There’s only a week left before we’re really stuffing the turkey and it’s time to over eat as much as we can. While you are stuffing your own turkey, let us tell you about a way to stuff your IRA with gold! It may not sound as appetizing as a perfectly roasted turkey, but it most certainly will deepen your pockets. Instead of giving you a limited view of the awesome perks of diversifying your IRA into gold, we wanted to give you our list of pros AND cons. There are always two sides to a story and that doesn’t change with gold.
Gold, historically speaking, has always been the investment tool of choice. Investors know that gold manages to hold its value even when the economy is on a downward path. However, gold IRAs aren’t for everyone. Let us explain IRAs a little further.
Understanding IRAs
An IRA is an individual retirement account. These accounts offer tax benefits for savings on retirement. It comes down to two kinds of IRAs: a Roth IRA and a traditional IRA. To be successful with an IRA it is all about portfolio diversification, asset protection, and good investment returns. A gold-backed IRA is one made up of precious metals such as gold, silver, or platinum.
Gold IRAs may be a good investment but they must be taken care of by someone who knows what they are doing. You will understand better after reading our list of pros and cons.
Gold IRA Pros
- Any eligible retirement plan can be transferred or rolled over into a gold IRA, which means that gold IRAs are self-directed.
- The providers of gold IRAs usually have great customer support and can guide investors through rolling their 401k over into the IRA.
- Setting up your gold IRA does not take very long and can normally be done within a couple of business days.
- A gold IRA smooths out the risks, particularly if the investment is long-term.
- Precious metal IRAs, like gold IRAs, are more secure because the money goes directly into physical assets.
- Gold IRAs are seen as a shield that protects you from stocks, inflation, and plummeting currency value.
- During financial mishaps like foreclosures, stock market failures, and unemployment the price of gold normally rises.
Gold IRA Cons
- There are specific types of coins and bars that can be used in gold IRAs, according to the IRS. Before 1997, the only approved coins were American Eagle gold coins. The IRS has now widened the rule and allows several other coins and bullions as long as they are pure enough.
- The gold must be stored in a special depository box which means the investor cannot physically have possession. Because of this, a fee must be paid to the firm holding the gold which can range between $100 and $200 per month.
- Funding the account, which can be done via a contribution, transfer, or rollover can take several weeks.
Landmark Capital is Here To Help
For a list of the top gold IRA companies click here! If you’re not sure whether or not a gold IRA is right for your financial situation, then you have come to the right place. Landmark Capital can give you the advice you need at the click of your mouse. Visit our Contact Us page or give us a call at 877-448-2646!