A gold IRA allows you to invest in physical gold and still enjoy the benefits of an IRA retirement account. But like all IRAs, a gold IRA has rules around contributions and withdrawals, but it also has rules regarding the gold that goes into the account and how it must be stored as well.
Here are the key rules around gold IRA contributions, storage, withdrawals and more.
Key rules around gold IRAs
A gold IRA is one type of self-directed IRA, which lets you invest in a range of non-traditional assets such as precious metals, homes, horses and more. It has the same core rules as all IRAs but has a few additional rules related to storage and purity because it holds gold.
An IRA allows you to contribute money to a retirement account and enjoy special tax benefits. The investment can compound for decades, and you won’t pay taxes on capital gains as long as the money stays inside the account. The IRA has two versions that offer specific benefits.
In a traditional IRA, you can contribute pre-tax money, so you don’t pay taxes on the income. Your money compounds on a tax-deferred basis, and you pay tax only when the money comes out of the account. At retirement, defined as age 59 ½ or older, you avoid penalties for early withdrawal.
In a Roth IRA, you can contribute after-tax money, so you pay taxes on money that goes into the account. The money can compound tax-free for decades, and withdrawals are tax-free, if you meet a few conditions. Many experts think it’s the best retirement plan out there.
If you have a small business, you can also open a SEP IRA that can hold physical gold. The SEP IRA can be either a traditional IRA or Roth IRA.
Contributions
Your contributions to an IRA are limited in any single year. For 2025, you can contribute up to $7,000 if you’re under age 50, or $8,000 if you’re age 50 or older. But you’ll need earned income to make a contribution, and you may contribute no more than your earned income. That is, if your earned income is just $3,000 in a calendar year, your contribution is capped at $3,000.
You have until Tax Day in the subsequent calendar year to make your contribution. For example, your 2025 contribution is not due until Tax Day in April 2026.
Gold storage
Your physical gold must be stored with a recognized depository, which typically holds your gold in a vault for safekeeping. You may not store your gold at home, or the IRS will consider it a distribution of your IRA and will charge you taxes and penalties for an early withdrawal. A good depository will report on your holdings, so that you know they’re safely in the account.
You’ll pay an annual fee, typically a flat fee, for the storage of your gold at the depository.
Withdrawals
If you physically take possession of your gold or sell it and withdraw the money, the IRS will consider it a withdrawal from your IRA, just as it would if you took funds out of your regular IRA. Your IRA company will report it to the IRS, and you will be liable for any taxes and penalties.
Otherwise, the withdrawal rules for a gold IRA are the same as those for a regular IRA. If you have a traditional IRA, you’ll be taxed on money that comes out of the account. If you withdraw the money before age 59 ½, the IRS will also assess a 10 percent bonus penalty. Those age 73 and above must take required minimum distributions each year or pay significant penalties.
If you have a Roth IRA, you’re able to withdraw your contributions to the account at any time tax-free. However, if you withdraw any earnings from the account before age 59 ½, you may be subject to a 10 percent bonus penalty.
Types of gold and other metals
The IRS has strict requirements on the purity, or fineness, of the gold and other precious metals that go into an IRA. You can’t just put any gold in your IRA and expect it to fly.
- Gold must have a minimum purity of 99.5%.
- Silver must have a minimum purity of 99.9%.
- Platinum must have a minimum purity of 99.95%.
- Palladium must have a minimum purity of 99.95%.
The exception to the gold purity is the American Gold Eagle coin, a 1-ounce coin that is primarily gold.
Gold companies are aware of these rules, and the best gold companies sell IRA-eligible gold.
Bottom line
It’s important to carefully stick to the IRA rules and regulations, whether your IRA is invested in regular financial assets, gold or other assets. You could run into some significant taxes and penalties if you don’t abide by the stringent rules, such as not taking possession of your gold.
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