Hey, this is Robert
If you visit this page by searching gold IRA rollover then you arrive at right place. In this page you are going to find some informative topics regarding gold investment and IRA rollover.
Ok, let’s talk about Gold-backed IRA
What is Gold IRA?
In simple words a Gold-backed IRA or precious metal IRA is the best investment for your retirement plan. It safeguards your investment from any inflation and marketing fluctuation. We observed in last recession many companies, financial institutions, banks and even countries goes bankrupt because of poor investment strategy and less reserve for gold. Do you know there are many companies, banks and countries that survive just because they have good reserve for gold? Many investors lost their complete investment in last recession because of sharp decline in real estate, stock market and countries currencies (foreign exchange). After suffering from great lost in the past, many investors start investing their large amount of investment in Gold because the only investment that remained stable in last recession is Gold. Now, there are countries that are purchasing gold instead of relying on countries currency.
If your investment is also locked into traditional IRA account then you can rollover your traditional IRA into Gold-backed IRA. In Gold based IRA you can buy different varieties of gold-backed products such as gold coins, gold bar and gold Jewellery. Beside, these physical gold products you can also invest in gold bonds or you can also invest in gold reserve. One of the advantages of Gold-backed IRA is that you can invest in other precious metals such as silver, ruby, platinum etc.
Why you need to consider Gold IRA Rollover?
If you start thinking about building your investment portfolio for future retirement then there are numerous factors you need to consider before selecting best investment option.
If you look in the investment market you will observe the condition of New York Stock Market is uncertain. Similarly, real estate market is also performing poorly since last few years. Moreover, after last year recession, many countries start holding dollar in their reverse which is one of the biggest reasons for the declining value of dollar. In this situation the best investment option is Gold. Since the start of this century Gold proved again and again, it is the most profitable and most secure investment for the long run.
If you search about gold you will found that the record price of gold was $1901 in 2011 and the current price of gold is $1330. The most important principle of investment teaches us to buy in low price and sell it in high price that is why this is the right time to invest in gold. Furthermore, there are several countries that are purchasing gold for their reserve, this alone is the biggest truth the value of gold going to increase in coming months. India and China are the biggest buyers of Gold and they are buying gold for a reason.
Another reason for investment in gold is the best decision is that many people start realizing the real importance of investment in gold and as more people invest in gold the demand of gold start rising. There are some popular economist and financial advisers that are adding gold in their investment portfolio. In 2006, the overall value of gold IRAs was $41,910 which rises sharply to $129,000 in just 6 years. More and more people start transferring their traditional IRA into Gold-backed IRA.
Is Gold IRA Rollover complicated?
The process of rollover is difficult few years back but now it is not difficult any more. Even the process of rollover is tax-free and you still enjoy all the tax benefits after transferring into gold-backed IRA. There are few IRA Rollover specialist companies that can handle this task for small fees and they offer variety of different options to you as well.
What is the process of Gold IRA Rollover?
The process of transferring your cash from traditional IRA account to gold or precious metals IRA is very simple.
First you need to find a trusted Gold IRA custodian, a custodian can be a financial institution or any bank or any brokerage but a IRA custodian can’t be an individual. Before selecting IRA custodian makes sure you check IRS (Internal Revenue Service) certificate. You can also select custodian to registered financial institution or bank or brokerage that have valid certificate of IRA Custodian from IRS. In certain circumstances, a non-financial institution can be IRA custodian but such institution must get approval from IRS.
After selecting custodian then you need to select precious metal broker who buy gold or other precious metal on your behalf.
After selecting precious metal broker then your selected custodian writes down check to your precious metal broker who purchase gold and other precious metals and send it to your custodian.
If you don’t want to work with custodian then you can also work directly with your broker. But, selecting a precious metal custodian is important because your IRA custodian will find precious metal broker for you. It takes just few paperwork and you will get your gold in your IRA
It is important to remember that you can only put certain types of precious metals which include gold, silver, platinum and palladium. Once you select good and trusted custodian for gold IRA Rollover he will explain you complete procedure.
How to Rollover 401K to precious metal IRA:
If you want to hold gold into your IRA account you need to make sure you select custodian that allow precious metal account. There are few companies out there that can help you in setting up your precious metal IRA.
Before starting the process you need to select what type of transaction you want to do. You have two options. First is roll over and second is transfer. Both these options best suited according to specific situation. If you are confused about selecting best option then you can get help from your accountant.
There is slight difference in rollover and transfer.
Rollover: In rollover process you don’t need to select custodian. You are responsible for your own IRA. In Rollover process, you will get funds and it is your responsibility to deposited money into your plan.
Transfer: Transfer process is little different from Rollover, in transfer process you need to select custodian who liquidating cash and transfer back to new custodian. In transfer process your custodian charge his services fees.
There are few things you need to remember, first the process of rollover and transfer is tax-free but custodian charge his fees. Another important thing you need to remember is that once you liquidate your account, you have 60 days to transfer cash to your custodian, failing in doing so will cause penalty.
I hope this post give you good handful information about Gold IRA rollover. If you need to learn more information watch the video below.