If you're interested in opening an IRA, please Contact Us or call us at 952-835-2244.
Precious Metals in Your IRA
Gold and silver U.S. American Eagle coins are allowed as IRA investments. Since 1988, the new platinum U.S. American Eagle coin has also been allowed, as well as gold, silver, platinum and palladium bullion which meet certain standards.
There are three simple steps.
- Establish the account
- Fund the account with regular contributions, transfers or rollovers
- Give the trustee your investment instructions.
When it is time to take distributions from your IRA, you may choose to convert your precious metals investments to cash through us or take a distribution of the actual coins or bullion. This flexibility means you can wait for optimum market conditions before you sell.
What is Self-Directed IRA?
A Self-Directed IRA is exactly like any other IRA, with one major difference. You get to choose where your IRA funds will be invested, rather than just accepting whatever the IRA trustee or custodian offers. This gives you greater flexibility, because you can choose tangible asset investments.
Traditional or Roth IRA?
Anyone who has earned income can contribute to a Traditional IRA each year. Depending on your income, marital status and participation in employer plans, your contribution to a Traditional IRA may be deductible. Also depending on income, you may be able to make only a partial contribution to a Roth IRA. Contributions to a Roth IRA are never deductible, but qualified distributions from the account are completely tax free. Your tax advisor can help you determine which type of IRA is most appropriate for you.
IRA Transfers and Rollovers
Money in an existing IRA can be moved to a precious metals self-directed IRA by transfer or rollover. A transfer does not require IRS reporting and there are no restrictions on how often you can transfer funds. You simply open an IRA and authorize the transfer. We will contact the previous institution and take care of getting the funds moved. Special rules apply if you have reached age 70 1/2 and you should check with the previous trustee or custodian to see if there will be fees or penalties.
IRA rollovers require reporting to the IRS and there are time limits and other restrictions. You should always seek competent tax advice before taking a distribution for a rollover.
The tax laws regarding IRAs are complex and cannot be covered fully here. This is especially true for rollovers from other retirement plans. Before making any decisions you should seek competent advice from your attorney, CPA or investment advisor.
Our experts will assist you in answering your questions. You should always contact us directly with questions about your account with us. You may call us for more information or for an application.
To get started on a self directed IRA, contact us today.
Questions and Answers
Q. Can I contribute bullion or coins I already own into a precious metals self-directed IRA?
A. No. All contributions must be made in cash, except in the case of transfers and rollovers.
Q. Why should I make a contribution if it is not tax deductible?
A. Non-deductible contributions grow tax free in a Roth IRA and tax defered in a Traditional IRA. This tax-favored treatment usually makes even a non-deductible contribution a smart move.
Q. My bank IRA is free Why is there a fee for my precious metals self-directed IRA?
A. A bank has its fee built into the interest rate it pays you. In addition, a bank probably will not allow you to invest in precious metals. Separate fees are necessary to cover the costs of maintaining your account.
Q. Am I limited to only precious metals in my IRA?
A. Absolutely not! In addition to precious metals, your IRA may contain precious metals, stocks, bonds, treasury securities, annuities and other investments.
Q. Where do I get more information about precious metals self-directed IRAs?
A. Contact us for information and assistance with your IRA. Contact your tax professional or legal advisor for tax recommendations and advice.
Q. What is the minimum amount I can invest?
A. The minimum investment to open a precious metals self-directed IRA is $5,000.
Q. Can I take possession of my precious metals after investing?
A. You can purchase, liquidate or take possession of precious metals at any time with the proper forms, but you would responsible for the tax consequences of an early withdrawal or liquidation. Consult you tax adviser about these consequences.
Q. What forms do I need to get started?
A. The forms needed to open an IRA are generally the Simplified Transfer or Rollover and the Investment Direction Form.
Q. How long will it take to complete the process?
A. It takes approximately 15-30 days to complete the precious metals IRA process.