Best Gold IRA Companies

Do you already have an IRA account? Anyone who is serious about retirement starts planning for it the moment they join the workforce. You have several investment options – investing in precious metals is one of the many options.

Precious metals protect you from market volatility, inflation, depression, political instability, and other factors that affect the stock market and fiat currency. If you decide to invest in precious metals such as gold, silver, platinum, and palladium, you need to choose the best company to help you invest the right way.

There are several gold IRA companies, and it might be challenging to pick one that offers a smooth gold IRA rollover. Below are the best gold investment companies reviewed.

GoldCo Precious Metals – Best Overall

One thing that makes GoldCo stand out is their white glove service. When you seek to create an account with the company, they assign you an agent who walks you through the whole account creation process. The company has been in operation since 2006, a few years before the market crash in 2008.

If you choose GoldCo, they make the gold IRA rollover process swift that you never have to do much. They also have competitive fees where you only need $260 to open and maintain an account the first year. After that, all your account maintenance and storage fees will only be $180 a year. If you invest at least $50,000, the company waives your first-year fees.

GoldCo allows you to invest in gold and silver coins and bullion. You can choose from a collection of more than 30 coins and bars for your investment. We check online reviews and customers only have good things to say about GoldCo on Better Business Bureau and Business Consumer Alliance.

PROS
  • The company rep helps you through all stages
  • The pricing is competitive
  • Extensive education resources for the investors
  • Account opening process is simple
CONS
  • They do not offer platinum and palladium

Noble Gold Investments – Best New Gold Investment Company

Noble Gold operates from Pasadena, CA. The company is one of the newest, having been founded in 2017, yet one of the popular. To create Noble Gold, two industry experts teamed up. These are Charles Thorngren and Collin Plume. When you choose Noble Gold, you will enjoy a system that is transparent and one that helps you get the best out of your investment.

Noble Gold invests heavily on the education of their customers. According to them, the customer first needs to understand what they are about to invest in before they dive in. Like GoldCo, they assign you an agent who walks you through the account opening and setup process.

You can invest in gold, silver, platinum, palladium, and rare coins. They work with the Texas International Depository Services to ensure that your precious metals are safe. Further, you can buy precious metals directly and not just for an IRA account. They charge a flat fee of $225 every year.

PROS
  • Positive reviews on BBB and BCA
  • Setting up an account takes a short time
  • Charges a flat fee for all amounts
  • A relatively low investment amount
CONS
  • It is still a relatively new company

Augusta Precious Metals – Best for Fast Account Setup and Gold Education

The idea behind Augusta Precious Metals, which started in 2012, was to help investors avoid the financial uncertainty they had experienced in 2008. The company thus focuses on educating investors of the importance of gold and other precious metals in their investment portfolios.

Augusta created an education department, complete with a director of education (Devlyn Steele) to help all customers. For the nine years Augusta has been in business, customers have only had positive things to say as seen on BBB, BCA, and other review sites. They only offer gold and silver, but they have a long list of coins and bars for you to invest in.

Setting up an account will only cost you $50, maintaining it will cost $80 per year, and storing your gold will cost $150 per year in a segregated vault. Commingled storage will only cost $100 a year.

When creating an account, the company assigns you an agent who will direct you through all the steps. You will have your account ready in a few days.

PROS
  • Stellar customer support
  • High ratings on BBB and BCA
  • The process of opening an account is easy
  • The managers have extensive knowledge in investments
CONS
  • You cannot invest in platinum and palladium
  • Minimum IRA rollover is $50,000

Birch Gold Group – Most Experienced Support Staff

Birch Gold Group was founded in 2003, making it one of the longest operating companies on our list. Besides gold and silver, the company offers platinum and palladium. You will have a wide variety of coins and bullion, all verified by the Numismatic Guarantee Corporation.

The Birch Gold Group website is awash with educational resources to help investors make the right decision. The range of investment options and the stellar customer support has earned the company an A+ rating on BBB with five out of five stars. On BCA, the company has an AAA rating with most customers only saying positive things about their experience with the company.

