In life, there are certain things that demand attention and will always remain valuable as a result. Along with time, gold is a prime example. Despite humankind having access to gold for thousands of years, here we are in 2017, a decade where gold continues to rise and reach all-time high prices. If we assess the closing prices alone, we see gold worth $20.67 throughout the 1920s and 30s before a steady increase to $63.84 in 1972. From here, the price explodes into the hundreds and we saw a record high close in 2012 at $1,664.00.
With this in mind, it’s fair to say gold is one of the rare commodities that has never let us down. Sure, there may have been the odd fall in certain years but the overall trend has been upwards since the earliest records we could find in 1792 ($19.39). Therefore, it makes for a good investment tool. Over the years, millions have been investing in gold all around the world but there’s been one problem with this; most people think it’s only available for the rich. This isn’t true.
Today, ANYBODY can invest in gold even if you’re living from one pay check to the next. As long as you have an IRA, there’s an opportunity and we’re going to show you how to invest in gold IRA today!
What Is Gold IRA?
If you’re looking for a method of reducing the volatility of your retirement portfolio, gold is certainly the way to go (check out the blog post why invest in Physical Gold). While a conventional IRA relies upon the performance of mutual funds, stocks, and bonds, a gold IRA has no relation at all. Since it’s linked to the value of gold, which, as we’ve seen, is always on a steady rise, it provides protection against whatever may happen in the economy in the coming weeks, months, and years.
In answering how to invest in gold IRA, you have two main options and they both need to be considered for your retirement.
Transfer – Firstly, this is an option available to you at any point in time as long as you have an IRA in place elsewhere. After choosing a custodian, your assets will move straight across from one to the other in a direct transfer. With your distribution checks from your old IRA custodian, they need to be made out to the new custodian and it goes directly into the new IRA. These days, the limits on transfers are flexible so you can continue making transfers as you please.
Rollover – For the second option, a ‘rollover’ occurs when you essentially receive the distribution before then depositing it into another retirement plan; i.e. the gold IRA. After receiving the distribution, you have 60 days to deposit the funds into your new IRA otherwise the money is treated as income and you’ll be faced with all sorts of tax penalties. In order to preserve the tax-deferred status, the same money can only be rolled over once in a twelve-month period.
How to Invest in Gold IRA
With this in mind, the first step is always to find a reliable and trustworthy custodian. Nowadays, there are scams online as well as services that charge extortionate fees and this leaves you with a less valuable retirement account than you deserve. Therefore, there are some important factors to keep in mind.
Experience – If you’re buying a washing machine, you go for a trusted name with experience in the industry. With smartphones, we check the previous customer reviews to assess the reliability of the device. With a gold IRA, why should this be any different? In fact, you should be more stringent because you’re trying to find a company who’ll look after your retirement money until it’s needed.
To help with this, we advise browsing around the website and learning more about the company. Like all good companies, they should have an ‘About Us’ page where you can learn their history and this should give a good sense for what they’re all about. After this, be sure to search their name into Google and read the reviews of previous customers. When doing this, we always find it beneficial to type the company name followed by ‘scam’ or something along these lines. If you don’t find anything substantial, you can be confident in the company.
Support – Since this is a big decision for you, the website and the whole nature of the business should be geared towards you. If you feel as though you’re being pressured into a decision just because the provider wants your money, just click away and find another. With the very best companies, they focus on teaching and putting you in the best position possible to make the right decision for your future.
The Basics – With any gold IRA custodian, we also believe they should have the basics in place to provide a solid service and this includes insurance. If precious metals are lost or stolen during the transaction or at any point, you should remain protected and this is the biggest example we can provide. If a problem occurs, the next factor you’d want to see is customer support; phone numbers, email addresses, and possibly even live chat functions. If the basics are there, you don’t need to have concerns.
Fees – When selecting a gold IRA custodian, fees are an important step in the process. Why? Because some will increase their charges as the value of your IRA rises. Essentially, these companies are punishing you for increasing your worth so you might want to avoid this. Luckily, there are others who charge a standard fixed rate regardless of what happens to your IRA.
Security And Interaction – Finally, your gold should be kept in a safe place so you aren’t constantly worrying about whether your gold is secure. Since companies are in control of millions of dollars, they should have security systems in place and they should also keep you informed with all goings on at their facilities. If they’re performing upgrades, making changes, or anything substantial, you should receive information at all times so you’re always aware.
Conclusion
There we have it, you should now know how to invest in gold IRA as well as how to find the right custodian to look after your future. As long as you make the right decision, you can benefit from the security of gold and everything that comes with this particular IRA. Remember, take your time and find the right custodian and they should talk you through your options (rollover or transfer)!
I hope you enjoyed this post and if you have any questions about how to invest in gold IRA or want to leave your own personal experience, leave a comment below.
Our personal recommendation to safeguard your future with gold is to contact Regal Assets, The #1 Rated Gold Investment Company 7 years in a row, Click Here To Request A FREE Gold Investors Kit.