Precious Metals IRA Investing
Why start a Precious Metals IRA or Gold IRA?
Financial professionals across the globe agree that asset diversification is the key to investing success. Holding precious metals is one way to diversify your portfolio among different asset classes while minimizing risk.
Many people have knowledge and experience investing their personal funds in precious metals. They are now looking to capitalize on that experience and generate retirement wealth that are tax-deferred or tax-free. One way this can be done is by investing retirement funds into precious metals.
Enjoy our short three minute video that explains how one purchases Precious Metals with a Self Directed IRA.
Your retirement fund doesn’t just have to be held in stocks and bonds. You can hold precious metals in your IRA. With a Self-Directed IRA from New Direction IRA, you can invest in all types of precious metals, including gold, silver, platinum and palladium.
As the premiere Self-Directed IRA administrator, New Direction IRA is equipped to handle all the unique requirements involved with putting precious metals in your IRA, such as valuations for IRS reporting and account administration. We set ourselves apart from the competition by providing high quality service to our clients, competitive pricing and great continuing education. Our annual fees start at only $75 per year.
Are you ready to get started with a Self Directed Gold IRA?
Click here to download a copy of our Precious Metals IRA application packet. This packet includes everything you need to open an account: account checklist, application, fee schedule and opening fee page.
General Precious Metals Investing Rules
While it is allowable to hold precious metals within your IRA, the IRS does have several rules that an IRA holder needs to be aware of before getting started.
- The metals must be a certain fineness quality specified by the IRS to be held in a retirement account.
- Gold .995%
- Silver .999%
- Platinum .9995%
- Palladium .9995%
- The metals must be kept an arm’s length from the IRA holder. New Direction states that any precious metals held will be secured in the precious metals depository of the IRA holder’s choice.
- The metals held cannot have numismatic value, meaning that collectible coins are not allowed to be held within an IRA.
Metals Dealers and Depositories
As with all self-directed investments, proper due diligence is needed. New Direction IRA will work with any metals dealer the IRA holder chooses. The IRA holder works directly with the dealer to decide which metals to purchase.
The depository used is also chosen by the IRA holder. There are separate depository fees that must be paid by the IRA for storing the metals. The depository is an important component of the transaction as the metals cannot be held by the IRA owner.
Precious Metals IRA Fees
New Direction has two tiers of fees for precious metals.
- There is a transaction fee for the purchase and sale of precious metals. This is a $40 fee and covers our time to record the transaction and handle the funds.
- There is our annual administration fee which is $75 for up to $100,000 in precious metals held. Above $100,000, the fee is 75 cents per $1,000 in metals with a cap of $295 per year.
There is a separate fee charged by the Depository to hold the metals which also must be paid through the IRA. The depository sends the bill directly to New Direction IRA and we pay it per the IRA holder’s instructions.
There are three steps to purchasing precious metals within your IRA at New Direction
- Complete an Application and open your IRA.
- Fund you IRA by transferring, rolling over or contributing funds.
- Complete your Precious Metals investment by choosing a dealer and depository, deciding on the metals and providing investment instructions to New Direction.
Frequently Asked Questions:
Purchasing Precious Metals with a Self-Directed Precious Metals IRA
Q. Does New Direction IRA choose the precious metals dealer?
No, the choice is up to you. New Direction IRA does not sell any product nor promote any products or vendors. The account holder is responsible for choosing the precious metals dealer and the forms and types of precious metal.
Q. How do I direct the investment into precious metals with my Precious Metals IRA?
To direct New Direction IRA to purchase precious metals with the funds in your Precious Metals IRA or HSA, do the following:
- Select a precious metals dealer, an investment, and a depository.
- Complete a Buy Direction Letter for your precious metals purchase. Provide detail on the investment, such as the type, quantity, price and dealer.
- Submit the Buy Direction Letter to New Direction IRA along with an invoice from the dealer of your choice, their wire instructions, and a Depository Holdings Election Form. Your New Direction IRA representative will purchase the investment with your Precious Metals IRA or HSA funds. The precious metals must be held by a precious metals depository.
Q. Can IRAs that are already established be transferred to New Direction IRA?
Absolutely! Any past employer or individual retirement plan can be transferred or rolled over to New Direction IRA. If you do not have an existing retirement plan, New Direction IRA can help you get started. More information on retirement plan options can be found on our self-directed retirement plans educational tutorial page.
Q. What other investments can I hold in a self-directed IRA?
With a self-directed IRA at New Direction, you are in full control and can choose from a wide range of permissible assets. Our clients have directed their IRAs and HSAs to buy assets such as real estate, secured and unsecured notes, limited liability companies, private limited partnerships, private stock, publicly traded stocks, bonds and more- the retirement investment options are limited only by your imagination.
Q. What kind of IRA plans can be used to purchase precious metals?
New Direction IRA administers all types of self-directed retirement plans such as IRAs, Roth IRAs and 401(k) Plans. We can help, whether you want to start a new plan or rollover an existing plan. As a third-party administrator, New Direction IRA does not offer investment, tax, financial or legal advice to clients. Individuals who believe they need advice should consult with the appropriate professional licensed in that area. Remember that self-directed investment is not limited to retirement plans – consider a Golden Health Savings Account (Golden HSA).
Have another question about opening a Precious Metals IRA? click here
Why choose New Direction IRA for your Precious Metals IRA?
New Direction IRA provides administration services for tax-advantaged retirement plans holding gold and other precious metals. In addition, New Direction provides educational services for investors interested in learning about IRS rules for IRAs and other plans. Our goal is to give you the tools and knowledge to get the best out of your Precious Metals IRA or other plan. If you have questions, we’re here to help.
If precious metals are your choice of asset, we are ready to assist in getting the purchase executed within your plan. We do so as an entirely neutral third party but with a focus on fast execution and funding of purchases. We do not offer investment advice, and do not sell any investment products of our own. We provide for the maintenance of each account’s tax-deferred status, as well as providing record keeping for IRS reporting.
Precious Metals may be purchased by any of the plans we offer, including Traditional and Roth IRAs, SIMPLE and SEP IRAs, Health Savings Accounts, and 401(k) plans. A list of the requirements for what metals may be purchased and more information on our company can be found by in our informational packet on precious metals IRAs.
For more information about New Direction IRA, visit our About Us Page.