If you choose Birch Gold Group, you will only pay $50 to set up an account. You will also pay a wire transfer fee of $30 and an account maintenance fee of $80. Like the other best gold investment companies reviewed above, Birch Gold assigns you an agent to help you set up your account and start your investment.

PROS
  • Positive reviews on consumer review sites
  • Has operated for close to two decades
  • They have a dedicated customer support team
  • You can invest as low as $10,000
CONS
  • They do not publish the price of gold for buyers

American Hartford Group – Best in Customer Education

American Hartford Group operates from Los Angeles, CA. The company offers gold, silver, and platinum for gold IRA rollovers. They offer extensive educational resources that help customers build the best investment portfolio they can. The company has precious metal offerings from different countries around the world, including Australia, Canada, United States, Switzerland, South Africa, and Austria.

On BBB, the company has an A+ rating with five out of five stars. It also has impressive ratings on BCA and Google Business to show that customers trust their services. The company offers varying fees, depending on the size of your investment. They may even offer free gold bullion storage options.

Opening an account is easy as the company assigns an agent to you to help you throughout the entire process. Besides their stellar services, the company is into charity work, and they give to veterans and nonprofit organizations. They have also featured on mainstream publications such as WSJ and Forbes.

PROS
  • They offer lifetime customer support
  • They may offer free storage, depending on the size of your investment
  • They charge low fees
CONS
  • They do not disclose precious metals prices online

Advantage Gold – Best for Customer Satisfaction

If you need the best customer service, Advantage Gold will offer you that. The company toppled the competition when they were named the Best of Trustlink for three consecutive years. Their success was set from those three years, and they have been riding on it since then.

Like most other companies on our list, Advantage Gold offers extensive educational resources. They have generous buyback programs and speedy customer support to help you invest with ease. When you request to join the company, they connect you with a rep who takes care of the application process for you.

The company has garnered hundreds of positive reviews on BBB, TrustLink, and TrustPilot. Their fees are competitive to enable you make the best of your investment.

PROS
  • They have up to date educational resources
  • They assign a rep to all customers, who offers lifetime support
  • They have an easy account setup process
  • High ratings on BBB and other customer review sites
CONS
  • They do not offer a direct online purchase

Regal Assets – Widest Collection of Investment Options

Regal Assets has operated since 2009. Based in Waco, Texas, the company started with the aim of helping retirees enjoy their retirement years. The company offers gold, silver, platinum, and palladium investment options. Unlike other companies on this list, Regal Assets has branches in Asia and Europe. They also offer cryptocurrency investment options, including Ethereum and Bitcoin. This way, customers can diversify their investment portfolios.

Regal Assets invests heavily in human resource, and they are able to offer state of the art customer support. They also have the most advanced technology systems, which allow customers to setup and manage their accounts remotely. The rollover process is so simple, and you will have an agent to help you at all steps of the way.

To help you start, they offer an educational resource center through which you can learn how to invest better. When setting up your account, there is someone there to help you get through it. They have a good track record on BBB and other consumer review sites. When you join the company as an investor, you will pay a flat rate of $250 every year.

PROS
  • They offer a wide range of investment options
  • Fast account setup and shipping of the precious metals
  • Account minimum stops at $5,000
  • Flat for all accounts
CONS
  • Their gold prices are relatively higher

Compare Top Gold IRA Companies in 2021

Do you want to compare top gold IRA companies in 2021? There are so many companies out there and although they may have the same offerings, their services are different. As such, you need to understand how these companies work for you to pick the right one.

Below is a complete guide on gold IRA investments.

What is a Gold IRA Account?

Have you ever wondered, what is a gold IRA account? Does it have the same rules as the traditional IRA account?

