Self-Directed Gold IRA: How Does It Work?

Are you interested in investing in gold?

If so, then you’re going to love self-directed gold IRAs. Self-directed gold IRAs let you invest in physical gold bullion instead of stocks, bonds, mutual funds, etc.

How does it work?

With a self-directed gold IRA, you receive monthly payments based on the value of your investment. The amount of your payment depends on the price of gold at the time of purchase.

For example, if you purchased $1,000 worth of gold coins at $1,200 per ounce, you’d receive a monthly payment of $120. If the price of gold drops below $1,200 per oz., your monthly payment decreases accordingly.

There are two types of self-directed gold IRAS:

Traditional IRA – This type of IRA allows you to invest in any kind of asset, including precious metals such as gold, silver, platinum, palladium, rhodium, and iridium. Traditional IRAs allow you to use your assets to generate income tax-free dividends.

Roth IRA – This type of account lets you invest in precious metals only. Roth IRAs offer no tax benefits, but you can withdraw your earnings tax-free after retirement.

Which type of self-directed gold IRA is better?

Both types of IRAs are excellent options for investors who prefer to keep control over their investments. However, traditional IRAs provide greater flexibility since you can invest in almost anything.

But there’s another important difference between the two types of IRAs.

Traditional IRAs require you to pay taxes on your profits before withdrawing them. On the other hand, Roth IRAs let you take withdrawals tax-free. So which option makes sense for you?
…(read more)

LEARN MORE ABOUT: Precious Metals IRAs

HOW TO INVEST IN GOLD: Gold IRA Investing

HOW TO INVEST IN SILVER: Silver IRA Investing

REVEALED: Best Investment During Inflation