Convert 401k To Physical Gold

Convert 401k To Physical Gold

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Friend, we live in unpredictable times. Recent events may have you feeling uneasy about the holdings in your 401k. Still, volatility in the world's economy is no reason to make a half-informed decision with your nest egg. I invite you to spend the next few minutes availing yourself of my unique knowledge and upbeat disposition.

Your Portfolio Needs Stability

Convert 401k To Physical Gold

Surely, I'm not the first to mention diversifying your investments, but I'll sleep better if I remind you of this trusted practice's value:

  • By diversifying, we can shield personal net worth from unpredictable forces.
  • We may enjoy unforeseen gains or opportunities in the future as a result of investment diversity.
  • We could also awaken an interest in researching new investment arenas for low-risk growth in times like our current era.

What Is the Most Stable Investment Choice?

We hear plenty of noise around where to invest today. If you want a stable, reliable investment, take a long look at gold.

These crucial highlights make gold a smart investment:

  • It's precious.
  • It's physical.
  • It's secure.
  • It's anonymous.

Gold's Value May Soon Increase Substantially

Reduced risk is not boring, friend. A look at gold's 100-year price chart shows worthwhile historical growth. In fact, since 1971, the year the United States detached its currency from the gold standard, the precious metal's inflation-adjusted value has increased about 10 times per ounce.

Why does gold increase in value? It is popular and precious. Synonyms for precious include rare and scarce. Some experts forecast gold's scarcity will rise sharply in the coming decades as mineable gold dwindles and demand surges. We may see gold's price cross the five-figure line by 2040. Today, it fluctuates around $2,000.

What About Crypto?

Convert 401k To Physical Gold

Indeed, what about crypto? A second word that often accompanies crypto is trading. My message is about investing. Traders gamble, and gamblers all go broke eventually. Investors like us make long-term decisions, and we exercise patience to build wealth.

I'll Bet You Appreciate Anonymity

Did you catch that gambling quip? When we invest in gold, we are not required to take advantage of its anonymity, but that characteristic gives us flexibility and security. By comparison, crypto's blockchain foundation creates the illusion of anonymity.

The blockchain is a digital, decentralized ledger. You don't sign your actual name to it, but you can never be completely anonymous when you buy Bitcoin and other cryptocurrencies.

Of course, a crypto coin's value can also drop to absolutely nothing. Friend, we all know financial risk is part of this discussion, but it is quite difficult to imagine precious, tangible gold ever losing all of its value.

Would You Like to Relocate Your Retirement Savings Away From Wall Street?

Is your retirement wealth currently sunk in mutual funds and ETFs? I imagine your fund manager only gives you access to a very narrow set of funds, the ones pushed by their boss. The vast majority of 401k plans give you very little control.

Wall Street's fund managers do not deserve this much power over your investment portfolio. Repeatedly, studies find that most of these supposed experts cannot beat the S&P 500 or the Dow.

If professionals can't do any better than the market, you need to take control of your investments out of their hands. For someone like you, gold makes an excellent catalyst.

Now, You Can't Simply Shove Gold Into Your 401k

Since most 401k plans are offered by employers, run by third parties and set up to offer narrow ranges of investment products, I am confident you cannot buy gold through your 401k. Sometimes, 401k plans have access to gold, but those plans are rarer than actual precious metals.

You Can Invest in Gold and Still Enjoy Worthwhile Tax Benefits

Fortunately, for five decades, we've had access to an investment vehicle that lets you purchase gold and catch a tax break. It's the individual retirement account. We're all aware of IRAs, but these vehicles can be used as gold IRAs in expert hands.

A gold IRA lets you:

  • Buy gold with your earned income.
  • Defer your tax payments.
  • Make withdrawals when you're at least 59.5 years old.

What Noteworthy Things Can You Do With a Gold IRA?

Convert 401k To Physical Gold

Often, when we sign up for a gold IRA, the company providing it calls it a precious metals IRA. If you like variety, you'll find it in this investment vehicle. No matter how it's branded, a gold IRA lets you invest in

  • Gold
  • Silver
  • Other precious metals
  • Stocks
  • Bonds
  • Mutual funds
  • Exchange-traded funds
  • Real estate

Truly, you're able to diversify with a gold IRA. Of course, you can lean heavily into gold if you choose.

Make a Masterful Move, Not a Monetary Mess

I hope you join me as a happy owner of a gold IRA. Just remember that closing out your 401k early brings a 10% penalty. You'll also have to file the proceeds as income on your next tax return, so don't haphazardly close your 401k to open a gold IRA. Instead, do the following.

You Can Convert Your 401k to a Gold IRA

Conveniently, you can roll your 401k plan over to an IRA. In my educated opinion, the best course is opening your gold IRA first. Once that is set, it's easier to commence your 401k rollover because you have a target account.

To begin your rollover, contact your 401k company. I recommend selecting a direct rollover. Alternatively, you could select an indirect rollover, but that creates errands for you. If you don't complete those errands within 60 days, the IRS will care.

A direct rollover is quite similar to a bank transfer. You'd obviously choose that option whenever allowed.

Do You Want to Buy Gold Coins or Bars?

Convert 401k To Physical Gold

If you've never purchased gold before, you might feel intimidated by bars. Also, a pile of gold coins certainly feels like a treasure. Alas, Internal Revenue Service rules prohibit nearly all gold coins from inclusion in IRAs. They're simply not sufficiently pure.