Gold and other precious metals can be used as savings for an Individual Retirement Account (IRA). The precious metals come in as a means of diversifying your investment portfolio just as you would with stocks, real estate, and bonds. Your gold IRA account will have several rules similar to the traditional IRA account, so you have to be ready to save until you are ready to retire.

But why should you invest in gold IRA?

The value of gold is fairly stable compared to the dollar. Since 1999, the price of an ounce of gold has gone up. In 1999, the price of an ounce of gold was about $255. That price rose to about $1,937 in 2020. It is safe to assume that the price of gold keeps going up as it has done since the 1990s. If you have a traditional IRA account (or any other IRA account), you can rollover to gold.

Unlike the traditional IRA where you own dollars, a gold IRA allows you to own physical precious metals. You can buy gold, silver, platinum, and palladium. There are others that offer rare coins and others go a step further and offer cryptocurrencies such as Bitcoin and Ethereum.

When you have a gold IRA account, you can visit the depository where your gold is stored and see and touch the stones. This is unlike a traditional IRA account where you cannot ask to see all your money. A traditional IRA account offers you the option of investing in bonds, stocks, and real estate. It also allows you to invest in gold and precious metals, and this is where a gold IRA account comes in.

The account works in a simple way and needs three parties:

• A gold IRA company such as GoldCo
• An IRA custodian such as Equity Trust
• A Gold Depository such as Brinks or International Depository Services in Texas

You will have to pay some fees to keep your account active, but these are not much considering the value of gold on the market today.

You can rollover different IRA accounts to gold, including Roth IRA, traditional IRA, 401k, and many others. The gold IRA company you work with will help you rollover the accounts. You have the option to set the account using your post-tax or pre-tax income.

What You Should Know Before Investing in a Gold IRA

If you are new to gold IRAs, you may not know where to start and what rules to follow. This is a complete guide on what you should know before investing in a gold IRA.

Although a gold IRA account has some rules similar to a traditional IRA, there are so many additional details that come with a gold IRA. Gold IRAs are synonymous with self-directed IRAs. The rules that govern these accounts are set by the Internal Revenue Service, IRS.

The first thing you need to understand is that not all coins are allowed for a gold IRA account. You can invest in gold, silver, platinum, and palladium, but only select coins and bullions as set by the IRS. The IRS sets the purity grades of the metals.

With the IRA overseeing the entire process, you are sure that the coins you receive in your depository account will be legit. There are many things you have to consider, including the following:

IRA Eligible Gold Bars & Coins

The IRS has set a list of IRA eligible gold bars & coins, which include:

• American Buffalo Coin
• American Gold Eagle Coin
• Australian Kangaroo Coin
• Australian Lunar series coin
• British Britannia Coin
• Austrian Philharmonic coin
• Gold Chinese Panda coin
• Canadian Maple Leaf coin
• Credit Suisse gold bar
• Valcambi Gold CombiBar
• Johnson Matthey Gold Bar

The IRS doesn’t allow you to invest in collectibles for your IRA account. Although these collectibles hold so much value, they are considered as private collections that do not satisfy the purity level that the IRS has set. There is a long list of metals that are not approved by the IRS, and you have to be careful when shopping.

Your custodian ensures that the metals delivered to the depository meet the purity standards that the IRS has set. Besides investing in physical gold, you can invest in exchange-traded funds, EFTs, which also bank on the value of gold.

Some of the most common EFTs include:

• Precious metals commodity futures
• Gold commodity exchange traded fund
• Buy shares in a gold mining company
Gold mutual funds

If you need fast returns, and you are willing to take a risk, you can go the above paper investments. However, you need to discuss these options with your broker to get the best advice before you start.

precious metals ira

Gold IRA Rules & Regulations

Gold IRA rules & regulations differ from those of traditional IRAs. These rules are set by the IRS and most are meant to protect you as the investor. Some of the rules include:

Administration Rules

You need to have a custodian or a broker to handle your gold IRA account transactions. The broker or custodian you choose should be approved by the IRS and be ready to offer. The custodian will make transactions on your behalf.

