Precious Metal IRA************************/>
Take control of your Investments
It’s a common misconception among Americans that the only assets allowed within an Individual Retirement Account (IRA)are stocks, CDs, and mutual funds. The truth is there have been much broader IRA investment options available to the public since 1975, the year contributions could first be made to IRAs.
As part of the Employee Retirement Income Security Act of 1974 (ERISA) and the creation of IRAs, self- directed IRAs were also permitted. While the investments of choice were most commonly real estate and notes, the ERISA also allowed individuals the ability to hold precious metals in their IRAs.
Why hasn’t this information been made more available? Because, the investment industry managing retirement accounts has been mostly dominated by large transaction-driven custodians who have focused on a very narrow universe of IRA investments. While traditional IRAs may be right for some, they don’t offer the kind of freedom that a self-directed IRA offers.
Precious Metals IRA
Investment professionals around the globe agree that asset diversification helps manage and reduce risk when investing. Precious metals are one of the many options that self-directed IRA investors can select to help diversify their retirement portfolios.
With a self-directed IRA, you can invest in all types of precious metals, including gold, silver, platinum and palladium.
Harvestor Investments will assist you with all the requirements involved with holding precious metals in your retirement plan. While it is up to the individual investor to select a custodian to manage their precious metals IRA, we recommend Entrust, one of the premier self-directed IRA administrators. The custodian will assist you with arranging for storage of the precious metals in a depository institution of your choice, valuations for IRS reporting, and account administration.
Already Investing in Precious Metals?
Do you have knowledge and experience investing in precious metals? If so, why not capitalize on your expertise to help generate retirement wealth, tax-deferred or tax-free. Use your self-directed, precious metals IRA to drive your own level of success. Since you are in control of your investment selection, the opportunity for success lies in your hands.
Transfer or Rollover your existing IRA
Funds in an existing IRA can be moved into a precious metals backed IRA by any custodian of your choice, we recommend Entrust. A transfer of funds does not require IRS reporting and there are no restrictions on how often you can transfer funds. IRA rollovers do require IRS reporting and there are specific time limits and other restrictions to which you must adhere. You should always seek competent tax advice before taking a distribution for a rollover.
How to setup a Precious Metals IRA
1. Call Harvestor Investments and request information on how to rollover your current retirement account into a precious metal backed IRA.
2. If you decide that a precious metals IRA is right for you, we will send you a Precious Metals IRA client packet for you to complete and return (via FAX or e-mail) to the custodian of your choice (we recommend Entrust, but you are free to use whomever you may prefer).
3. Once the custodian receives the completed forms a copy of your current driver’s license or passport, they will assist you in funding your account by transferring funds from your current IRA or existing 401k account.
4. The custodian will contact your previous IRA administrator and have the funds moved into your new account. (Special rules may apply if you are over 70 years of age. If so, check with the previous custodian to see if there will be fees or penalties).
5. The custodian will also assist you in opening an account at a licensed and insured depository which will store the precious metals on your behalf (we recommend Delaware Depository, but you are free to select whomever you prefer).
6. Once your new account has been funded, call Harvestor Investments toll free at 1-888-726-5558 to order the IRA approved precious metals for your account.
7. The precious metals that you order will be shipped, fully insured, to the depository that you selected. Your order will be inspected upon arrival and verified for accuracy before being transferred into your IRA storage account.
Types of Coins Allowed in IRAs
The U.S. government allows modern gold, silver, platinum, and palladium bullion to be held in a precious metals IRA. This includes the popular Gold American Eagle and Silver American Eagle Proof coins. Listed below are the general rules for coins and bullion selected for inclusion within precious metal IRAs.
Gold bars: Must have a purity of 24 karat (0.995+ fineness) and be hallmarked by a NYMEX- or COMEX-approved refiner/assayer. These bars come in 1 oz., 10 oz., 1 kilo (32.15 oz.), 100 oz., and 400 oz. sizes.
Gold coins: Must have a purity of 24 karat (0.9999 fineness), with the exception of the 22 karat U.S. Gold Eagle. Bullion coins from America, Australia, Austria and Canada are acceptable, but the South African Krugerrand is not allowed, being that it’s a 22 karat bullion coin.
Silver coins & bars: Must have a 0.999+ fineness, like the 1 oz. U.S. Silver Eagle, Canadian Silver Maple Leaf, and the Mexican Silver Libertad bullion coins. You can purchase 100 oz. silver bars and also 1000 oz. silver bars. Pre-1965 bags of US silver coins (dimes, quarters, half dollars and silver dollars) are not allowed in an IRA because their alloy contains only 90% silver.
Platinum/palladium bars & coins: Must have a 0.9995+ fineness and be hallmarked by a NYMEX- or COMEX-approved refiner/assayer, however, private companies who manufacture platinum and palladium bars ranging in size from 1 oz. to 100 oz. with well-established hallmarks, are acceptable as well. Both the U.S. and Canadian mints make 1 oz. platinum coins meeting these standards. Other countries, such as Great Britain and Australia, have 1 oz. platinum coins, which are not as well-known but are also acceptable.
For a complete list of specific products available for inclusion in precious metals IRAs, please contact Harvestor Investments toll free 1-888-726-5558.
Frequently Asked Questions
Q. How are precious metals held in an IRA? A.Precious metals can be held in your IRA in the form of physical gold, silver platinum, and palladium bullion and coins. Including Proof Gold American Eagle and Proof Silver American Eagle coins.
Q. Can I include bullion or coins I already own in a self-directed IRA? A. No. All precious metals must be shipped directly from registered dealers.
Q. Why should I make a contribution if it is not tax deductible? A. Non-deductible contributions grow tax free in a Roth IRA and tax deferred in a Traditional IRA. This tax-favored treatment usually makes even a non-deductible contribution a smart move.
Q. My bank offers free IRAs. Why should I pay a fee for a Self-directed IRA? A. Banks can offer services for free because their fees are built into the interest rate it pays you. In addition, a bank probably will not allow you to invest in precious metals.
Q. Where do I get more information about precious metals IRAs? A. Contact Harvestor Investments for information and assistance with ystarting your Precious Metals IRA. Before you make any investment decision, contact your dealer, tax professional or legal advisor for investment and tax recommendations and advice.
Q. Can I hold the metals myself? A. No, IRS regulations require that the metals be held by an approved depository.