The IRS's purity minimum is 99.5% for gold bullion, which comes in clearly stamped bars and rounds from highly regarded minters. Three outstanding minters dominate this arena:

  • Credit Suisse, the banking company from Switzerland, which produces the purest gold bars.
  • Johnson Matthey, a 200-year-old firm in London with the Bank of England among its clientele.
  • The Perth Mint, which is Australia's official mint.

You can confidently buy bullion stamped with any of these minters' imprints.

Always Remember the Power of Regular IRA Contributions

Once you've arranged your new gold IRA, continue your regular contributions. Tell yourself, "Set it, and forget it."

Top gold IRA providers will set up automatic paycheck deductions for you. These help you easily develop the habit of contributing to your gold-purchasing IRA.

Always contribute, no matter gold's price that week. Remind yourself that investing is a long-haul enterprise. Each ounce of gold is like a share of stock, and that ounce's price can also rise. You have to contribute to your gold IRA habitually to maximize your available ounces.

You Can't Personally Hold the Gold

Due to precious metals' scarcity, you and I cannot legally possess them in their high-purity forms. We can only buy them for investment purposes. Federal law requires a custodian to store our gold and other precious metals for us. Thankfully, the best gold IRA brokers are also custodians.

The Three Best Companies for Converting Your 401k to a Gold IRA

After careful research and application of my unique expertise, I can recommend these gold IRA brokers:

  • Goldco
  • Augusta Precious Metals
  • American Hartford Gold

Let's explore why these three companies stand atop their crowded industry.

#1. Goldco Far Exceeds the Standard

Goldco

You will find a top-notch gold IRA experience with this stellar dealer. Goldco entered the marketplace in 2006 as Goldco Precious Metals.

The outfit's founder was Trevor Gerszt. They built their name on helping clients easily connect with IRA-approved gold and silver bullion. You'll find bars and coins via Goldco's website.

Also, you'll discover an excellent online guide for beginners that can help you clearly understand the process of setting up and using a Goldco IRA. The guide lets you quickly become comfortable with investing in the precious metal that has grown about double the rate in value as the stock markets in the last two decades.

When you rollover your 401k at Goldco, you will encounter an $80 set-up fee and a $200 annual fee, which covers your gold's storage, maintenance and insurance. Also, the firm's gold IRA minimum investment is $25,000.

Here are some other Goldco highlights I suspect you'll like:

  • Free gold IRA kit available
  • Up to $10,000 in free silver for eligible customers
  • Rollovers from any tax-advantaged account allowed
  • Endorsed by Chuck Norris

Goldco enjoys an A+ rating with the Better Business Bureau.

#2. Augusta Precious Metals Provides Education and Support Customers Laud

Augusta Precious Metals

If you value minimum prices and maximum transparency, seriously consider choosing Augusta Precious Metals. Across the web, this broker receives high marks from customers.

I've shared significant personal knowledge with you today about investing in gold IRAs. The resources you'll access through Augusta Precious Metals will take you further.

For example, you may not feel quite confident yet about converting your 401k to a gold IRA. Augusta Precious Metals will educate you and help you realize you're ready to move forward into better wealth security.

Isaac Nuriani founded this leading firm in 2012. Since then, his family and employees have grown Augusta Precious Metals into one of the largest providers of precious metal IRAs.

They're also quite trusted. When you visit the firm's site, you'll see remarkable ratings from several organizations. The BBB rates the company A+, and TrustLink has bestowed their highest honor upon Augusta Precious Metals for six consecutive years.

If you rollover your 401k with Augusta, you'll pay a $50 set-up fee. Annually, the firm charges a $100 depository fee and a $100 custodian fee. This broker does not charge you extra for management, insurance or shipping.

You'll surely appreciate these tidbits about Augusta Precious Metals:

  • Free one-on-one web conference to answer your questions
  • Harvard-trained economist on staff
  • Silver IRA retirement diversification
  • Lifetime support
  • Endorsed by Joe Montana

Notably, Augusta Precious Metals' investment minimum for IRAs is $50,000.

#3. American Hartford Gold Is a Family-Owned Winner

American Hartford Gold

In 2015, American Hartford Gold began offering gold IRAs from Los Angeles. This family business founded by Sanford Mann keeps its account minimum low and its customer satisfaction high.

As a result, American Hartford Gold garners awards and top ratings. Three times, the dealer has made the Inc. 5000, the list of the fastest-growing companies. These trusted organizations have vetted the firm and awarded their highest marks:

  • Better Business Bureau
  • Business-Consumer Alliance
  • Consumer Affairs
  • Trustpilot

Importantly, some gold IRA brokers limit your reach to gold and silver. Through American Hartford Gold, you can access gold, silver, palladium and platinum.

Also, when you rollover your 401k to a gold IRA with American Hartford Gold, they waive the first year's fees. Compared to their competition, that saves you roughly $200.

Beginning with the second year, you will be charged $280 for your precious metals' annual management, storage and insurance. That is a competitively priced fee. Unlike the competition, American Hartford Gold waives all fees for three years if your IRA's balance exceeds $300,000.

When you reach distribution eligibility, the firm guarantees it will buy back your precious metals at the market price.

These American Hartford Gold highlights should make your heart light:

  • Free investors kit
  • Up to $10,000 in free silver available on qualifying purchases
  • No setup fee

Finally, American Hartford Gold has a wonderfully accessible account minimum of only $5,000.

You will be on a better financial footing if you protect your wealth with a gold IRA from any of the three exemplary brokers we've discussed here.

I have enjoyed sharing my insights about gold IRAs with you today. Many happy returns! Now, that's an investing pun!

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