Most of the gold IRA companies use Equity Trust as the main custodian. You do not have to verify the purity of the stones and neither do you have to plan for shipping.

Storage

The IRS doesn’t allow you to be in possession of gold at home or anywhere else for your IRA account. If you possess the gold, IRS will interpret that as distribution, and you will have to pay tax for the gold. For your IRA, your gold needs to be in an IRS-approved depository. Such depositories include Brinks and Texas International Depository Services.

Tax and Contribution Limits

You will not pay taxes for your gold IRA account. However, if you want to be in possession of gold, you have to pay income tax for the gold. In case of early distribution, you will pay up to 10 percent of the tax penalty. Again, the IRS will get about 28 percent of the profits from your gold.

The first thing you need to enquire when creating an account is the annual contribution limit. Currently, the limit stands at $5,000 annually, but increases to $6,000 when you get to 50 years. You can fund your gold IRA account through a rollover from another IRA account, or you can send a check to the administrator.

Retirement Age Limits

You cannot access your gold until you are 59 1/2 years. However, if you still want to continue saving, it is not mandatory that you start taking distributions. However, IRS requires that you start taking distributions when you reach 70 years.

Penalties for Early Withdrawal

If you want to access distributions before you get to 59 1/2 years, you can still do so without any penalties, but there are conditions to that. IRS charges 10 percent penalty, and you also pay the full income tax, but there are exceptions. These exceptions include:

• You become disabled
• You are hospitalized, and you can’t meet your bills
• You die and your beneficiary needs access to the money
• You lose your job and cannot manage to pay for insurance
• You engage in identical amount equity withdrawals
• You or an immediate member of your family requires money for education (there are conditions to this rule)
• You need to buy your first home, which doesn’t cost more than $10,000

Which Metals Can You Own?

Although there are so many precious metals you can buy directly from a gold investment company, not all metals qualify to be in a gold IRA. There are specific metals that qualify for IRA account, according to the IRS.

The IRS considers the purity percentage of the metals and that these metals are not considered collectable. The coins can be from a U.S. mint or any other mint from any part of the world. However, each coin has to go through a purification and authenticity test before it is sent to the depository.

The only exception to the rule is the U.S. mint bullion gold. While all other coins and bars need to have 24-Karat purity, the American coins can have 22-karat quality.

silver

According to the IRS, gold from other places, other than the U.S. mint bullion gold, should have a purity of at least 99.5 percent. In case you invest in silver, it should have a purity of about 99.9 percent while platinum and palladium should have up to 99.95 percent purity. Again, not all precious metals are accepted and the IRS has a list of the coins and bars accepted for an IRA account as we listed above.

With a gold IRA account, you have more say in what goes into your investment account. However, you still need a broker or a custodian to handle your account. This custodian can be a bank, credit union, a broker, a savings and loans company, or a trust company. The custodian will be in charge of managing your account, but they do not have the mandate to sell your gold. Because this is a self-directed IRA account, you have the mandate to choose a dealer for acquisition or sale of your gold.

Although buying your own gold might sound like a good idea, there are so many scammers looking to benefit from your hard-earned money. You will need to spend a lot of time researching on the sellers. This is why working with the right gold IRA company comes in handy. The gold IRA company will take care of the security of your metals.

The first place you need to research on the companies you work with will be on third party consumer review sites. These sites include:

• Better Business Bureau – This site accredits legit business and then rates them based on several factors. The best businesses not only have accreditation, but they also have an A+ rating and have several reviews from customers.
• Business Consumer Alliance – This is a site where consumers register their complaints. You can see the number of solved complaints and pending complaints. The best businesses here have a Triple A rating.
• Others – You can also check Google My Business, TrustPilot, TrustLink, and many others.

A reputable business will meet your needs better than any other business. You can check the quality of the customer service, the fees they charge to maintain your account, the educational resources they provide, the prices of their gold, and many others.

