a private and secure facility monitored 24 hours a day, 7 days a week, 365 days a year. Regal Assets provides segregated vault storage with a private, fully insured third-party custodian. You have the option of choosing between North America and Singapore for storage. If you are purchasing precious metals outside of a retirement account, Regal offers a wide selection of metals storage options through Brinks. Read more.
- With American Bullion, the gold you add to your IRA is sent to the Delaware Depository Service Company (DDSC), and it is stored either in a segregated or non-segregated account of your choice. If you choose to have a segregated account, the specific gold coins you buy are stored separately from the coins other investors buy, and when you take physical distributions after retirement, you will receive those exact same coins back. In non-segregated accounts, the metals are commingled in your custodian’s private section and are sorted by type. Read more.
- With Goldmoney, all precious metals are allocated and stored in secure, fully insured vaults in Canada, Hong Kong, Singapore, Switzerland, the U.S., and the U.K. All vaults are operated by leading private vault operators, including: VIA MAT, Brink’s, G4S, Malca-Amit, Rhenus Logistics, and the Royal Canadian Mint. Read more.
Feel free to reach out to your preferred custodian if you have more questions.
Gold will never lose all of its value as the element has intrinsic value for humans and animals alike. Gold has uses in machinery, jewelry, art, antiques, silverware, and computers.
A well-diversified investment portfolio typically contains gold as it is a dependable alternative asset which hedges well against stocks and bonds. The long appreciated precious metal will maintain value in all-weather scenarios.
If you have a Gold Roth IRA, you might not have to pay taxes upon withdrawal or liquidation.
If you invest your IRA in collectibles, the amount invested is considered distributed in the year invested and you may have to pay a 10% additional tax on early distributions.
Investors who want to be in physical possession of the gold within their IRA can request to have their precious metals shipped to them from any region of the globe.
It is important to note that gold storage fees are traditionally lower than fees for ETF management.