Benefits of a Precious Metals IRA

At SwissAmerica.com, we understand the importance of securing your financial future. That's why we offer Precious Metals IRAs, which provide numerous benefits for investors looking to diversify their retirement savings.

Diversification: Adding gold or other precious metals to your retirement portfolio can help diversify your investments beyond traditional stocks, bonds, and mutual funds. Precious metals historically have low correlations with other asset classes, reducing overall portfolio risk.
Hedge Against Inflation: Gold and other precious metals have historically acted as a hedge against inflation. When the purchasing power of fiat currencies declines due to inflation, the value of gold tends to rise, preserving your purchasing power over time.
Portfolio Protection: Gold and other precious metals can provide insurance for your portfolio against economic uncertainty, geopolitical instability, and market downturns. During economic turmoil or market volatility, precious metals often retain their value or appreciate, offering stability to your overall portfolio.
Potential for Growth: While past performance is not indicative of future results, gold and other precious metals have the potential to appreciate over the long term. As global demand for precious metals grows, particularly in emerging markets, the value of these assets may increase.
Tax Advantages: Precious Metal IRAs offer the same tax advantages as conventional IRAs. Depending on the type of IRA you choose (Traditional or Roth), contributions may be tax-deductible or withdrawals tax-free, respectively. Additionally, any gains on your investments within the IRA are tax-deferred until withdrawal.
Physical Asset Ownership: With a Gold or Precious Metal IRA, you can own physical gold or other precious metals directly within your retirement account. Tangible assets provide an extra layer of security to your savings.
Protection Against Currency Devaluation: Gold and other precious metals are not tied to any specific currency, making them valuable assets in times of currency devaluation or economic instability. Holding gold can help protect your purchasing power when fiat currencies lose value.
Long-Term Preservation of Wealth: Gold and other precious metals have been recognized as stores of value for thousands of years. Investing in Gold or Precious Metal IRAs can help preserve your wealth over the long term and provide a stable foundation for your retirement portfolio.

Common Types of Retirement Plans that May Qualify

Traditional IRA

Roth IRA

401(k)& other employer-sponsored plans

Introduction to Self-Directed IRAs

A self-directed IRA (SDIRA) empowers investors to have more control over their investment choices compared to traditional IRAs. With a SDIRA, you can invest in a wider range of assets, including precious metals, real estate, private equity, and more. This increased control and flexibility make SDIRAs an attractive option for diversifying retirement savings.

Different Types of Precious Metals IRAs

There are several types of precious metals IRAs available, each offering its own set of rules and benefits:

Traditional Precious Metals IRA
Roth Precious Metals IRA
SEP Precious Metals IRA
SIMPLE Precious Metals IRA
Other

Each type of IRA has unique tax advantages and contribution limits, allowing investors to choose the one that aligns with their financial objectives.

Eligible Precious Metals for IRAs

The IRS has specific requirements for the types of precious metals eligible for inclusion in IRAs:

Gold: Must meet a minimum fineness of .995, except for the American Eagle coin.
Silver: Must have a minimum fineness of .999.
Platinum: Must have a minimum fineness of .9995.
Palladium: Must have a minimum fineness of .9995.

These metals are popular choices for IRAs due to their long-term investment track records and ability to act as a hedge against inflation and economic uncertainty.

How to Open a Precious Metals IRA

Opening a precious metals IRA involves several steps:

Open
the Account

Transfer funds from an existing IRA or 401(k) to a custodian that specializes in precious metal IRAs.

Choose
Your Precious Metals

Work with your account executive to select metals that align with your investment goals.

Make
Your Purchase

Complete the necessary paperwork and make the purchase.

Store
Your Metals

Your custodian will store your metals securely at an approved depository.

Costs Involved in Setting Up and Maintaining a Precious Metals IRA

Setting up and maintaining a precious metals IRA incurs one-time and annual fees:

One-Time Fees: Account set-up fees
Annual Fees: Storage and management fees

Safety of Physical Precious Metals Stored in an IRA

Precious metals held in an IRA are stored securely at approved depositories, offering state-of-the-art security measures and insurance coverage.

Frequently Asked Questions About Precious Metal IRAs

Will I physically hold the metal?

No, metals are stored securely at an insured depository in your name.

How long does the transfer process take?

On average, the process is completed in two weeks.

Will I have a tax implication?

No, there are no tax implications for transferring assets between qualified retirement plans.

Is this expensive to set up?

Fees typically range from $250 for account establishment and the first year of fees.

Is there a minimum amount I must transfer?

The initial transfer must be $5,000 or greater.

What types of metals are allowed in retirement accounts?

U.S. Gold, Silver, and Platinum American Eagles coins, as well as certain other bullion coins or bars that meet IRS requirements.

Benefits of a Precious Metals IRA