You also need to check the minimum investment a company allows. While some allow you to invest a minimum of $5,000, others only take a minimum of $50,000. When you are looking for a dealer, you can decide to go local or pick an online dealer.

Should you go local or buy online?

It is tempting to buy gold locally as you get to see the stones and even negotiate face to face. However, thanks to overhead costs and other factors, the price of gold might be a bit higher than when you buy online. Buying local also means that you get a tangible purchase, and you never have to bear the cost of shipping.

There are so many risks that come with buying gold. You have to ensure that your gold is safe during transportation and also ensure that it is legitimately pure. With online gold purchases, the price is lower, thanks to low overhead costs, and you also get better account management.

Most online sellers can also handle large orders, which is ideal when you need to rollover your IRA to gold IRA. Buying online is the most appropriate option for most investors. However, you have to look for the best dealer just as you search for the best custodian.

The dealer should be reputable, transparent, offer the best prices, and they should help you throughout the buying process.

Gold Bullion Storage Options

There are several gold bullion storage options, but they all have to be IRS-approved. Storage is crucial when it comes to gold IRA. There is a risk of losing your metals to thieves if they are not stored right.

Thanks to the risks involved, the IRS created a system that ensures that all precious metals are safe. This was done through the establishment of approval for all precious metals storage vaults. The vaults keep the metals safe and also maintain their inventory.

There are several IRS approved storage vaults in the U.S. and outside the U.S. You have two main options to store your gold (both of which we recommend):

US-Based Vaults

In the U.S., there are six depositories that can hold any precious metals coins and bullion you invest in. These vaults are:

• CNT Depository
• HSBC Bank USA
• Delaware Depository
• Brinks Security
• Scotia Mocatta
• JPMorgan Chase Bank North America

These vaults are great as the IRS ensures they have the needed safety technologies and are sufficiently insured. If you fear that your gold might be confiscated, you can opt for an international storage option. Confiscation is not common, but it occurred in the 1930s. If you fear it might happen again, you can go for storage options in Singapore or Dubai.

Offshore Storage Options

Today, it is not mandatory for you to store your IRA gold within the U.S. borders. You can store the gold anywhere in the world. However, even the offshore vaults need to be IRS-approved. These vaults need to be branches of the same vaults in the U.S. For instance, the available offshore vaults for a gold IRA account include:

• HSBC Bank USA in London, Hong Kong, Zurich, and Singapore
• Brinks Security in London
• Scotia Mocatta in Toronto
• JPMorgan Chase Bank North America in Singapore and London
• Regal Assets in Singapore and Dubai

Should You Choose Co-Mingled or Segregated Storage?

Once you choose the depository of your choice, you will have two options; co-mingling and segregated storage. Most investors choose co-mingling where your gold and that of other investors is in the same vault room.

You will pay less in storage fees with co-mingled storage. The depository then maintains a single inventory for the co-mingled gold.

Segregated storage means there is a dedicated vault or deposit box for your gold. The depository also maintains the inventory of the gold separately. You will pay a higher annual fee for segregated storage. Unless you have a huge investment, millions of dollars in gold, you do not need segregated storage.

Can your store your gold at home?

You can store your gold at home and not be against the gold IRA rules set by IRS. You will need to create an LLC and then get a safe to protect your gold at home.

The IRS doesn’t recommend this option and most gold IRA companies also do not recommend storing your gold at home. We also feel that your gold is safer if you use a third party gold depository.
If you store your gold at home, the IRS will not know when you make a withdrawal, and they may not be able to impose the relevant penalties. Not all gold IRA companies offer the option of home storage. Unless you are buying gold for other investments and not for an IRA account, most companies avoid this option completely.

Associated Gold IRA Fees

Are there any associated gold IRA fees after you open an account? Yes. There are certain costs that you have to incur to keep your account active. Most of these costs are not in a traditional IRA account.

When searching for a gold IRA company, consider the nature and amount of fees they charge. Some companies charge a flat fee regardless of the size of your investment while others vary their fees.

