Are you looking into a home storage gold IRA or self storage gold IRA and want to know if it’s IRS approved? Then, you’ve come to the right place!
In this article, we’ll explain why a home storage gold IRA is a bad idea and how to set up a gold IRA according to IRS rules and regulations to not get into any legal hot waters or be faced with tax penalties.What Is A Gold IRA?
A gold IRA, also known as a precious metals IRA is a type of individual retirement account (IRA) that allows investors to hold physical gold as part of their retirement portfolio.
While traditional IRAs are typically invested in stocks, bonds, and other financial assets, a gold IRA allows investors to diversify their portfolio by including tangible assets like gold, silver, and other precious metals.
One of the main benefits of a gold IRA is that it can provide a hedge against inflation. Gold has a long history of maintaining its value over time, and it is often seen as a safe haven asset during times of economic uncertainty.
By including gold in your retirement portfolio, you can potentially protect your savings from the effects of inflation and a recession.
In addition to its potential to preserve wealth, gold has also been known to provide strong returns during times of market volatility. While the value of stocks and other financial assets can fluctuate dramatically, the value of gold tends to be more stable.
As a result, a gold IRA can provide investors with a sense of security and stability in their retirement savings.
Home Storage Gold IRA
Can You Store The Precious Metals In Your IRA At Home?
We often get the question about home storage gold IRA or self storage gold IRA and if it’s allowed to store the precious metals in your IRA at home.
Under Internal Revenue Service (IRS) rules, it is not allowed to store the precious metals of a gold IRA at home.
The IRS requires that gold IRA assets be stored in a third-party depository, which is a secure storage facility that is not owned or controlled by the IRA owner or the IRA custodian.
Section 408(m) of the IRS code defines what types of precious metals may be purchased with a self-directed IRA. The code also says these items must be “in the physical possession of a trustee.” This is to ensure the safety and security of the assets, as well as to prevent the possibility of conflicts of interest.
There are several options for third-party depositories that are approved by the IRS for storing gold IRA assets. These facilities are typically specialized in the storage of precious metals and have appropriate security measures in place to protect the assets.
Some examples of approved third-party depositories include:
It’s important to note that there may be additional rules and regulations that apply to the storage of gold IRA assets, depending on the state in which the assets are stored.
A Home Storage Gold IRA Exception
However, there’s an exception…If you would like to take physical possession of your precious metals, Red Rock Secured offers an option of home storage gold IRA that complies with the IRS rules and regulations. We don’t know exactly how this process works, but you can request their >>>Free Gold & Silver Guide for more information.
They even offer free shipping and insurance, as well as seven-day price protection, when choosing a Home Delivery IRA with them.
Overall, a gold IRA specialist that works with gold IRA rollovers and transfers daily knows all rules and regulations and can answer any question or concern you may have about the process.
In other words, you should work with a financial professional or a self-directed IRA custodian to ensure that your gold IRA assets are stored in a way that complies with all applicable rules and regulations.
Home Storage Gold IRA Vs Third-Party Depositories
If you’re still entertaining the idea of a home storage gold IRA or self storage gold IRA, please don’t because it’s an illegal activity and most likely a scam.
Instead, consider the benefits of storing your metals with a third-party depository:
- Security: Third-party depositories are typically specialized in the storage of precious metals and have appropriate security measures in place to protect your assets. This includes measures such as secure storage vaults, 24/7 monitoring, and insurance coverage.
- Convenience: Storing your gold with a third-party depository can be more convenient than storing it at home. You don’t have to worry about the risks of keeping a large amount of gold on your property, such as the risk of theft or damage.
- Professionalism: Third-party depositories are typically professional organizations that are experienced in the storage of precious metals. They can provide expert advice on the best way to store your gold and ensure that it is properly protected.
- Compliance: Storing your gold with a third-party depository can help ensure that you are in compliance with Internal Revenue Service (IRS) rules for gold IRAs. The IRS requires that gold IRA assets be stored in a third-party depository, which is a secure storage facility that is not owned or controlled by the IRA owner or the IRA custodian. This is to ensure the safety and security of the assets, as well as to prevent the possibility of conflicts of interest.
