A gold IRA or other precious metals IRA can be a great alternative to investing in stocks and bonds. This can be done by setting up a gold IRA or precious metals IRA, also known as a Self Directed IRA. A Self Directed IRA is very similar to investing in any other IRA with one exception, a Self Directed IRA allows you to invest in non traditional investments such as real estate, gold and silver, private placements, loans, ect. Below are some common questions I get asked about investing with a gold ira or precious metals IRA. Remember, this is a regular IRA but allows for investing in alternative investments. A gold IRA or precious metals IRA is the same thing as a Self Directed IRA. There are countless questions that are asked in regards to investing with a gold IRA / precious metals IRA. In order to not overwhelm with so much information we are making this a two part blog. If at any time you have any questions that you would like further information for call us or email me.
Q. How does a gold IRA and Precious Metals IRA Work (AKA, Self Directed IRA)?
A. How the process works
- We setup an IRA account:
- – Upon receipt of your application, we will have the account created and the transfer request sent out within 24 hours of receipt.
- We forward the IRA transfer request to your current custodian
- Your custodian sends us the money
- – We send wire and mail instructions with the transfer request. Please note that if your custodian sends us a check it will take 5 business days to clear.
- We invest your monies into precious metals
- – The investment direction form, contained in the application, is used to direct us to place your monies in your investment.
Q. What kind of assets can I invest in?
A. A gold IRA or precious metals IRA is really just a Self Directed IRA. Because of that you may think you can only invest in gold with your IRA. In reality your IRA can hold real estate, gold and silver, private placements, loans, trust deeds, tax liens, and other non traditional investments. The focus is on hard assets that you can feel and tough, not paper assets like stocks and bonds. To learn about what type of gold or other precious metals are allowed in an IRA check out, Gold IRA Investing
Q. How does Accuplan differ from your typical custodian, like Fidelity?
A. Accuplan has all the same reporting and filing requirements than any other custodian. The main difference is the type of investments you can invest in. Traditional custodians only focus on stock and bonds. They don’t allow for non traditional investments which is Accuplan’s expertise.
Q. How does the transfer from a traditional custodian occur?
A. In order to transfer funds from another custodian to Accuplan you need to fill out a Transfer Request form. This is included in the application when you create an account with Accuplan.
Q. How long does the process take?
A. An account can be established online within 5 minutes. Once the account has been established a transfer request form needs to be sent to the client’s current custodian. It typically takes 1-3 weeks for the old custodian to send the funds to Accuplan.
Q. Are there penalties associated with this?
A. There are not any penalties or taxes when you move your funds from one IRA custodian to another custodian. The only time that penalties or taxes would be associated with your account is if you took a distribution from your IRA. This would involve sending your IRA funds directly to you rather than to another custodian.
If you have any more questions or would like more information about investing with a gold IRA or precious metals IRA feel free to call or email me. Look out for part two about further questions relating to gold IRAs and precious metals IRAs.
Author: Ben Barker, Self Directed IRA Professional