Some of the fees you will incur include:

Account Setup Fees

This is a one-time fee you pay to the gold IRA company when you open an account. The fee is charged for all types of IRA accounts, but the amount you pay will vary based on the nature of your account and the company you choose. In most cases, the fee is between $50 and $100.

Custodian/Broker or Account Maintenance Fees

This fee is also known as account maintenance fee. You pay the fee to your custodian or broker. It is the same fee you pay with a traditional IRA, but the fee is higher with a gold IRA, thanks to the precious metals transactions. You may also have to pay a wire transfer fee with some companies. The broker or custodian fee is about $80 per year with most companies.

Seller’s Fee

The seller of the gold has to get a cut. Be ready to pay something more than the market price. However, the seller’s fee will vary based on the options you choose, the type of transaction, and where you buy.

For instance, if you buy local, you will have to pay for overhead costs.

Storage Fee

Keeping your gold secure means you will have to pay an annual fee. The amount you pay will depend on the size of your investment, the location of the depository, and whether you choose co-mingled or segregated storage.

For most storage options within the U.S., you will pay $100 annually for a co-mingled account and about $150 annually for a segregated account. However, the fees will vary based on several factors.

Close Out Costs

If you decide to make an early distribution, you will incur some costs. In case of an early distribution, you will pay the full income tax, and you may also sell your gold at lower than the market rate. It is always easier and safer if you wait until you are 59 1/2 years to withdraw your money.

10 Gold IRA Scams & How to Identify & Avoid Them

Investment is easy when you work with the right companies and take the necessary precautions. There are so many scammers waiting to take your hard-earned money and run with it. There is a risk of you losing your gold either through fraud or theft.

As an investor, you have to do a lot of research before you make in investment. This being your future, you need not to leave any stone unturned, but that alone lends you to some scams.

As you embark on your research, the first thing you need to understand is that there are no fast returns when you invest in gold. Unless there is an incident that makes the price of gold skyrocket overnight, you will have to wait for a long time to get any significant gains. This being a retirement account, you have time to wait.

Another thing you need to note is that “if the deal sounds too good to be true, it probably is not true.” As an investor, take your time and compare several gold IRA companies and dealers. When you finally decide to invest in gold, look out for the following scams.

Below are 10 gold IRA scams & how to identify & avoid them:

1. Access to Gold is Unlimited

You can visit the depository and see and touch your gold. However, some scammers make it appear as if it is not possible for you to see gold. These scammers prey on people investing in gold for the first time.

They do this to make you not follow up on the gold purchase. Some custodians may also use the same lie when they want to convince you to store your gold at home. If you believe that gold is inaccessible, you may want to have your physical metals at home. However, storing your gold at home is unsafe and it may not sit well with IRS.

2. Numismatic Coins

Numismatic coins are rare coins. While they have more value than the quantity of the precious metals that make them, most are not IRS-approved for a gold IRA account. The scarcity and collectability of the coins give them more value, but it also makes them lose out on the IRS approval.

Some dealers are insistent on investors buying numismatic coins. If you fall for the trap, the dealer makes more money from the sale of these high-value coins, but they leave you with nothing for the IRA account.

If you want to invest in collectibles, you can do so in another account. However, the metals are not approved for your gold IRA account.

3. False Promise of Gold 

Scammers can give you false promises that make you think you are investing in gold, yet there is no gold to your name. Once you send them money, they will send you a gold certificate that has no meaning whatsoever.

This scam is almost similar to the first scam on our list. The dealer will ensure that you have no way to verify that the gold was never bought. You will stay knowing you have gold, yet all you have is a piece of paper.

Investing in gold sounds like the best idea. Quite frankly, the value of gold is more stable compared to that of fiat currency. However, you should not invest more than 15 percent of your overall portfolio in gold.