Overall, storing your gold with a third-party depository can provide peace of mind and ensure that your assets are secure and well-managed.
To avoid gold IRA scams like a home storage gold IRA, you should request this FREE Gold IRA Lies Guide by Augusta Precious Metals.
How To Set Up A Gold IRA
To set up a gold IRA, investors can work with a gold IRA company or a self-directed IRA custodian that are specialist in the process of gold IRAs.
These professionals can help investors purchase physical gold and store it in a secure location, such as the third-party storage facilities we have mentioned in this article.
As with all financial accounts, personally identifiable information such as a social security number will be required to establish an account. And if you do not already have a precious metals custodian company, your gold IRA provider will assist you in setting up an account with one of their recommended custodian companies.
Gold IRA Setup Process – Quick Overview
The easiest way to start a gold IRA is to request a FREE Gold IRA Guide and read up on the process. You will also be contacted by a gold IRA expert that will explain all the steps and answer all your questions.
But this is the process in short:
- Step 1. Choose a precious metals company that specializes in gold IRAs
- Step 2. If you want to move forward, you’ll then speak with an IRA specialist who will ask about your current retirement account and help to confirm rollover eligibility
- Step 3. And if eligible to convert your existing retirement funds into a gold IRA, you’ll need to create an account with a custodian capable of handling self-directed IRAs. Most reputable gold IRA companies will suggest a few options and assist with completing the paperwork
- Step 4. Once the paperwork is done, your gold IRA provider will help you roll over or transfer funds from your existing retirement account to a new self-directed IRA
- Step 5. With the funds in your new self-directed IRA, you can then purchase your desired precious metals
- Step 6. Lastly, your precious metals will then be stored at an approved depository
Furthermore, investors are typically responsible for paying the fees associated with storing their gold, as well as any taxes that may be due on their gold holdings, which we’ll look at next.
Annual Gold IRA Fees In The US
The annual gold IRA fees in the United States are typically a one-time IRA setup fee of $50, a wire fee of $30, and an annual maintenance fee of $80 to $200 depending on how much gold you have in your IRA.
Then, you also have to pay for storage with a third-party depository, which is generally $100 for segregated storage and $150 for non-segregated storage.
Gold IRA Fees
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| One-Time IRA Setup Fee | Wire Fee | Annual Admin Fees | Storage Fees |
| $50 | $30 | $80-$150 | $100 (Segregated-Storage) / $150 (Non-Segregated Storage) |
Some gold IRA companies like Augusta and American Hartford Gold are currently running promotions where they are waiving all annual fees for new customers.
Reputable Gold IRA Companies
To help you identify the best option to grow and protect your wealth today, we have reviewed and rated the 5 best gold IRA companies in the industry.
You can feel safe investing your savings with any of these precious metals companies, whether you are looking to start a gold IRA or make a regular cash purchase. They all have A+ BBB ratings and AAA BCA ratings and thousands of 5-star reviews on popular consumer watchdog sites.
 Top 5 Gold IRA Companies
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| Company | Reviews | Annual Fees | Investment Minimums (IRA) | Preferred Custodian | Free Gold Kit |
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$100 | $20,000 | Equity Trust |  |
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$0 | $50,000 | Equity Trust | |
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$100 | $10,000 | Equity Trust | |
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$180 | $10,000 | Equity Trust | |
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$80 | $2,000 | Equity Trust | |
For more details about each company, you can visit our guide on the 5 best gold IRA companies of 2023.
Conclusion Home Storage Gold IRA
While a home storage gold IRA is illegal, a gold IRA that is set up according to IRS regulations can be a valuable addition to a retirement portfolio, providing investors with the opportunity to diversify their savings and potentially protect their wealth from inflation.
It’s important to note that there are certain rules and regulations that apply to gold IRAs, including limits on the types of gold that can be held and the amount of gold that can be included in an IRA. Investors should carefully consider these rules and work with a gold IRA company to ensure that their gold IRA is set up properly.
About the Author
Stina is an entrepreneur who's passionate about personal finance, investing, and digital marketing. She's been a writer in this space for over a decade.
