With gold and silver prices continuing to rise, despite the slow recovery of the U.S. Economy, many people are still looking to add precious metals to their investment portfolios. However, information remains relatively scarce, despite the Taxpayers Relief Act signed back in 1997 that allows everyday people to invest in precious metals in their retirement accounts. Of course, there are many different reasons you might be considering in investing in gold and silver, the truth is that investing in precious metals is the only sure fire way to prevent the complete devastation of your retirement account in the event of another global financial crisis.
There are several types of retirement accounts out there. The good news is that there are no laws that indicate what accounts you can maintain or how many you can have. The IRS is only interested in how much money you are squirreling away on a tax deferred basis. This means that you can either invest in traditional IRAs, gold backed IRAs or a hybrid between the two. In some cases, the IRA or 401k that you have will allow you to invest in gold and silver, while other ones don’t. If you are interested in diversifying your portfolio with precious metals, you will need to have an account that allows you to make these investments. The best way to do this is to open a retirement account that allows for the purchase of precious metals, fund it, and then decide whether or not to keep your other retirement accounts or begin moving your money over.
How To Start a gold IRA
The good news is that setting up a precious metals IRA is a really simple process. It starts with placing a call to an IRA custodian and providing the pertinent information necessary to establish an account. The account will usually take a day or so to become active. Second, you will need to fund the account. Depending on your particular needs, you can fund it using funds you have in your bank account or you can use the balance you have in an existing IRA or 401k. The latter is known as a gold IRA rollover. You won’t have to worry about paying early withdrawal fees or IRA penalties as long as you don’t take a distribution during the rollover. Lastly, you will direct the custodian to purchase the precious metals you want to invest in, which will be kept in an IRS approved holding facility. You won’t actually ever see the physical gold. But, there is peace of mind in knowing it is there.
Having a diversified mix of investments goes a long way to protecting your money in times of financial crisis along with ensuring that you have the tools to grow your investment income at good rate. Talk to a financial planner to discover many other reasons for why investing in precious metals is a great way to recession-proof your retirement income. Having a precious metals backed IRA fund simply offers you insurance of a golden retirement. Visit https://goldcopreciousmetals.com/gold-ira today to learn more.
A gold IRA offers you many benefits over traditional retirement accounts. Visit Goldco Precious Metals today to learn more about gold IRAs.