4. Offers that Sound So Good to be True

Unless you call a company and ask some questions, no gold IRA company or dealer should call you and give unsolicited offers. Some salespeople might call you and give you offers that sound so good. It is tempting to want to jump, in but that would be a mistake.

Other salespeople may even make in-person visits with brochures and several goodies for you if you invest. Mostly, they prey on the elderly who may want to make their retirement even better. If you agree to invest, you may end up losing your money.

5. Push Towards 100% Gold Portfolio

There are some salespeople who try and convince you to rollover 100 percent of your investment portfolio to gold. The golden rule of investment is to diversify, but these salespeople tell you otherwise.

The offers they make you will be tempting, but you should never invest more than 15 percent of your investment portfolio in gold. Although the value of gold may seem stable and has been rising, you still need to use it as a hedge against economic instabilities in future.

6. Gold Verification and Grading Offers 

Some companies and salespeople offer to verify and grade the gold for you. On top of that, they offer gold certification services for free. To get these free services, they say, you only need to invest in gold.

Gold grading and certification doesn’t have to cost much. In fact, legit companies offer this for free without touting it as an offer. This is why you need to conduct thorough research to ensure that you buy gold from a legitimate company.

7. Home Storage Offers

Although home storage is possible, we do not recommend it. The risks involved when you store your metals at home are many, and we just advise against it.

If a company tries to hard-sell home storage by telling you of the many advantages of the option, you should avoid them. Legit gold IRA companies and dealers advise that you go with IRS-approved gold storage.

Chances are, a company that advises you to opt for home storage may want to take your advantage in one way or another.

8. Loans for Gold

There are companies and dealers that may convince you to take a loan and invest in gold. While the value of gold has gone up, there are no guarantees of huge returns.

The value of gold has risen over the past 30 years. However, the price has stagnated over the last decade. The price has also gone down, although not with a significant amount, for a number of times. In August 2020, the market price of gold was about $1,937. Less than a year later, in June 2021, the price has slightly dropped to $1,893.

If a company manages to convince you to take a loan because the returns from gold will cover you, then you are in for a shock. There are times when the returns can manage to pay for the loan and the interest, but this is still a huge gamble. Avoid taking loans to invest in gold.

9. Working With a Broker

There are so many brokers that come in between you and the dealer. You do not have to deal with a broker when you can connect to the dealer directly.

The brokers come to you and promise you the best gold prices. They even ask you to pay them once your gold arrives, but the fee will be hefty. You will pay more than you would if you had worked directly with the dealer.

You need to avoid brokers completely. You still have to work with a custodian, but working with the dealer helps you avoid unnecessary fees.

10. Hidden Fees

If the company you work with during the gold IRA process doesn’t publish fees, then it is probably because they have some hidden fees. The company should be able to give you a breakdown of the fees they charge for different accounts.

There are so many fees to pay when you open a gold IRA account. The many fees make it possible for the gold IRA company to slip in additional fees. You have to be insistent that you need to see the whole list of fees applicable. You can also check reviews from third party review sites and see if the company charges extra fees.

You can have the best experience investing in gold, but only if you do your research. You can start by choosing the right gold IRA company and then proceed to pick the right coins and the right dealer. You also need to pick the right storage options, and you will be good to go.

Gold IRA Pros & Cons

There are several gold IRA pros & cons that you need to weigh before you start investing. Once you have learnt everything about gold, the last step should be to consider whether the advantages outweigh the disadvantages.

Gold IRAs are not for everyone. You need to consider your current investment portfolio before you invest in gold. Below are the benefits and drawbacks of investing in gold.

