Now that you’re familiar with the essentials of a gold IRA, the next step is to choose a company that can help you open an account, along with other tasks such as transferring funds and purchasing precious metals. A gold IRA company may also serve as your account custodian since they can also assist with the necessary paperwork and comply with the Internal Revenue Service (IRS).
Picking a gold IRA company should be done thoroughly if you want to achieve the best possible outcome. For instance, it will be best to consider the following factors when making a selection:
Reputation: Check how long has the company been in the business of helping and managing retirement accounts efficiently and in a timely fashion. Remember, knowing the reputation of your prospect is crucial since you’ll be closely working with them for your gold investments,
Account fees and policies: Find out whether your prospect is charging various fees. The standard fees in a gold IRA can include flat-rate and scaled fees. If they provide a flat-rate fee, you may be paying a fixed amount of costs for your account. However, if the only option is the scaled fees, you may be paying more depending on the negotiations between you and the company.
Customer service: Make sure the IRA gold company you choose has excellent customer service. If you have concerns about your account, they should have convenient and efficient ways to contact you. That way, you can rest knowing your account custodian is available whenever the need arises.
Step 2: Fund your account
Once you open your account, you’ll need to fund it before you can begin purchasing and investing in metals.
There are three options for funding your gold IRA, including:
Cash contribution: You can use cash, check, or wire transfer to fund your account, just as you would with a typical savings or investment account. Keep in mind there may be a fee (on your bank’s end) if you choose a wire transfer.
Rollover: Rollovers are used if you’re planning to take a distribution from your existing retirement account and roll it into your gold IRA instead. If you want to go this route, contact your current account’s administrator for instructions, and they can initiate the process. You can also choose to take a cash distribution from your existing account and then deposit it into your gold IRA yourself. Just make sure you do it within 60 days, though, or you could face a 10% penalty (unless you’re over 59.5 years of age.)
Transfer: You can also do a direct account-to-account transfer. To do this, you’ll usually fill out a form with your existing account administrator, or your gold IRA custodian may reach out to them on your behalf. These types of transfers can take up to five days and are tax- and penalty-free.
Step 3: Select Your Precious Metals
After you have funded your account, the next step is to select the metals that you would like to invest in.
Palladium, platinum, silver, or gold bars or coins can be purchased from a broker or dealer. To ensure the purity of the metals, be sure to purchase them from a reputable source.
Step 4: Choose Your Custodian
After you've decided between a transfer, rollover, or opening a new account, it's time to consider custodians. To hold physical gold and silver in a Self-Directed IRA, the IRS requires you to open an account with an approved custodian and have the custodian purchase precious metals on your behalf.
When you work through U.S. Money Reserve's Gold Standard IRA program, your IRA Account Executive will take care of all the heavy lifting. They'll coordinate with your custodian to set up your IRA account and if needed, facilitate the transfer of funds from your old custodian to your new custodian.