PROS
  • The Value of Gold Keeps Rising – The value of gold has gone up within the past many years. In 1970, an ounce of gold was about $35. Today, the value is about $1,800. If you saved $35 in an account that gave you interest every year, you may not have as much as $1,800 today. However, you have to make it a long term investment option.
  • The Value of Gold is Not Affected by Inflation and other Economic Uncertainties – When the value of fiat currency goes down, the value of gold goes up. The value is fairly stable during times of economic turmoil. When inflation is on the rise, you can use gold as a hedge. Even when the value drops, the drop is not significant.
  • Get Portfolio Insurance – If you fear there might be some financial crash or turmoil, you need to diversify your portfolio with gold. The metal held its value during the 1970s and during the financial crisis in 2008.
CONS
  • Get Portfolio Insurance – If you fear there might be some financial crash or turmoil, you need to diversify your portfolio with gold. The metal held its value during the 1970s and during the financial crisis in 2008.
  • Gold IRAs are More Tasking – It is easy to open a traditional IRA account. A gold IRA, which is self-directed, needs more than signing a few documents. As such, you need to be ready to put in the work and research on the best companies to work with. You are forced to trust companies that you have never worked with before that they will send your gold to the depository. You may also never see the tangible gold as the depository might be far from you. In such case, you cannot be faint of heart.
  • Gold Remains as Gold – When you buy gold, you are hoping that the value of gold will rise and you make a profit. This is unlike other investment options where you can get interests and dividends from your investment.

How to Start a Gold IRA

Although gold IRA companies have made the process of investing in gold for your IRA account easy, there are still more details than with a traditional IRA account. You will follow the simple process, but you need to understand what is going on.

You will want to do thorough research before you get to the first step below. Know the coins and bars to invest in, the rules and regulations, and much more about gold IRAs.

Below are the steps on how to start a gold IRA:

Step 1

The first step is to choose how you will fund your gold IRA account. You can rollover funds from an existing IRA, or you can transfer the funds directly from the traditional IRA to the gold IRA.

In a rollover, you get the money from your traditional IRA and deposit the money to the gold IRA account through the custodian. The IRS allows you up, to 60 days to complete the transaction, failure to which they consider the transaction withdrawal.

If the IRS feels that the transaction was an early withdrawal, you will pay a 10 percent early withdrawal charge. You can only rollover your money once every year.

If you opt for a transfer, money will move directly from your old IRA account to your new IRA account. You can transfer money as many times as you want in a year. The IRS allows you to rollover or transfer funds from a 401k, 404b, traditional IRA, and Roth IRA accounts.

Step 2

Once you choose the method to fund your account, you need to pick a custodian to help you manage the gold IRA account. You need a custodian who matches your investment goals.

Most gold IRA companies work with and recommend Equity Trust. You need to check Equity Trust and other custodians to ensure you get the best.

You also need to decide how much of your portfolio you want to invest in gold. As we mentioned earlier, you should never invest more than 15 percent of your portfolio in gold.

If you want to hedge against economic uncertainties in the future, then invest only 10 percent of your portfolio. However, if you feel that the value of gold is about to go up, you can invest 15 percent and hopefully earn from the rise.

Step 3

The third step is to choose your dealer and your storage options. Online dealers will give you several advantages over local dealers. If you are buying gold for the first time, and you need to avoid high fees, go for online dealers.

Always go for IRS-approved dealers as they will give you the best offers. Before you go for a dealer, note that you have to choose the coins you want to invest in. Some dealers offer coins in form of packages while others sell them individually. Weigh your options and see what meets your needs.

What is the Top Rated Gold IRA Company?

We have researched extensive on gold IRAs and gold IRA companies. There are many good companies, but there are equally some scrupulous companies that are out for your money.

Out of the seven we reviewed above, we feel that GoldCo is the best gold IRA company 1 rated. The company is transparent, they have competitive fees, they offer several storage options, and customers have positive things to say about them. Plus, their customer support is impeccable.

Conclusion

Investing in gold is advantageous, but not every portfolio will benefit from a gold IRA. However, anyone looking to diverse will find gold IRAs a great option.

Before you invest, you have to understand that it is not obvious that the value of gold will go up. Some salespeople may make you feel like the value of gold always goes up, but the marketplace decides the direction the value of gold takes.

Our advice is that you do your due diligence so that you do not end up with unrealistic expectations or worse yet, loses.